2nd Mar 2015 09:31
LONDON (Alliance News) - Seeing Machines Ltd Monday reported a significantly bigger loss for the first half of its financial year, as strong revenue growth was more than offset by extra investment in research and development and in sales and marketing.
The AIM-listed technology company reported a net loss of AUD4.3 million for the six months to end-December 2014, compared with a AUD844,903 loss in the first half of last year, hit by planned investments in research and development, sales and marketing, and corporate activities in the period. The biggest cost increase in the period was in customer support and marketing expenses, which rose to AUD5.3 million from only AUD1.5 million last year.
Revenue for the half-year increased to AUD9.4 million from AUD6.7 million, supported by an increase in sales, licensing and service income, as well as continued growth in the customer base for its DSS product offering.
"Our sales revenue is a solid result in these market conditions. It's also notable that we are starting to see a change in our revenue mix, with a sizable shift from one-off product sales towards ongoing services revenue. We expect this transition to continue," said Chief Executive Ken Kroeger in a statement.
Shares in Seeing Machines was trading 4.7% lower Monday morning at 5.60 pence.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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