28th Aug 2019 13:31
(Alliance News) - Digital transactions technology company Wameja Ltd on Wednesday reported that its interim loss widened despite a rise in revenue.
In the six months to the end of June, the company, formerly known as eServGlobal Ltd, posted a revenue rise of 17% year-on-year to AUD6.5 million, about GBP3.6 million, from AUD5.6 million. Wameja's pretax loss from continued operations widened to AUD6.8 million from AUD5.1 million.
The company incurred restructuring costs of AUD1.4 million, compared to none last year, and administrative expenses soared to AUD2.0 million from AUD798,000.
Since the end of the interim period, the company completed the sale of its operating business, software firm eServGlobal Holdings SAS, for EUR2.0 million to Swedish firm Seamless Distribution Systems AB.
After that disposal, Wameja is focused on developing its investment in the HomeSend joint-venture platform alongside US credit card giant Mastercard Inc. Wameja has a 36% stake in the cross-border payment platform and has invested AUD3.5 million in the venture.
Looking ahead, the company will aim to reduce its expenses, "focusing on board costs and the outsourcing of the finance function".
Executive Chair John Conoley said: "I wish our former colleagues well following the disposal of the software business, and I know our investors are pleased at the simplification of the Wameja business going forward, allowing us to focus on the value of the opportunity for HomeSend.
"So far this year HomeSend has grown sales volumes at an annualised rate of over 120%, and the most recent and larger request for more liquidity highlights the potential for the current growth rate to accelerate in the short term. Wameja is now in a stronger financial position than for many years."
Shares in Wameja were down 3.7% at 5.20 pence each in London on Wednesday afternoon.
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