As the affiliate marketing publisher records its latest steps in recovering from its Google manual rating penalty, XLMedia has released an FY 2020 sales and adjusted EBITDA update.
The company is pursuing a multi-track strategy to recover its vertical casino, where a range of sites were penalised by Google in the early stages of last year, as previously detailed in a previous business update provided in September 2020.
The company had previously detailed in the midst of H1 difficulties that the January Google deranking stopped the casino division of the company from taking full advantage of the industry-wide uptick in online casino and gaming, unlike some of its rivals.
Fundamental rationalisation of its portfolio
XLMedia updates that the process is being carried out “in conjunction with a fundamental rationalisation” of its portfolio, recording its mitigation activities, which it claims would “significantly” minimise the total number of sites and enhance the efficiency of those remaining. This, it says, will be through an emphasis on highly engaging content and improved features to drive higher traffic and create customer loyalty.
XLMedia ensures that the path to rehabilitation is an orderly combination of a four-step strategy that involves sending those sites that have been re-built in-house or in collaboration with a partner to Google for reconsideration.
In addition, the business is to build some entirely new websites, where this is the best strategic option; de-index those that are immaterial and may have a negative effect on the authority of the premium websites; and dispose of websites that no longer suit the direction of the organisation.
To date, the company has succeeded in withdrawing the penalty for three of the ten sites it needs to restore, which are Casino.pt, Casino.gr and CasinoKiwi.co.nz.
Submission procedures to Google for reconsideration have been adequately followed, asserting that the main construction work on all the reconstructed sites it is looking to move forward has been completed.
According to XLMedia, learning from both successes and initial rejections is applied to the continuous improvement of the remaining sites, which will be resubmitted in due course.
In addition, XLMedia has announced an intention to generate revenue of approximately $54.5 million (H1 2020: $27.7 million) and adjusted EBITDA for the previous year in the area of $11.5 million (H1 2020: $5.1 million), excluding transition costs and share-based compensation.