Bidstack Group PLC (LON:BIDS) told investors it is pleased with its progress and noted that the fledgling In-game advertising industry is seeing a spike in demand amidst the coronavirus (COVID-19) pandemic.
The company, which hosts its AGM later on Thursday, has seen notable momentum in recent weeks with new agreements entered into for key partnerships and it is now working with most of the major ad firms.
James Draper, Bidstack chief executive said in a statement: “The disruption to the advertising industry arising from the global cancellation of live sports as a result of COVID-19 has resulted in media buyers following audience demand and seeking to get in front of the increasing numbers of consumers turning to video gaming as an alternative.
"Bidstack has successfully secured increasing demand-side interest from multiple ad agencies. The company has received its first advertising bookings from the US as well as its first bookings from its network of approved local agencies in Europe, Africa and South America."
He added: “Although initial spends have been small, the Company has run campaigns for many international brands including Activision Blizzard, Audi, BBC, Football Index, JBL, MG Motors, Penguin Random House, Shell, Subway, Unilever, Vodafone, VW and Warner Music.
“As well as having run its first campaign in a new game from a global leader in digital interactive entertainment, the company is also actively selling advertising into a title from a leading creator, publisher and distributor of interactive entertainment and services.”
Draper noted that Bidstack is looking ahead to the launch of new generation consoles – Sony Playstation 5 and Microsoft’s Xbox Series X – later this year along with the increasing prominence of console-less streaming gaming services.
These new platforms are expected to become major players in the future of high fidelity gaming and will be among the platforms to capture the extensive secondary viewing market.
In terms of Bidstack's technical capabilities, Draper highlighted progress with the company’s proprietary software development kit (SDK) which enables the implementation of its in-game ad placement.
“The company remains confident that it is making material progress in its approach to building a strong foundation on which to grow and create value for shareholders,” Draper said.
He added: “The board continues to expect revenues for 2020 to be very significantly second-half weighted and in line with market expectations for the year. In the meantime the Board remains focussed on careful management of the Company's existing cash resources and expected trading and non-trading cash receipts as it continues to grow the business."