REG - Mirriad Advertising - Trading Update

Mirriad AdvertisingAnnouncement

20/11/2024 07:00

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RNS Number : 8688M  Mirriad Advertising PLC  20 November 2024

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is
disclosed in accordance with the company's obligations under Article 17 of
MAR.

 

20 November 2024

 

Mirriad Advertising plc

("Mirriad" or the "Company")

 

Trading update

 

Mirriad (AIM: MIRI), a leading in-content advertising company, announces the
following trading update for the twelve months ending 31 December 2024.

 

As noted in the announcement of interim results on 23 September 2024 (the "H1
Results"), the Company had not been successful in the US "Upfronts"
negotiations and that it was therefore reliant on its traditional routes to
market, notably the "scatter" markets. Progress in those markets since then
has been slower than expected, with advertiser demand in the US affected by
election uncertainty, further decreasing demand for advertising in linear TV,
and continuous emphasis on performance and retail media solutions. A number of
significant potential contracts have been cancelled and progress on others has
been slow.

 

The Company also announced in the H1 Results that it was holding substantive
discussions with large global agency groups to work on partnerships to give
their clients access to virtual product placement content clusters packaged
around seasonal events and specific contextual parameters. These discussions
are active and could still result in substantial revenue in Q4 but are
dependent on the agencies and supply partners agreeing the terms for these
packages.

 

On programmatic, good progress has been made and a Q4 launch is being
targeted, though some technical hurdles remain. In any event, a successful
launch of programmatic is not likely to generate significant revenue in the
current year.

 

As a result of the above, revenue expectations for the year fall in a broad
range from £1m to £2m, with the upper end of that range dependent on the
partnership deals referenced above.

 

Substantial progress has been made on cost saving initiatives, both as
previously announced as well as new initiatives, and the Group run rate cost
base is now c. £8m on an annualised basis. This compares to c. £11.7m in
2023. Cash at the end of October 2024 was just over £6.0m.

 

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

 

 Mirriad Advertising plc                                   c/o Allenby

 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)

 

The person responsible for the release of this announcement on behalf of the
Company is Nic Hellyer, Chief Financial Officer.

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