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Audioboom blames Apple for slower growth

Published 23/07/2024, 08:59
© Reuters.  Audioboom blames Apple for slower growth
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Proactive Investors - Podcast specialist Audioboom Group PLC (LON:BOOMA) blamed changes to the way Apple (NASDAQ:AAPL) devices download content for modest revenue growth in its latest half-year.

Interim revenues rose by 7% to US$34.1 million in the six months to end June 2024, but Stuart Last, chief executive, estimates the software changes by Apple (iOS17) cost it a further US$9 million.

Last added the Audioboom performed in line with industry forecasts adding he expects the “growth rate to substantially improve across the second half of the year”.

“We have more than US$65 million of advertising bookings in place - the same level as the entirety of last year's revenue - which means, with more than 5 months of the year remaining, all future bookings will translate directly to growth.”

Due to the Apple changes, downloads dropped to 94.8 million in the second quarter from 125.9 million a year ago, though this was in line with the decline across the industry, Last said.

Revenue per 1,000 downloads rose 38% to US$60.09 while flat underlying profits of US$300,000 made it the third quarter running of underlying profits ability,Ausioboom added.

Interim pre-tax losses were US$1.35 million (US$10.6 million).

Shares dropped 6% to 235p.

Read more on Proactive Investors UK

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