LONDON (Alliance News) - Cloudbuy PLC on Wednesday said its loss narrowed in the first-half of 2018, helped by cost reduction.
The e-commerce marketplaces provider said revenue in the six months to the end of June declined 21% to GBP651,000 from GBP819,000 reported for the same period a year earlier.
Finance costs rose year-on-year to GBP289,000 from GBP184,000, while administrative expenses reduced to GBP1.3 million from GBP1.7 million.
As a result, pretax loss narrowed to GBP1.1 million in the first-half of 2018 compared to GBP1.5 million the year prior. Cloudbuy said it expects losses to continue to reduce during the reminder of 2018.
During the period, the company said it continued to focus on its key projects with PHBChoices e-marketplace gaining momentum as NHS England has increased the pressure on clinical commissioning groups to meet their targets.
From April 2019, each clinical commissioning group must offer any individual with continuing healthcare needs a personal health budget as the default option for the management of their ongoing care.
NHS Shared Business Services has invested in increased sales and marketing activity, which has had a positive impact on the pipeline of clinical commissioning groups looking to adopt PHBChoices e-marketplace.
Looking forward, the company said PHBChoices remains its key focus for resource allocation to deliver future revenue growth. Cloudbuy expects PHBChoices to accelerate growth during the remainder of 2018 and into 2019.
"We continued to reduce our losses and cash burn despite a reduction in revenue from legacy contracts," said Executive Chairman Ronald Duncan.
"Management continues to believe that expected increases in revenue and cost reductions will mean that the business will reach cash break even without further funding being required," added Duncan.
Shares in Cloudbuy were trading 1.6% lower on Wednesday at 3.00 pence each.
