Harry Potter conjures fresh magic for Bango
Mobile payments technology business Bango is broadening its revenue streams across a range of vertical markets.
Early revenues from the augmented reality mobile game Harry Potter Wizards Unite, significant end user spend from physical goods sales and very strong early growth from a range of new streaming video and audio services have all bolstered the bottom line for the Cambridge company.
Its UK share price was substantially higher on the news – issued in a trading update for the six months to June 30. The interims will be officially announced on September 17.
CEO Ray Anderson reports excellent progress of the Bango Platform with End User Spend (EUS) for the first half in excess of £465 million, more than double the £220m EUS for the first half of 2018.
This exponential upsurge continues a five-year trend of more than 100 per cent EUS growth year-on-year.
Given the excellent performance of the Bango Platform in H1, the board continues to expect total EUS for 2019 to be more than double last year’s.
Bango reports strong revenue growth of 64 per cent to £4.3m in the first half (growth of 54 per cent to £2.6m in H12018)
Management continues to expect significant revenue and EUS growth in 2020 and beyond. This will be driven by recent wins of new Google Play, Amazon and Microsoft routes, supported by strong growth across existing routes and further agreements with major media players, including a new and recently signed global merchant agreement.
Anderson reports strong interest in the new Bango data monetisation business, underpinned by early sales success. The valuable audiences to app developers is growing rapidly, as more mobile operators sign up to monetise data through Bango.
As well as creating direct relationships with app developers and publishers, Bango Marketplace is attracting operators and other payment providers who want to benefit from the opportunity to turn payment data into valuable insights for developers.
This boosts the potential pipeline of customers as Bango seeks to migrate a greater proportion of EUS over to the Bango Platform.
Anderson said: “As Bango enters the second half of 2019, trading is going very well. The payment business continues to operate profitably, delivering rapid EUS growth on a stable cost base and generating cash to support investment in the new Bango Marketplace business.
“The board of Bango is pleased with the successes of Bango Marketplace since launch. In February 2019, Bango Marketplace offered eight audiences, growing to 55 by June 2019.
“This momentum underpins expectations for progress in the second half as Bango aims to convert the strong pipeline of opportunities into new business.
“Management looks forward to updating investors and analysts in-depth on these exciting developments and the scale of new revenue opportunities, when we present interim results in September.”