This is an updated version of the report published on April 14,2026 at 09:11 AM GMT+1

Audioboom Group PLC

Audioboom Group PLC (LSE: BOOM), is a Jersey-based podcast publisher. The Company’s advertising and monetization platform supports the content business, offering commercial, distribution, marketing, and production services for a network of top-tier podcasts.

Key Recommendation Rationale – Sell at GBX 627.00

• Revenue Quality Deterioration Despite Top-Line Growth: Revenue rose 3% to USD 35.1 million, driven entirely by lower-margin Showcase (+24%) and Premium (+9%) segments. Sonic Integrated Marketing plunged 43% to USD3.8 million, suggesting possible client loss beyond mere spend timing. This two-pillar concentration heightens vulnerability to abrupt advertiser reallocation.

• Persistent Onerous Contract Legacy Dragging Core Margins: Onerous contract net losses were USD1.8 million (H1 2024: USD2.6 million) from two 2022 partner deals. Excluding provision releases, core gross margin is just 17.6% versus 21% reported, revealing structural revenue-share mispricing in legacy agreements that continues to distort underlying profitability.

• Stagnant RPM Despite Ad Tech Investments: RPM fell to USD60.26 from USD61.48 despite higher-margin Showcase’s revenue growth. Pricing power remains elusive amid AI and video investments. Flat-to-declining RPM in a consolidating ad tech market suggests commoditizing inventory or audience engagement, signaling a potential red flag for premiumization efforts.

• Deteriorating Cash Conversion Cycle & Working Capital Strain: Debtor days rose to 80 from 71, while payable days held at 74. Cash from operations was negative USD1.4 million despite USD1.8 million adjusted EBITDA, due to agencies’ 60-90 day terms versus 30-day partner payments. Post-quarter collections of USD2.0 million highlight a structural liquidity timing gap. 

Valuation Methodology: Price/ Earnings Approach

Share Price Chart   

Conclusion

Despite 3% revenue growth, underlying profit and cash flow quality deteriorated. Reliance on lower-margin segments, legacy onerous contracts, stagnant RPM, and a structural working capital mismatch signal weak pricing power and liquidity strain. Without operational fixes, the Group risks eroding returns and facing persistent cash conversion challenges.

Audioboom Group PLC appears overvalued. For conducting the valuation, the following peers have been considered: Baltic Classifieds Group PLC (LSE: BCG.L), Rightmove PLC (LSE: RMV.L), etc

Given its current trading levels, the recent strategic investments and partnerships, relative valuation, and associated risks, it is prudent to exit the stock at the current levels.

Hence, a ‘Sell’ recommendation is given on the stock at the Closing Market Price of GBX 627.00 as of 13 April 2026.

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is 13 April 2026. The reference data in this report has been partly sourced from REFINITIV.

Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings. An 'Exit' from the stock can be considered if the Target Price mentioned as per the Valuation and or the technical levels provided has been achieved and is subject to the factors discussed above.

Note 4: Target Price refers to a price level which the stock is expected to reach as per the relative valuation method and/or technical analysis taking into consideration both short-term and long-term scenario.

Note 5: ‘Kalkine reports are prepared based on the stock prices captured either from the London Stock Exchange (LSE) and or REFINITIV. Typically, both sources (LSE and or REFINITIV) may reflect stock prices with a delay which could be a lag of 15-20 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.’