Despite the impact of the worldwide COVID-19 pandemic, the global podcast company Acast reports its revenue grew 55% during the first quarter to $12.1 million. “We had a very successful Q1,” CEO Ross Adams said about the start of the year. He noted that not only did the company’s gross profits go up 48%, it also posted a smaller net loss compared to the fourth quarter. Acast also said it had 600 million downloads during the first three months of the year, the most it has ever recorded during a first quarter.
Like many companies, many of Acast’s employees are now working from home. “We find that we have been more efficient in these times and we have done incredibly well as a digital business so we are well-positioned to come out of this in a very strong manner,” said Adams, who is working from his home in London. The company did, however, forego a traditional conference call with investors and analysts, opting instead for Adams to release his quarterly update in a YouTube video.
During the first quarter Acast launched its Acast Marketplace, which allows smaller podcast creators to tap into the scale offered by a larger advertising network. The move has its roots in Acast’s acquisition of rival hosting company Pippa last April for $2.4 million. That led the company to begin working with smaller podcasters.
Acast also expanded into the Mexican market, its first in the Spanish-speaking world, which Ross said has benefited from the addition of several key podcasts. “That is a future core market for us,” he said.