15th Sep 2015 08:30
LONDON (Alliance News) - TLA Worldwide PLC on Tuesday swung to a first half loss due to amortisation, acquisition and share-based payments costs, but the company's revenue jumped thanks to the acquisition of Australia's Elite Sports Properties Holdings Pty Ltd while its organic growth also was robust.
The sports marketing and athlete representation company said its pretax loss in the first half was USD1.4 million, swung from a USD1.2 million profit a year earlier, due to costs related to the acquisition of ESP, plus USD2.5 million in share-based payments through its long-term incentive plan. Administrative costs also rose due to the company investing in its rights sales operation and in the International Champions Cup football tournament, which took place in July.
The ESP acquisition also meant revenue in the first half more than doubled to USD21.2 million from USD10.0 million as the deal pushed is total client base to 810, up 76% from 461 a year earlier. Stripping out the acquisition, the group's client base increased 4%, including it bringing on board in the US a number one National Football League draft pick, plus the number two Major League Baseball draft pick and a first round National Basketball Association draft pick.
The group declared a maiden interim dividend at 0.2 pence per share.
"Looking ahead, the good momentum achieved in the first half has continued into the second half, which will benefit from continued organic growth in both segments, coming from established businesses as well as from the successful delivery of major new events such the ICC soccer tournament in Australia. Current trading is in line with the board's expectations," said Executive Chairman Bart Campbell.
TLA shares were down 0.7% on Tuesday to 58.58 pence.
By Sam Unsted; [email protected]; @SamUAtAlliance
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