21st Aug 2014 10:38
LONDON (Alliance News) - Cloudbuy PLC Thursday reiterated confidence that its mid-term turnover and margin targets are "eminently achievable," as it posted a widened pretax loss and increased costs in the half-year to the end of June.
The company posted a pretax loss of GBP1.6 million, widened from GBP301,000, as revenue rose to GBP1.5 million from GBP1.4 million, as administrative expenses and share based payments rose. This was as a result of adding to headcount during the year, as part of the company's focus on "globalising" its business, it said.
The company had a successful market entry in Australia and New Zealand, it said, as it went live with two projects. It said the projects were significant because they were on its new revenue model where it collects a small percentage of the value of transactions through the system.
CloudBuy said it was moving forward with its support of Asian languages and Asian cross-border taxation requirements as it pursues opportunities in Asia, the Middle East, Africa and North America.
It also secured several contracts in Health and Social Care in the UK, and was approved as a supplier for the UK Government's Local Authority Software Applications framework. The four-year framework replaces the current Local Government Software Application Solutions framework, which came to an end in July 2014.
"With this level of growth, profitability and potential, our medium-term target of £50m turnover and 90% margin looks eminently achievable," said Executive Chairman Ronald Duncan in a statement.
Shares in Cloudbuy were trading up 4.9% at 40.90 pence Thursday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
Copyright 2014 Alliance News Limited. All Rights Reserved.
Related Shares:
CBUY.L