Bango boosts margins and recurring revenue as subscription platform scales

Bango plc ( (GB:BGO) ) has shared an update.

Bango reported a stronger operating performance for 2025, highlighting a strategic shift toward higher-margin, recurring subscription revenues and tighter cost control. Annual Recurring Revenue rose 30% to $18.2m, underpinned by nearly 60% growth in active subscriptions on its Digital Vending Machine platform, zero churn among live customers and Net Revenue Retention of 117%. The company secured a record 12 new enterprise DVM customers, extending its reach to 7 of the top 8 US telecom operators and new markets such as Japan, South Korea, Turkey and South Africa, although the signing of several large contracts slipped from late 2025 into 2026. While total revenue edged down to $52.2m due to the planned restructuring of a small number of low-margin transactional routes and lower one‑off implementation fees, gross margin improved sharply to 84.5% and cost-cutting reduced core administrative expenses by $2.9m and headcount from 219 to 164. These measures helped swing Cash EBITDA to a positive $2.3m from a $0.2m loss and lifted Adjusted EBITDA to at least $16.3m, even as net debt increased to $9.3m following refinancing and working capital movements. Management says the integration of the DOCOMO Digital acquisition is complete and expects the transactional business to deliver attractive margins with minimal capex, leaving Bango positioned to improve profitability, cash generation and leverage in 2026.

The most recent analyst rating on (GB:BGO) stock is a Hold with a £89.00 price target. To see the full list of analyst forecasts on Bango plc stock, see the GB:BGO Stock Forecast page.

Spark’s Take on GB:BGO Stock

According to Spark, TipRanks’ AI Analyst, GB:BGO is a Neutral.

Bango plc’s overall stock score is driven by strong financial performance and positive earnings call highlights, particularly in the Digital Vending Machine segment and EBITDA growth. However, technical analysis indicates potential bearish momentum, and valuation concerns persist due to negative earnings and lack of dividends. The company’s strategic expansions and financial flexibility are positive, but profitability improvements are needed to enhance the stock’s attractiveness.

To see Spark’s full report on GB:BGO stock, click here.

More about Bango plc

Bango plc is a UK-based technology company that enables digital content providers to reach more paying customers through global partnerships, primarily by facilitating carrier billing and subscription monetisation. Its flagship Digital Vending Machine platform powers bundled and stand‑alone subscription services for major content and technology players, with customers including Amazon, Google and Microsoft, and has strong adoption among leading telecom operators worldwide.

Average Trading Volume: 79,858

Technical Sentiment Signal: Strong Sell

Current Market Cap: £63.13M

Find detailed analytics on BGO stock on TipRanks’ Stock Analysis page.