MMX Shows Resilience to Covid-19 Pandemic

MMX, a company that operates a number of new gTLD domain extensions like .Work, .Law, .Fit, among others, published a Trading Update and AGM Notice for the first half of 2020. According to the update, it would appear that the business has not really been hampered by the Covid-19 coronavirus pandemic:

MMX Trading Update and AGM Notice for H1 2020https://t.co/e174pPZ5VH #businessnews #technews #domains pic.twitter.com/ShIRfca78g

— MMX (@mmxdomains) July 30, 2020

Year over year, registration volume grew by 31% to 2.38 million as of June 30, 2020. This is compared to a registration volume of 1.82 million domain names at the end of the first half of 2019. As a result, MMX saw its online channel sales grow by 20%. The company, however, saw a small decline in revenue due to the way it classifies its billings. The report offers additional details about this and the impact on the business.

MMX CEO Toby Hall offered the following comment in the filing:

“I am delighted that our business has proved so resilient to the COVID-19 crisis. The momentum we’ve been building in the channel over the last three years is now demonstrably coming to the fore and driving the ongoing improvement in our billings mix, with 66% of our H1 billings being renewals compared to 60% in H1 2019. It is also encouraging to note that the H1 uplift was not reliant on either brokered or brand protection billings. In short, we are now an incrementally cash generative business with a robust SaaS-type revenue model where 99% of billings in the period were through the automated channel. As a traditionally H2 weighted business, we are further encouraged by the outlook for the full-year as new partner initiatives delayed in Q2 due to COVID-19, are now set to commence in H2.”

There are additional details in the report for those who wish to dive deeper. MMX stock trades on the London Stock Exchange.