One Media iP's core business trades in line with expectations
Digital media content group One Media iP said on Friday that its core business had traded in line with expectations against a "positive industry backdrop".
One Media stated its core business of "music exploitation" continued to perform in line with expectations, with the group now expecting to see full-year revenues of roughly £5.1m, reflecting year-on-year revenue growth of approximately 16%, and underlying earnings of about £1.8m.
"The outlook for the music industry, despite wider market challenges, remains on a strong and positive growth trajectory," said One Media.
The AIM-listed group also reported that its anti-piracy Software-as-a-Services subsidiary, TCAT, had signed additional industry contracts and trials for its proprietary software and was continuing to "gain traction internationally" with both major and independent labels. One Media said it will continue to use its cash resources to invest in TCAT's operations.
Chief executive Michael Infante said: "We are pleased to be on course to deliver results that are in line with expectations, including double-digit revenue growth. The board's decision, which was made alongside our major shareholders and advisors, not to progress with external funding options for TCAT at this particular time is based on a thorough assessment of its future potential.
" Having come through that process and against the positive trajectory of the industry backdrop, we believe that One Media has more to gain by investing into the next stage of TCAT's growth and exploring the strategic options available to realise value creation further down the line."
As of 1040 GMT, One Media shares were up 4.62% at 6.80p.
Reporting by Iain Gilbert at Sharecst.com