Shares in Silver Bullet Data Services Group PLC (AIM:SBDS) shot up in early trade after the company announced strong revenue growth and a reduction in losses for the first half, leading it to forecast a swing to profit next year.
At 10.30 am, shares were up 31.58% at 37.50p.
In a trading update, the digital marketing services company said revenue grew by 76% to £4.1 million in the six months to 30 June 2023, with losses for the period narrowing “significantly”, in line with expectations.
The strong performance was driven by the company’s key markets in the US, UK and APAC, with the US accounting for 35% of sales in the first half, and substantially lower costs.
Silver Bullet noted rising demand for its Contextual AI product 4D and highlighted sales commitments of over $1 million from a leading US media agency since the start of this year.
The company said it is well placed to “achieve a headline profit before tax on a quarter by quarter basis from Q1 2024”.
"We are delighted that the momentum in the first quarter has continued, with particularly impressive growth from our 4D AI platform,” commented chief executive Ian James.
“The board is optimistic that market conditions are encouraging customers to adopt our privacy first marketing transformation services and products, which are becoming a vital part of their business strategy."