Crossrider plc Trading Update (8026L)

TIDMCROS

RNS Number : 8026L

Crossrider plc

24 July 2017

24 July 2017

Crossrider plc

("Crossrider", the "Group" or the "Company")

Trading Update

Crossrider (AIM: CROS), the B2C security software and online distribution platform, today announces a trading update for the six months ended 30 June 2017.

The Company is pleased to report that trading is in line with expectations. Crossrider continues to make significant progress on the Group's strategic priorities, with revenues for the first six months of the year expected to be approximately $29.7 million and adjusted EBITDA* in the region of $3.0 million.

Crossrider's core App Distribution division has performed strongly in the first half with revenues expected to be $20.6 million (H1 2016: $18.2 million), reflecting the successful expansion of Crossrider's B2C cyber security software business. The Media division's performance continues to be stable with revenues for the first six months in the region of $7.4 million (H1 2016: $7.5 million).

Cash conversion for the first six months has continued to be strong at c.90%, with the Company's cash balance as at 30 June 2017 standing at $67.9 million, including $6.4 million of acquisition expenditure in the period (31 December 2016: $72.1m).

The Company has continued to expand its range of security software products in the period. In March 2017, the Group announced the acquisition of CyberGhost, a leading SaaS Virtual Private Network provider. Crossrider is pleased to report CyberGhost continues to perform ahead of expectations, proving the capability of Crossrider's distribution platform in driving customer engagement.

Ido Erlichman, Chief Executive Officer of Crossrider, commented:

"Crossrider's first half performance further demonstrates the Group's ability in executing on its software portfolio expansion strategy through acquisitions and subsequent internal development. This, alongside organic growth initiatives, leaves us well-placed to drive future profitability and enhance shareholder value."

* Adjusted EBITDA is a non GAAP measure and a company specific measure which excludes other operating income and expenses which are considered to be one off and non-recurring in nature

Enquiries:

 
 Crossrider plc                            via Vigo Communications 
  Ido Erlichman, Chief Executive 
  Officer 
  Moran Laufer, Chief Financial Officer 
 Shore Capital (Nominated Adviser 
  & Broker)                                [phone] 
  Bidhi Bhoma / Toby Gibbs                  2496 
 Vigo Communications (Financial 
  Public Relations) 
  Jeremy Garcia / Fiona Henson / 
  Antonia Pollock                          [phone] 
  [e-mail]                  9703 
 

About Crossrider

Crossrider distributes and develops digital products in the online security space. The Company utilises its proprietary digital distribution technology to optimise its reach and create a superb user experience. The Company offers products which provide online security, privacy and optimal online experience. Crossrider's vision is to provide and develop best-in-class digital products for its customers and partners globally.

www.crossrider.com

This information is provided by RNS

The company news service from the London Stock Exchange

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July 24, 2017 02:00 ET (06:00 GMT)