Bank: LBG Media results “in line”
October 23, 2025
LBG Media, the youth-focused on-line publisher and video broadcaster, has reported a 10 per cent annual revenue increase to £92.2 million, and said it had enjoyed “strong” US growth.
Investment analysts at Berenberg Bank said the company’s numbers were in line with market expectations. “The Direct business continues to deliver – it outperformed our expectations and delivered an acceleration in H2 versus H1, despite a tough competition in H2/24. However, group performance has been dragged down by the Indirect business, which was weaker than expected, following lower referral traffic from Facebook.”
“Management is confident in delivering FY26 (estimated) revenue growth expectations of 10 percent, thanks to a strong pipeline in the US and the UK, but is hiring more senior salespeople to support the opportunity in the US and, as a result, we reduce our FY26 (estimated) adjusted EBITDA forecast by 4 per cent. LBG remains one of the only ways in which to play the long-term shift towards social-first marketing,” the bank added.
LBG says it expects to deliver FY25 (estimated) revenue of £92.2 million, up 6.9 per cent YoY.
Berenberg added: “Constant currency revenue growth was 10 percent, in line with guidance. The Direct business showed strong growth, up by 13 per cent (H1/25: 8 per cent), with double-digit growth in both the UK and the US. This is particularly impressive given that the H2/24 included a c£3.5 million contribution from the men’s Euro 2024 football championships. The Indirect business has had a more mixed performance, with strong performance on social, but weaker performance from its web programmatic business. This was due to lower referrals following Facebook’s change in incentivisation for content creators to compete with TikTok (ie short-form video), a change in leadership and a tough comparator (FY24: +77 percent). Revenue per view (RPMs) have remained stable since H1/25, despite increased macro uncertainty. LBG is looking to rectify the performance in the web division through the appointment of two senior people and expects a recovery from H2/26 (estimated).”
“For the outlook, the company notes that the board remains confident in the growth outlook for FY26, due to its healthy pipeline in the UK and the US, with good growth from existing clients. We make changes to our FY26 (estimated) divisional forecasts and forecast Direct growth of 12.5 per cent (from 10 per cent), and Indirect of 6 per cent (from 9.5 per cent), reflecting the above dynamics. This leaves our overall organic revenue growth rate unchanged at 10 per cent. Management expects organic growth to be mid-single-digit percentage in H1 and to improve in H2 to low double digits as the web business recovers,” added the bank’s note to clients.
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