UK's Bango 1H revenue rises, helped by subscription platform growth
UK's Bango 1H revenue rises, helped by subscription platform growth
Overview
UK subscription bundling platform's 1H26 revenue grew 3% yr/yr, driven by Subscriptions segment
Adjusted EBITDA for 1H26 rose 34%, reflecting operating leverage and improved profitability
Annual Recurring Revenue climbed 31% yr/yr, supported by customer expansion and new wins
Outlook
Bango expects restructuring of non-core payment routes to complete in 2026, with minimal EBITDA impact
Company says trading remains in line with full-year market expectations
Subscriptions momentum continues into 2H26, but company remains cautious due to macroeconomic uncertainty
Result Drivers
PAYMENTS RESTRUCTURING - Co said Payments revenue declined due to planned restructuring of legacy low-margin routes, aimed at improving profitability and cash generation
SUBSCRIPTIONS EXPANSION - Subscriptions revenue grew as existing customers expanded use of the platform, with Net Revenue Retention rising to 119%
HIGHER-MARGIN MIX - Gross margin expanded as higher-margin recurring subscription revenues increased as a share of total revenue
Company press release: ID:nRSY2248Wa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Revenue |
| $25.9 mln |
|
H1 Net Loss |
| $674,000 |
|
H1 Adjusted EBITDA |
| $9 mln |
|
H1 Annual Recurring Revenue |
| $20.40 mln |
|
H1 Gross Profit |
| $22.62 mln |
|
H1 Operating Income |
| $281,000 |
|
Analyst Coverage
The one available analyst rating on the shares is "buy"
The average consensus recommendation for the online services peer group is "buy"
Wall Street's median 12-month price target for Bango PLC is GBp181.00, about 194.3% above its September 24 closing price of GBp61.50
The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 20 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)