24th Sep 2015 08:57
LONDON (Alliance News) - Science in Sport PLC Thursday reported a wider pretax loss in the first half of 2015, despite a rise in revenue, as it invested in marketing initiatives in order to drive sales, and said its full-year performance will be in line with expectations.
The sports nutrition company reported a GBP1 million pretax loss in the six months ended June 30, significantly wider than the GBP42,000 loss it made in the first half of 2014, even though revenue rose 19% to GBP5.2 million from GBP4.4 million.
It said that revenue was boosted by strong growth in online channels and international markets, but that profit was hit by the phasing of brand awareness investment and US market analysis.
Second-half earnings before interest, tax, depreciation and amortisation are projected to be positive given the planned first-half weighting of marketing investment, Science in Sport said, adding that the full-year financial performance is anticipated to be in line with expectations.
"Our model of consistent investment in the brand to underpin revenue growth, together with attention to gross margin and tight control of overheads continues to work. We remain confident in our strategy and believe we will continue to deliver strong growth," Chief Executive Stephen Moon said in a statement.
Shares in Science in Sport were trading down 3.2% at 72.61 pence Thursday morning.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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