Audioboom shares up on "record" third-quarter trade with earnings beat
Audioboom Group PLC on Wednesday reported double-digit revenue and profit growth for the third quarter, and said its adjusted earnings are beating current market guidance.
Shares in Audioboom traded 1.9% higher at 514.70 pence early that afternoon in London.
The London-based podcast producer said it delivered a "record" performance "in all key financial metrics" for the third quarter of 2026.
This includes revenue increasing 17% to USD23.8 million from USD20.3 million the previous year. Chief Executive Stuart Last said this was "driven by our strongest-ever content slate, record distribution and ad inventory."
Its advertising marketplace business, Showcase, generated USD9.7 million in revenue, up 20% from USD8.0 million. Last called this an "exceptional performance, benefitting from the first meaningful wave of political advertising spend ahead of the US midterm elections."
"With our politics and news network generating approximately a quarter of a billion available ad impressions each month, we are uniquely positioned to capitalise on increasing demand and capture maximum value as the election-related spending continues to build through Q4," he continued.
Group gross profit, meanwhile, rose 30% to USD5.6 million from USD4.3 million. This reflected "continued improvements to our podcaster revenue shares and a greater contribution from higher margin advertising products," Last said.
Adjusted earnings before interest, tax, depreciation and amortisation surged 89% to USD2.2 million from USD1.2 million. The adjusted figure excludes share-based payments, non-cash foreign exchange movements, material one-off items and onerous contract provisions and losses incurred.
The company noted an increased gross margin of 23%, up from 21%, "with continued margin improvement as a result of our focus on higher quality revenue and improved creator contracts." The adjusted Ebitda margin, meanwhile, grew to 9% from 6%.
Audioboom said its adjusted Ebitda is ahead of current market expectations, and that it now expects the full-year total to be at least USD7.7 million. This would be up from USD5.1 million in 2025.
Last added: "The recent confirmation of our debt facility provides access to an additional US$10.0 million of capital for strategic acquisitions. Together with our cash balance of US$6.7 million, we have the financial firepower and flexibility to lead the inevitable consolidation within the podcast industry.
"Our objective remains to execute three to four meaningful transactions over the medium term."
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