21st Sep 2015 08:28
LONDON (Alliance News) - Mobile commerce technology company Proxama PLC on Monday posted a much wider pretax loss for the first half thanks to costs it incurred in ramping up its operations, but revenue increased as it won a number of new contracts.
The company said its pretax loss for the six months to the end of June was GBP4.6 million, much wider than the GBP2.6 million it posted a year earlier, due to a ramp up in administrative expenses in the half, mostly related to the acquisition of mobile software products company Aconite in December 2014.
Revenue was up to GBP946,033 in the half from GBP350,420, again mostly due to the Aconite deal, though Proxama's proximity marketing unit, which delivers advertising to consumers via their mobile phones when they are close to products, signed nine new deals in the half and its digital payments arm has signed a number of long-term and partnership agreements so far in 2015, with more expected in the second half, it said.
David Bailey, the company's chairman, however, said revenue from its proximity marketing division has been "slower to materialise" than the company hoped for at the start of the year, though the company said market trends for its proximity marketing and payments divisions are favourable.
Shares in Proxama were untraded on Monday, having last traded at 1.29 pence.
By Sam Unsted; [email protected]; @SamUAtAlliance
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