Interim Results for the six months ended 30 June 2025

Rhea-AI Summary

Bango (AIM: BGOPF) has reported its interim results for H1 2025, showing mixed financial performance. Total revenue increased 5% to $25.2M, while Adjusted EBITDA grew 66% to $6.7M. The company reported a reduced net loss of $3.2M, improving from $4.2M in H1 2024.

Key operational highlights include doubling active subscriptions to 19.2M through their Digital Vending Machine (DVM), securing 7 new DVM customers, and expanding into new markets including South Korea and Japan. The company has completed the DOCOMO Digital routes migration and established strategic partnerships with major telcos, including DISH TV and MTN.

Bango's gross profit margin improved to 84.3% (from 80.8%), though net debt increased to $7.3M (from $5.1M). The company maintains strong customer retention with zero churn in DVM customers and expects significant cash generation in 2026.

Positive

• Adjusted EBITDA increased significantly by 66% to $6.7M
• Active subscriptions doubled year-over-year to 19.2M
• Gross profit margin improved to 84.3% from 80.8%
• Annual Recurring Revenue (ARR) grew 20% to $15.6M
• Zero churn maintained for live DVM customers
• Secured 7 new DVM customers including major telcos
• Net loss improved by 24% to $3.2M from $4.2M

Negative

• Net debt increased to $7.3M from $5.1M
• Total revenue growth was modest at 5%
• Transactional Revenue remained flat at $16.4M
• Net Revenue Retention declined to 108% from 159%
• Other Income decreased to $0.4M from $1.4M

CAMBRIDGE, United Kingdom, Sept. 16, 2025 (GLOBE NEWSWIRE) -- Bango (AIM: BGO), this week announced its Interim Results for the six months ended 30 June 2025.

Financial Overview (unaudited):

Results for the 6 months ended 30 June 2025	1H25	1H24	Change
Total Revenue	$25.2M	$24.1M	+5%
Transactional Revenue1	$16.4M	$16.4M	+0%
DVM & One-Off2	$8.9M	$7.7M	+15%
Annual Recurring Revenue (ARR)3	$15.6M	$13.0M	+20%
Net Revenue Retention4	108%	159%
Adjusted EBITDA5	$6.7M	$4.0M	+66%
Profit (Loss) for the period6	($3.2M)	($4.2M)	+24%
Net Debt7	$7.3M	$5.1M	+$2.2M

Notes:

• Total Revenue increased by 5% to $25.2M (1H24 $24.1M), with Total Transactional Revenue¹ flat at $16.4M (1H24 $16.4M) as the 10% growth in core routes was masked by volatility in a small number of high cost of sales routes acquired with DOCOMO Digital
• Gross profit margin increased to 84.3% (1H24 80.8%) driven by high margin DVM growth, procurement initiatives and strong performance in core transactional routes
• ARR up 20%. Net Revenue Retention of 108% (H1 24: 159%) with churn of live DVM customers remaining at zero
• Other Income was $0.4M (1H24 $1.4M) and is not included in the revenue figure above; this is related to recovery of costs from the acquisition of DOCOMO Digital
• Net debt rose to $7.3M at 30 June 2025 (30 June 2024 $5.1M) driven by planned working capital movements and supported by the previously announced enhanced loan facility with NHN and the $15M NatWest revolving credit facility. These were secured to strengthen the balance sheet and enable acceleration of planned efficiency improvements

Operational Highlights

Existing Customers

• Active subscriptions managed by the Digital Vending Machine® (DVM^TM) at the end of 1H25 doubled (vs the end of 1H24) to 19.2M
• A leading social media platform is using the DVM to grow their subscription customers through Telco bundled offers in India
• Sirius XM (US based music streaming service) expanded their use of the DVM (beyond enabling Telcos to bundle their services) to bundle third-party subscription services (e.g. Fox Nation) with Sirius XM subscriptions directly to their customers, a model that content providers are increasingly adopting

New Customers

• 7 DVM customers won in 1H25 (compared with an average of 9 wins in 12 months for the past two years). Highlights include:
  • Additional US Telco win, leading to the DVM now being adopted by 6 of the top 8 US Telcos
  • First DVM customer in South Korea as Korea Telecom adopt the DVM for bundling, initially focusing on AI based subscriptions
  • First Telco DVM customer in Japan
  • New Telco DVM customer in Western Europe as European Telcos begin the transition from analysis to implementation

Product & Ecosystem

• 116 content providers are now integrated with the Digital Vending Machine
• Launched the world’s first fully integrated Super Bundling platform, incorporating new capabilities and technology into the DVM including the CX (user interface) and powerful offer management and orchestration features
• Cable operator Altice (US) became the first customer to go live with the DVM CX (user interface)

