Dividend as outlook improves — MMX plans

Fresh top level domain firm to issue dividend as revenue and cash flow picture improve.

Picture of a jar with coins in it and the word "dividend"

Fresh top level domain name firm MMX (Minds + Machines, London AIM: MMX) previewed its 2019 earnings today and disclosed plans to introduce a dividend.

The firm’s revenue mix has improved. For 2019, it states that 60% of revenue came from renewals, 30% from fresh 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 following the firm refocused its business under CEO Toby Hall in 2016. He shut down the loss-making registrar business and focused the firm as a pure-play registry provider. The firm also purchased 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.

Also on the wire