New top level domain company to issue dividend as revenue and cash flow picture improve.
New top level domain name company MMX (Minds + Machines, London AIM: MMX) previewed its 2019 earnings today and announced plans to introduce a dividend.
The company’s revenue mix has improved. For 2019, it says that 60% of revenue came from renewals, 30% from new registrations and just 10% from one-off brokered sales. Brokered sales are kind of like a hamster wheel as they start at zero each year. They represented 18% of MMX’s revenue in 2018, so the reduction to 10% while revenue increased is good news.
MMX is also reducing its reliance on revenue from China, which can be less stable.
The improved position comes after the company refocused its business under CEO Toby Hall in 2016. He shut down the loss-making registrar business and focused the company as a pure-play registry provider. The company also acquired ICM Registry, a fairly stable registry that operates adult-themed top level domains such as .xxx.
MMX will release its full earnings at the end of March.