Shares in XLMedia (XLM) soared 13 per cent following a bullish full-year trading update. The digital marketing specialist - which drives players to gaming websites such as 888.com, then takes a cut of the operators' winnings - estimates that its sales rose 43 per cent in 2014, sending adjusted cash profit up nearly a quarter to $17m (£11m).
XLMedia's outperformance partly reflects its big bets on acquisitions, which have boosted sales, diversified its client base and opened up new markets. For example, it bought US-focused social gaming marketer EDM in September. And it appears to be doubling down on growth: it upgraded its systems and infrastructure last year and bolstered its headcount by more than half.
Broker Cenkos expects full-year pre-tax profit of $14.7m, giving EPS of 6.6¢, rising to $20.2m and 8.9¢ in 2015.
