Time Out's maiden revenue to be ahead of expectations

Magazine publisher Time Out Group anticipates that its maiden full year revenue will be ahead of expectations and net cash will be better than predicted after a stronger second half.

The AIM-listed company, which floated last June, said after revenue in the second half of 2016 outgrew the first, it now anticipates revenue to be ahead of expectations.

Meanwhile, losses are expected to be in line with forecasts and net cash is forecast to be better than previously anticipated.

Revenue, including a full year of the market business on a proforma basis, is expected to grow 23%, or 17% at constant currency.

The second half of the year saw revenue grow 29%, more than the 16% growth in the first half.

The company opened a food and cultural market in May 2014, and last year signed leases for market space in Porto, London and Miami, which are expected to open in the second half 2017.

Revenue from the market business more than doubled year-on-year, or increased 85% in constant currency, as a record 3.1m people visited Time Out’s market in Lisbon, up 63% from 2015.

Time Out Digital’s revenue surged 39%, with 44% in the second half of the year compared to 33% in the first half.

Within digital revenue, advertising grew 36%, premium profiles were up 51% and e-commerce increased 45% year-on-year.

Chief executive Julio Bruno, said: “I'm encouraged by the growth we've seen in particular across key areas like digital advertising and e-commerce as well as Time Out Market … We continue on our journey to be the leading global media and entertainment business that inspires people to connect with cities through content, curation and experiences."

Shares in Time Out Group were up 1.48% to 137.50p at 0846 GMT.