REG - Mirriad Advertising - AGM statement

Mirriad AdvertisingAnnouncement

28/06/2024 07:00

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RNS Number : 2308U  Mirriad Advertising PLC  28 June 2024

28 June 2024

 

Mirriad Advertising plc

("Mirriad" or the "Company")

 

 

AGM statement

 

Mirriad, a leading virtual product placement and in-content advertising
company, announces that at the Company's Annual General Meeting ("AGM") being
held later today, Chairman, John Pearson, will give the following update on
trading:

 

"Revenue for the first half of the year is expected to be in the order of
£400k (H1 2023: £592k). This is disappointing but we anticipate significant
contributions from partners' sales in H2 and, in particular, contributions
from our inclusion for the first time in the US Network Upfronts*, which are
heavily weighted to Q3 and Q4 as per industry norms. There are multiple
Upfront discussions between partners and agencies that involve Mirriad-created
inventory as part of yearly packages, and we are optimistic that these
discussions will lead to substantial budget allocations. We remain confident
in our overall revenue expectations for the year though this does now depend
increasingly on these partner-led initiatives, over which we have only limited
visibility.

 

In addition to the above, we have initiated co-marketing activities with
multiple partners that will launch in July 2024 and are expected to push sales
for the remainder of the year. In the US we have launched EMPOWER, a strategic
alliance with diverse-owned media supply partners designed to build a more
equitable media ecosystem and drive the Inclusive Media movement forward. This
market represents a significant standalone revenue opportunity and Mirriad is
well-positioned to capitalise on the need for inventory in this space.

 

Our push towards programmatic sales, sustained by growing advertiser and media
partner demand, has progressed in terms of the alignment with leading adtech
and CTV (connected TV) companies in the industry; however, in a complex
ecosystem of interlinked players, we have been constrained by the readiness of
some third parties. We therefore acknowledge a delay to the programmatic
roll-out in CTV that had been expected in H1, but stress that the overall size
of the opportunity to integrate the Mirriad ad format as a new standard in the
ecosystem remains the same.

 

With regard to cost savings, we have already initiated the majority of the
£250k of annualised administrative cost reductions set out in the fundraising
announcement of 2 May 2024. In addition, we have implemented approximately
£200k out of the £750k of potential annualised operating cost savings that
had been identified and which were also referenced in the fundraising
announcement. We continue to monitor costs carefully and expect to be able to
implement further cost savings in H2, with some offset by selected
recruitment, in particular to maintain Trusted Partner Network (TPN) Gold
status and scale programmatic activation and sales."

 

 

*In TV advertising, the "Upfront" is the long-established practice of buying
and selling TV advertising time months in advance, typically in the Spring of
each year, for advertising space scheduled to air in the coming television
broadcast year. The most significant of these events is the US Network
Upfronts, an annual, weeklong event in New York.

 

For further information please visit www.mirriad.com (http://www.mirriad.com)
or contact:

 

 Mirriad Advertising plc                                   c/o Charlotte Street Partners

 Stephan Beringer, Chief Executive Officer

 Nic Hellyer, Chief Financial Officer

 Nominated Adviser and Broker:                             Tel: +44 (0)20 3328 5656

 Allenby Capital Limited

 James Reeve/Lauren Wright (Corporate Finance)

 Guy McDougall/Matt Butlin (Sales and Corporate Broking)

 Financial Communications:                                 Tel: +44 (0) 7741 659021

 Charlotte Street Partners

 Tom Gillingham

 

 

 

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