Bango PLC (AIM:BGO, OTCQX:BGOPF), the mobile payments specialist, said underlying earnings came in ahead of expectations as it provided an upbeat assessment of its prospects in the wake of its €4mln acquisition of DOCOMO Digital last August.
By the end of 2022, the company had delivered US$11mln of a total of US$21mln of synergies from the deal and said it is on course for the targeted US$10mln of "incremental" EBITDA by 2024.
In the 12 months to 31 December 2022, Bango posted adjusted EBITDA of US$5mln, which, while down from US$6.1mln the year before because of the "negative contribution" from DOCOMO, was ahead of market forecasts.
The number was achieved on US$28.5mln of revenues, up 38% year-on-year, with the annual recurring figure (ARR) jumping to US$5mln from US$1.1mln. ARR is expected to hit US$10mln this year, which the company said is "comfortably ahead" of guidance. It exited the year with cash of US$12.7mln.
“There is a large and accessible market opportunity ahead for Bango,” said chief executive Paul Larbey.
“We enter the remainder of the year in a strong position with a healthy pipeline and a profitable and cash-generative business which, combined with our strong balance sheet, enables us to continue investing in our growth strategy.”