16th Sep 2013 14:32
LONDON (Alliance News) - NetDimensions Holdings Limited Monday said it increased revenues but widened pretax losses as it commenced its three-year business plan, including the launch of NetDimensions Healthcare and a share placing to raise USD6 million net of fees.
For the half-year ended June 30 the management-software company reported revenues of USD6.5 million, up from USD5.9 million in the previous year. Pretax losses widened to USD3.2 million from USD504,220 as selling expenses increased to USD5.4 million from USD3.1 million.
Increased revenues were boosted by improved direct sales activity, NetDimensions said, with 83% of total invoiced sales coming from direct clients, up from 73% in the previous year. Increases in the size of deals with large multinational companies had been a contributing factor, Chairman Roger Durn told Alliance News in an interview.
The company said it would continue to increase investment as part of its three-year business plan, which it hopes will increase sales revenue. Trading is currently in line with expectations, it said, and it expects revenues to continue to grow as it looks for further opportunities for expansion.
Going forward, the company anticipates further expansion into the healthcare industry. As for global expansions, Durn said the company was interested in expanding into the Nordic markets, as it had no businesses in the region, and it saw "big potential there" due to the large oil and gas industry.
For the same reason, Durn said the NetDimensions also was considering the Middle East.
NetDimensions entered into a USD5 million finance facility with Silicon Valley Bank last week, which it said will be available to fund acquisitions.
Late Monday afternoon, NetDimensions shares were quoted at 59.52 pence, down 2.48p or 4.0%.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
Copyright 2013 Alliance News Limited. All Rights Reserved.
Related Shares:
NETD.L