XLMedia in the dark over share price fall

XLMedia in the dark over share price fall

XLMedia responded to a sharp fall in its share price on the London Stock Exchange earlier today (Wednesday) by insisting it was unaware of any “operational or corporate reason” for the movement.

Published 10th October 2018

The digital marketing services provider's share price slumped by 10% from 78.60p at the start of trading to 70.75p by 12.15pm, prompting the company to release a statement saying that it had noted “the recent share price movement” whilst adding that it could not offer a reason for the decline.

Just half an hour after the statement was published at 2.20pm, XLMedia’s share price had recovered to 78p.

The company’s share price has more than halved since the start of the year, when the price hovered around the £2 mark.

“The company continues to trade in line with market expectations for the year ending December 31, 2018, has a material cash balance and continues to generate strong cash flows from operations,” XLMedia said this afternoon. 

“The company's strategy remains to grow the business both through organic and acquisitive growth.”

Last month, XLMedia posted a fall in revenue and adjusted earnings for the six months through to the end of June.

The company’s chief executive Ory Weihs said in September that the company had been focusing on executive acquisitions to accelerate growth this year and had produced a “solid profit performance” in H1 despite facing “regulatory pressures and challenging market conditions”.