29th Nov 2018 13:11
LONDON (Alliance News) - Bonhill Group PLC on Thursday said its loss widened in the first half of its current financial year, but revenue jumped following the acquisition of InvestmentNews.
Bonhill was formerly known as Vitesse Media PLC, but changed its name in August.
The stock was up 3.9% on Thursday at 81.00 pence a share.
The electronic books publisher said pretax loss widened to GBP2.5 million in the six months to the end of September from GBP242,000 reported for the same period a year prior, as operating expenses quadrupled to GBP4.9 million from GBP1.2 million.
Meanwhile, revenue more than doubled to GBP2.7 million from GBP1.0 million year-on-year, thanks to recently acquired InvestmentNews, which contributed GBP1.7 million of revenue.
Bonhill bought the US financial adviser InvestmentNews in mid-August for USD27.1 million.
"We are discovering that the opportunities InvestmentNews affords us are even greater than we first thought. It has a number of positive effects, not least of all its revenue, profit and cash generation which provide a proper platform for us to continue our plans," said Bonhill Chief Executive Simon Stilwell.
Looking forward, the company said InvestmentNews continued to perform ahead of its expectations and in the 10 months to the end of October had delivered sales of USD15.9 million, up 18% year-on-year.
In addition, live events in the UK continued to grow, with encouraging sales already booked for the first quarter of 2019.
"We are confident that the new strategy, underpinned by investment into the robust core businesses, positions the company well for the future," added Stilwell.
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