- Mobile commerce group Bango said Thursday annual earnings would fall short of market expectations despite annual end user spend expected to more than double.

Earnings (EBITDA) would be positive for fourth quarter of 2018, but not for the year as a whole, and therefore below market expectations, which the company blamed on a change in the way it recorded revenue.

'Management has decided to take revenue on several new contracts for subscription services as long-term, higher value annuity revenues rather than one-time, up-front fees this year,' Bango said. End user spend would be more than double that of last year, continuing the four-year trend of more than 100% growth every year, the company added. Total end user spend for 2018 was expected in excess of £550m, above the £271m seen last year. The growth of merchants and EUS on the Bango Platform had been accompanied by increased revenues from Audiens CDP, and from the first sales from Bango Marketplace, launched 13 Dec., enabling further monetization of payment data, the company said.

'Trading as Bango enters 2019 is going well. The payment business continues to thrive, and the increasing pipeline of EUS that can move over to the Bango Platform gives confidence that rapid EUS growth on a stable cost base can continue,' said Ray Anderson, CEO.

'The team at Bango look forward to updating investors and analysts on these exciting developments, and the scale of new revenue opportunities, at the annual Bango Strategy and Capital Markets Day in London on 30 January 2019.' Story provided by