Monitise FY losses widen despite revenues doubling
04 September 2012 | 5446 views | 0
UK mobile money outfit Monitise has again posted a substantial full year loss, despite more than doubling its revenue. Meanwhile, the firm has struck a deal with Bank of China to develop m-payments services in Hong Kong.
Monitise revenues for the year were £36.1 million, a 136% increase on the £15.3 million posted for 2011. Goss margins increased to 66% from 62% and gross profit was £24 million, up from £9.4 million.
However, the firm made a net loss of £16.4 million, compared to £14.5 million for 2011. Ebitda showed a slight improvement, with a loss of £10.4 million, compared to £11.9 million the previous year.
The company - which has acquired US counterpart Clairmail and raised around £22 million in a share placing this year - has restated its belief that it will see Ebitda break-even by this time next year on full year revenues of £70 million.
Alastair Lukies, CEO, Monitise, says: "We continue to evaluate the optimal path to maximise shareholder return, having now completed the acquisition of Clairmail and subsequent capital raising, and are excited by the opportunities ahead of us. We are focused on delivering profitability earlier than anticipated."
Monitise shares were flat in morning trading, down 0.13 pence, or 0.3%, at 32.63 pence per share at 10.15am.
Meanwhile, the firm, through its Hong Kong JV with First Eastern Mobile Investments, has inked a Memorandum of Understanding with Bank of China to develop mobile payments services on the island.
Samuel So, head, cash management, Bank of China (Hong Kong), says: "Expanding our core businesses and developing new service initiatives for our customers are central to our strategy. We look forward to working with Monitise to help keep our corporate and individual customers at the forefront of innovative new mobile payments services being developed."