1st Jun 2016 08:20
LONDON (Alliance News) - Fusionex International PLC on Wednesday reported a huge fall in profit in the first half of its financial year due to investments it made in its products, but those investments also helped to boost revenue.
The Asia-focused software provider said its pretax profit in the six months ended March 31 dropped to MYR2.5 million from MYR14.3 million in the same period the year before, as "other expenses" more than doubled to MYR32.5 million from MYR14.3 million.
Of this, MYR10 million was part of planned investments for marketing and promotion of its big data analytics software product GIANT, Fusionex said.
Revenue, however, grew to MYR43.5 million from MYR31.6 million, boosted by a strong uptake of GIANT. During the half year, Fusionex secured 32 new GIANT customers, taking the total to 68.
"The first half saw Fusionex make good progress with both our existing and new growth initiatives. I'm delighted that by the end of the first half GIANT had secured an impressive 68 wins in total since its launch, underpinning continued revenue growth in a period of significant investment," Chief Executive Ivan Teh said in a statement.
"What's even more exciting to me is the impending launch of GIANT 2016. This will open up new addressable markets for us, substantially expanding the potential reach for our market-leading products, and represents a key milestone in our strategy to accelerate growth considerably over the next few years," Teh added.
Shares in Fusionex were trading down 6.5% at 158.00 pence on Wednesday morning.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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