Music downloads lift Monstermob
British ringtones specialist MonsterMob today said it had made a good start to the year as it cashed in on the music downloading boom.
Lancaster-based MonsterMob, which also sells java games and colour wallpapers, said it was well-placed to benefit from the trend towards mobiles becoming people’s main source of music access.
It believed demand for its technology would gather more pace as more sophisticated phones replace items such as music players and other gadgets.
Chief executive Martin Higginson said: “Everyone wants to carry just one device around with them. People always carry their mobile phone but not their iPod or camera.”
He expected this type of device to become the “killer application”, with demand set to take off in the UK this Christmas.
MonsterMob sells services through its website and mobile phone WAP technology as well as through deals with network companies such as Vodafone.
It has been moving into supplying services to mobile network operators such as Vodafone, T-Mobile and O2 by buying Phunky Phones, which supplies the picture messaging and ringtones service Vodafone Live!
The firm recently bolstered its global presence by acquiring a content provider operating across South East Asia and one in the Philippines. It has significant operations in the Americas and Europe.
In a trading update today MonsterMob said it had made underlying earnings of £2.2m (€3.3m) in the four months to April 30 on net revenues of £8.4 million, representing “strong” trading across the business.
It is also looking at entering the potentially lucrative Chinese market.
Matthew Pearson, of stockbroker Investec Securities, said this would provide a significant opportunity for the firm.
He said: “A potential MonsterMob entrance or acquisition would undeniably complement MonsterMob’s existing business and global ambitions.”
He said the earnings figures were ahead of expectations and raised his forecasts for the next three years.
Shares were unchanged at 313.5p today.
