17th Mar 2005 07:00
17 March 2005 themutual.net PLC Trading Update Themutual.net plc ("themutual" or the "Company") announces a trading update inrelation to its expected performance for the current financial year ending 30April 2005.With two months remaining in themutual.net's trading year, it now appears thatthe expectations of an annual profit before tax of ‚£1 million are unlikely tobe met.The shortfall is due primarily to higher than expected software and developmentcosts for the new MutualShop offering, email delivery software and the expenseand disruption of a premises move to cope with expansion of our operations.Revenue remains on track to meet expectations.The current year may, subject to realisation of an investment, benefit from anexceptional profit item in excess of ‚£100,000, resulting in an anticipated PBTof ‚£850k - ‚£900k.MutualShop launched in January 2005 and early indications from its performancesuggest that it will make significant contribution to profit in the followingfinancial year to April 2006. Themutual now provides a shopping portal open toall visitors to its website, not just our members, which substantiallyincreases the scalability of traffic and associated revenue. The Companyremains committed to the continued development and marketing of the website andto increasing the number of products it features, in parallel with new membergeneration and further increasing email revenues.With further resources being placed in all areas of the business, the Companyremains confident of continued profit expansion in this and the following year.Enquiries:Themutual.net plc 020 7440 9310Mark Smith, CEOPeter Coveney, Finance DirectorENDthemutual.net PLCRelated Shares:
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