5th Nov 2024 11:20
(Alliance News) - Aferian PLC on Tuesday celebrated continued demand for improvements to video streaming, boosting its revenue significantly.
The Cambridge, England-based business-to-business video streaming company said it expects to report revenue that is about 20% higher for the six months to its second financial half ending November 30 than the USD12.2 million it reported for the first financial half.
Aferian shares jumped 75% to 5.68 pence each on Tuesday morning in London.
Further, Aferian anticipates positive adjusted second half earnings before interest, tax, depreciation and amortisation of about USD2 million, thanks to revenue growth "plus cost reduction actions taken earlier in the year". For the first half of financial 2024, the company had reported an adjusted Ebitda loss of USD2.4 million, widened sharply from USD100,000.
Aferian still expects a net debt reduction by the end of the year, "as cost savings and working capital initiatives implemented in the first half generate improvements in free cash flow".
Chief Executive Officer Mark Carlisle hailed "the strong performance...with increased sales orders and new business wins across the group," adding that Aferian is "well-positioned to close the year on a positive note and drive sustained growth into the future".
Aferian will publish a further trading update for the financial year ending November 30 in early December.
By Tom Budszus, Alliance News slot editor
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