Trading and Strategic Update

CentralNic Group plc (AIM: CNIC), the internet platform business which derives revenues from the global sale of domain names and associated services, provides the following Trading and Strategic Update. The 2016 trading performance in this statement is based on unaudited initial management estimates.

2016 Trading Update

In 2016 the Company continued to grow while increasing recurring revenues:

1 Recurring / subscription revenues include revenues from domain registration, domain renewals and other recurring revenues.

2 Earnings before interest, tax, depreciation, amortisation, acquisition and non-recurring fees and non-cash charges.

2017 Current Trading

The Board is confident in meeting market expectations for the 2017 year:

Strategy

CentralNic has proven its ability to grow both revenues and Adjusted EBITDA from £3.1m and £1.0m respectively in 2013 to £22.1m and £5.5m in 2016, achieving circa 80% recurring / subscription revenues in 2016. CentralNic’s strategy has focussed on increasing its scale and scope of operations and on acquisitions, which along with premium domain sales have underpinned its growth in total revenues, Adjusted EBITDA and recurring revenues. The strategy includes:

Vision

Moreover there is consolidation in the domain services industry which present step-change acquisition opportunities for CentralNic to enter new markets and broaden its service offerings.

CentralNic CEO Ben Crawford said:

"Following the rapid scaling up of our operations in 2016, we have made a pleasing start to 2017. We have additional sales resources, new licences to help grow our business in China, new TLDs launching and opportunities to sell software licenses and enterprise services.

With support from our investors, we look forward to continuing the evolution of our business in 2017, scaling up to meet the demand for domain name services as it grows globally."

For further information:

CentralNic Group plc


Ben Crawford, Chief Executive Officer

+44 (0) 203 388 0600

Andy Churley, Group Marketing Director

+44 (0) 203 388 0600



Zeus Capital


Nick Cowles / Jamie Peel

+44 (0) 161 831 1512

John Goold / Alex Davies

+44 (0) 207 533 7716



Peel Hunt LLP – Joint Broker


Richard Kauffer / Euan Brown

+44 (0) 207 418 8900

Alastair Rae




Abchurch Communications


Julian Bosdet / Tim Thompson / Rebecca Clube

+44 (0) 207 398 7700

centralnic@abchurch-group.com

www.abchurch-group.com


About CentralNic Group plc

CentralNic (LSE: CNIC) is a London-based AIM-listed company. It earns revenues from the worldwide sales of internet domain names using its proprietary technology platform. It sells these domain names on an annual subscription basis. Customers pay for domain names upfront, making CentralNic a cash-generative business with annuity revenue streams.

CentralNic comprises three business lines within the domain name industry. It operates a global wholesale network, supplying domain names to over 1,500 vendors in 77 countries. CentralNic is the exclusive wholesaler for over 30 new Top-Level Domain extensions (the new alternatives to .com and .net). These include .xyz, .site, .online, .website, .space, and .tech. These extensions rank among the top twenty five most subscribed new Top-Level Domains. One in three of all domains registered under new TLDs globally uses the CentralNic platform. This positions CentralNic as the leading global supplier with more than eight million of these domains under management.

CentralNic is also a leading global domain name retailer, with retail websites including internetbs.net, buydomains.london and domain.luxury. After acquiring Instra Group, CentralNic Group now includes instra.com and a number of other leading retail websites. Through its enterprise programme, CentralNic supplies domain names (including high-value premium domain names), software and services directly to large companies and governments.

For more information please visit: www.centralnic.com