1st May 2014 09:28
LONDON (Alliance News) - Mobile Streams PLC said Thursday that it had returned to profitability in February and March on an earnings before interest, tax, depreciation and amortisation basis after a loss in January, although it made a loss in its third quarter to end-March overall.
The company is continuing to weather a reduction in profits, hit by the sudden devaluation of the Argentine peso against sterling in January. As a result it made an EBITDA loss in January, and this combined with marketing expenses growing faster than revenues hit quarterly results.
Revenues were GBP11 million, down from GBP14.5 million in the previous quarter. Revenues in Argentine peso terms rose 12%, Mobile Streams said.
Mobile Internet revenues declined to GBP10.5 million from GBP13.4 million, although mobile internet subscribers rose to 4.2 million from 3.1 million at the end of the previous quarter.
The company had cash of GBP2.9 million at the end of March, with around GBP600,000 held in Argentina. The company is moving its cash from Argentina to more stable currencies.
In the full year to June 30, 2013, Mobile streams posted a pretax profit of GBP4.8 million.
Shares in Mobile Streams were trading up 8.5% at 18.85 pence Thursday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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