The virtuous circle strategy continues to deliver
Bango has announced solid H1 2019A results in our view, with momentum remaining strong. At £467m, End User Spend (“EUS”) was confirmed as having more than doubled for a fifth consecutive year, and underlying opex levels remain broadly stable. A further highlight was the positive contribution from the data business, which now contributes over 25% of group revenue. We make revisions to FY 2019E earnings estimates following the release, noting, inter alia, Bango’s continuing commitment to investment in R&D to support its innovative product development. We also introduce FY 2020E forecasts for the first time which reflect the fruits of that investment.