19th Feb 2014 08:48
LONDON (Alliance News) - Monitise PLC Wednesday reiterated its full year guidance for revenue growth of about 50% and for gross margins to stay above 70%, as it reported a narrowed pretax loss and higher revenues for the first half of the year.
The AIM-listed mobile banking and financial services company also said that it is continuing to consider a move to the main market of the London stock exchange during the year.
The company said its pretax loss narrowed to GBP23.3 million in the six months to end-December, compared with a loss of GBP29.7 million a year earlier as it booked a non-cash exceptional gain of GBP2.3 million relating to its acquisition of Monitise Asia Pacific Ltd, and as revenues jumped 67% to GBP46.5 million, from GBP27.8 million.
It said the revenue rise was driven by customer wins and licence renewals. It said it had 28 million registered customers using its payment services at the end of the year, up from 20 million in the previous year.
However, the increase in revenue was partly offset by higher sales costs and operating costs, as well as higher charges for depreciation, amortisation and impairments.
The company expressed confidence in its outlook, saying that it had made a positive start to its second half, although it noted that there was still further to go.
"Large deals signed in 2013 are still in build phase," said Chief Executive Officer Alastair Lukies in a statement, "and our work with channel partners are also yet to materially impact our top line."
Shares in Monitise were trading down 6.3% at 66.05 pence Wednesday morning, one of the biggest declines on AIM.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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