Sign up
Tech Capital

Minds + Machines posts higher sales as domain name usage grows

Registrations rose to 1.5 million with particularly strong growth in the US
domain names
Minds + Machines saw 1.5mln registrations in the half year

Internet domain specialist Minds + Machines PLC (LON:MMX) increased interim revenues by a fifth as the use of its names grew by 38%.

Registrations rose to 1.5 million with particularly strong growth in the US, though there has been a recent slow-down in high-value one-off sales that will affect top-line revenues.

WATCH: Minds + Machines in good shape and should be viewed as a tech business says Hall

Turnover in the half year to June rose 22% to US$6.4mln (H1 2017: US$5.3mln) including a US$250,000, two-week contribution from ICM, the owner of the .xxx, .adult, .porn and .sex domain names acquired in May.

Renewals revenue rose 40% to US$3.4mln, with the proportion of ICM’s recurring revenue especially high at 96%.

Provisions and write-offs

Operating profits rose to US$661,000 (US$238,000) but underneath was a string of provisions and bad debt write-offs that pushed the group overall into an interim loss of US$14.6mln (US$424,000).

The treatment of certain historic contracts, most notably those inherited by current management, has been addressed enabling a much clearer picture of the company's ongoing progress to be presented in future periods,” said Toby Hall, chief executive.

Going forward, renewal revenues should surpass the group's full cost base within the next 24 months, while new domain-name launches in China and the launch of .luxe means he is cautiously optimistic over full-year underlying profits.

 

PhilW.jpg
Why Invest In Minds + Machines Group Limited? Read More Here

Register here to be notified of future MMX Company articles
View full MMX profile View Profile
View All

Related Articles

Dancing Sikh
With 4bn tickets sold each year for Bollywood films, it is little wonder that India is taking an interest in GrooveME's hologram technology but that same technology can bring a bit of India to places such as Thetford

© tech Capital 2018

Tech Capital, a subsidiary of Proactive Investors, acts as the vanguard for listed tech companies to interact with institutional and highly capitalised investors.
Headquartered in London, Tech Capital is led by a team of Europe's leading analysts and journalists, publishing daily content, covering all key movements in the Technology market.