Fonix Mobile PLC (AIM:FNX) hit the right note as a bullish trading update sent its shares up 7% to 260p.
The mobile payments and online messaging group reported that gross profit and earnings have continued to grow strongly, ending the year ahead of market expectations.
Underlying profit (Adjusted EBITDA) for the year ending June 2024 grew by 18.1% to £13.7 million (FY23: £11.6 million), with Fonix adding that the final dividend will also rise in line with its policy to payout at least 75% of underlying earnings.
Fonix announced it had been selected as a Eurovision voting partner for the first time, managing the voting for the 2024 singalong across two territories - the UK and the Republic of Ireland.
Both the commercial and messaging arms grew by at least 16%, it added.
Rob Weisz, chief executive, commented: “We have continued to see strong underlying growth from our long-standing customers, alongside new income streams from recent client wins such as ITV and RTÉ, and new adjacent product offerings including live broadcast voting and online payment portals.
“Looking ahead, we are making steady progress on our plans to enter a new territory in mainland Europe, with several TV and radio broadcasters lined up to trial services once we launch in the region.”
Shares rose by 16.5p.