Post Period Highlights

• Migration of the DOCOMO Digital routes from the Frankfurt data center is complete
• Partnership announced with DISH TV, (one of the top 8 Telcos in the US), and its streaming TV brand, Sling TV to launch and scale new subscription offerings and bundles for their customers
• Partnership with Telkomsel Indonesia to bundle Microsoft PC Game Pass
• Signed an agreement with MTN (the largest operator group in Africa spanning 16 markets) with deployment starting in South Africa. This is the first DVM customer in the region
• Certified ISO22301 for Business Continuity by BSI

Paul Larbey, Chief Executive Officer of Bango, commented:

“Bango has delivered a strong first half in 2025, making significant progress towards becoming the place where people subscribe. Adjusted EBITDA grew by 66% and Annual Recurring Revenue increased 20% year-on-year. The Digital Vending Machine® continues to gain momentum, managing over 19 million active subscriptions at the end of June – twice the number at the same point last year. This momentum was underpinned by 7 new customer wins so far this year, including our first in South Korea, a first Telco in Japan and with further wins in the US meaning 6 out of the top 8 Telcos in the US rely on the Digital Vending Machine for bundling.

Adoption of the DVM is also broadening beyond Telcos, with leading content providers and platforms increasingly selecting Bango to power their bundling strategies. The launch of our fully integrated Super Bundling platform, and the first deployment of the new DVM CX by Altice in the US, further strengthens our position as the standard platform for subscription bundling.

In the payments business, the core, high-margin transactional routes delivered solid growth, even as volatility in a small number of acquired DOCOMO Digital routes masked the underlying performance. With the migration from the Frankfurt data center complete, the integration of DOCOMO Digital is now behind us. Following the efficiency savings delivered this year, Bango is well positioned for significant cash generation in 2026.

I am excited by our growing base of blue-chip customers and encouraged by their expanding application of the Bango DVM to power a varied and compelling range of bundled offers. Bango is well positioned to deliver scalable, profitable growth and to capture the expanding global opportunity in subscription bundling.”

¹ DVM & One-off Revenue includes all DVM license and support fees, revenue from Bango Audiences (discontinued in Q1 2024) and one-off fees including DVM set-up and change requests.
² Transactional Revenue is revenue derived by charging a percentage of the retail price paid by the consumer and is made up of direct carrier billing, resale and e-Disti revenue share amounts.
³ Annual Recurring Revenue is the expected annual revenues to be generated in the next 12 months
based on contracted revenues recognized as at 30 June 2025.
⁴ Net Revenue Retention is a measure of the retention and expansion of revenue from existing customers over the previous 12 months and is calculated by dividing the ARR from existing customers at the end of a period by the ARR generated from those same customers at the beginning of the period.
⁵ Adjusted EBITDA is earnings before interest, tax, depreciation, amortization, negative goodwill, exceptional items, share of net loss of associate and share based payment charge. 
⁶ Attributable to equity holders of the company.
⁷ Net debt is borrowings less cash and cash equivalents plus short-term investments.

RNS announcement

Read the full regulatory announcement here - Interim Results for the six months ended 30 June 2025

Presentation and Webcast

A presentation of the half year results will can be viewed here - https://www.investormeetcompany.com/companies/bango-plc

Engage with the Bango management team directly by asking questions, watching video summaries and seeing what other shareholders have to say. Navigate to our interactive Investorhub here: https://bangoinvestor.com/link/rD16pP

Contact Details:  
investors@bango.com

FAQ

What were Bango's (BGOPF) key financial results for H1 2025?

Bango reported total revenue of $25.2M (up 5%), Adjusted EBITDA of $6.7M (up 66%), and reduced its net loss to $3.2M from $4.2M in H1 2024.

How many active subscriptions does Bango's Digital Vending Machine (DVM) manage?

As of H1 2025, Bango's DVM manages 19.2 million active subscriptions, which represents a 100% increase compared to H1 2024.

How many new DVM customers did Bango win in H1 2025?

Bango won 7 new DVM customers in H1 2025, including their first customers in South Korea and Japan, plus additional US telco partnerships.

What is Bango's current net debt position?

Bango's net debt stood at $7.3M as of June 30, 2025, an increase from $5.1M in the previous year, supported by an enhanced loan facility with NHN and a $15M NatWest revolving credit facility.

What is Bango's Annual Recurring Revenue (ARR) growth?

Bango's ARR grew by 20% to reach $15.6M in H1 2025, compared to $13.0M in H1 2024.

How has Bango's gross profit margin changed?

Bango's gross profit margin increased to 84.3% in H1 2025, up from 80.8% in H1 2024, driven by high-margin DVM growth and strong performance in core transactional routes.