Cambridge Cog Share News (COG)

LONDON (Alliance News) - Shares fell in Cambridge Cognition Holdings PLC on Thursday as it swung to a loss in 2017 from a maiden profit due to higher costs and lower revenue.

Shares in the brain health software products developer dropped 18% at 93.00 pence on Thursday.

For the year, the company swung to a pretax loss of GBP284,000 from a profit of GBP116,000 the year before, due to higher administrative costs to GBP6.5 million from GBP5.9 million.

Revenue for the year fell slightly to GBP6.7 million from GBP6.9 million, due to absence of two large contracts and falling hardware sales.

"While revenue was broadly flat on the prior year, the growth of service revenues and the revenue generated from new products reflects the business plan implemented over the last two years. The growth in sales orders received also demonstrates that we continue to broaden our customer base," said Chief Executive Officer Steven Powell.

"We have increased our investment in research and development activity in the year. This has yielded significant advances in both our neuroscience programmes and our technology platforms. Our progress in both of these areas opens the possibilities of a wider range of commercial relationships than previously available to us," Powell added.