B2B digital-music firm 7digital has published its latest trading update, revealing that its revenues grew by 13% year-on-year to just over £5.9m in the first half of 2017.
The company said its licensing revenues grew by 25%, as it ended June with £1.3m in the bank. The company also won contracts worth around £5m in the first half of the year for clients including DTS, HDtracks and TriPlay’s eMusic.
7digital also took the opportunity to announce more contract wins: one with in-flight entertainment firm Global Eagle; another with French firm Deedo, which is launching an African-focused streaming service later this year; and another with US startup Fan Label, which is launching a “music fan engagement platform” in September that will use music clips.
7digital reiterated its recent claim that 2017 as a whole will see “a much reduced loss” compared to 2016, when its net loss was £5.3m. 7digital hopes that 2018 will be “a year of profitability and positive operating cash flow” as the effects of its recent acquisition of rival 24-7 Entertainment kick in.
In a separate statement it said it expects a combined loss before interest, tax, depreciation and amortisation (EBITDA) of around £1.5m in 2017, but then an EBITDA profit of £3.4m in 2018.