Minds + Machines sees good domain sales growth

Minds + Machines was looking towards operational profitability on Tuesday, updating the market on its fourth quarter trading ahead of its full-year results.

The AIM-traded owner and operator of internet top-level domains said that, during the three months to 31 December 2015, the company saw significant unaudited billings growth in both standard and premium names as a result of its ongoing transition into a sales-led business.

Minds + Machines also launched the domains .law, .abogado and .miami, and started seing first year renewals of .london domains.

During the period, standard name billings were up 184% to $2.66m (£1.85m), up from $0.94m in the previous quarter. Premium name billings were up 215% to $1.52m, from $0.48m.

At year-end, total billings for the 12 month period rose 57% to $7.92m, with standard name billings accounting for $4.86m, premium name billings $2.94m and other billings $0.12m.

Minds + Machines said additional gross receipts for the year from one-off private general top-level domain auctions amounted to $9.15m - down from $37.5m in 2014.

"We have seen exceptional growth in the new gTLD market in 2015 and we are pleased that our emphasis on sales and commercial partnershups has allowed us to significantly grow out domains under management, while delivering on a range of key revenue metrics as we drive towards crossing over into operational profitability in 2016", said CEO Antony Van Couvering.

"Looking forward, we anticipate setting up a range of sales and marketing initiatives that will allow us to significantly increase domains under management, while protecting our long-term revneue streams in each of our top-level domains", he added.

At the end of the quarter, total domains under management within the firm's registry grew 28% to 278,523 - an increase of 158% on a yearly basis.

"The combination of improving the efficiency of our operations and emphasizing sales and marketing means that, as a board, we can look confidently forward into 2016", said chief operating officer Michael Salazar.

"We have an exceptional portfolio and we look forward to strengthening it as relevant opportunities present themselves", he added.