LONDON: UK-based video streaming solutions firm Aferian plc (LSE AIM: AFRN) reported a return to profitability in the first half of fiscal 2025, fueled by surging demand for its Amino division and strategic cost restructuring.
In unaudited results for the six months ended May 31, Aferian posted a 36% year-over-year jump in revenue to $16.6 million, compared with $12.2 million in the prior period. Adjusted EBITDA landed at $1.7 million, reversing a $2.4 million loss in H1 2024. The sharp turnaround underscores operational momentum and disciplined cost execution from the company’s FY24 restructuring program.
“The momentum we established in the second half of last year has continued into H1 2025,” said CEO Mark Carlisle. “Revenue grew by more than a third, returning us to profitability. We remain confident in our refinancing discussions and expect full-year results to track ahead of expectations.”
The Amino business—which supplies streaming solutions for Pay TV, Enterprise Video, and Digital Signage—posted a 94% revenue increase to $9.3 million. Robust sales execution and larger order volumes from existing clients fueled the expansion.
24i, Aferian’s streaming technology unit, maintained revenue stability at $7.4 million. Annual Recurring Revenue (ARR) for 24i held steady, with product innovations including enhancements to the 24i Video Cloud supporting new wins and offsetting churn.
Adjusted operating cash flow before tax swung to an inflow of $1.1 million, from a $5 million outflow a year earlier. Inventory levels fell to $2.1 million, down from $4 million in H1 2024.
However, Aferian reported net debt of $14.6 million at May 31, up from $12.7 million at FY-end. The company is in the midst of renegotiating its existing bank facilities, due for repayment in September. Talks with lenders are ongoing, but no final agreements have been reached, leaving uncertainty around the refinancing timeline.
Subject to refinancing, Aferian is poised to capitalize on its solid H2 order book. The board now expects full-year FY25 revenues to grow approximately 20% versus FY24, with overall performance aligned with forecasts.