LONDON (Alliance News) - Cloudcall Group PLC on Wednesday reported a widened annual loss due to business investment despite a double-digit revenue increase.
Cloudcall shares were trading down 15% at 88.25 pence each early Wednesday.
For 2018, the cloud-based software business reported a GBP3.7 million pretax loss compared to GBP2.6 million a year prior.
This was due to higher operating costs, consistent with Cloudcall's investment strategy, rising to GBP9.8 million from GBP7.4 million.
Revenue meanwhile, rose 28% year-on-year to GBP8.8 million from GBP6.8 million, as the total number of end-users jumped 33% to 31,343 from 23,520.
"The investments we have made, and are continuing to make in our four key growth pillars have, as expected, increased our operating costs and cash-burn, but were always likely to have only limited impact on 2018 revenues," Chief Executive Simon Cleaver.
He continued: "I am, however, hugely encouraged to see the early impact of those investments coming through towards the end of the year. With this investment ongoing, and accelerating in some key areas, having effectively removed some of the cash constraints from the business with successful placings in late 2017 and early 2019, we are well placed to deliver on our growth plans with a high degree of confidence in the future."
Cloudcall will hold its annual general meeting on May 20.
