26th Sep 2014 08:23
LONDON (Alliance News) - EU Supply PLC Friday expressed confidence for "substantially" increased revenue in the second-half of the year, as it posted a broadly maintained pretax loss for the half-year to the end of June.
The software-as-a-service provider posted a pretax loss of GBP1.5 million, broadly in line with a loss of GBP1.6 million a year before, as revenue rose to GBP1.1 million from GBP868,000 but this was offset by higher administrative expenses and GBP74,000 in share based payments.
The company listed on AIM last November, and said that during the first-half it had used proceeds from its initial public offering to recruit an international sales team to capture opportunities offered by the implementation of EU directives for e-procurement over the next few years.
Following the period end EU Supply raised GBP1.3 million in a share placing, which it has used to recruit additional members to its sales team.
During the period the company extended all of its longer term revenue generating contracts, it said, and secured "a good level of new contracts."
Whilst a "major" contract it expected to sign shortly after its annual general meeting was delayed, the company has removed the contract from its budget, and said that a number of smaller contracts signed will contribute to its growth in the second-half.
"We are confident that 2015 will deliver strong and profitable growth for EU Supply when several revenue share agreements following ongoing piloting and initial adoption should start generating significant contribution," Chief Executive Thomas Beergrehn in a statement.
Shares in EU Supply were trading down 3.6% at 27.00 pence Friday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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