30 Dec 2015 14:00
Fitbug Holdings Plc / Epic: FITB.L / Index: AIM / Sector: Leisure
30 December 2015
FITBUG HOLDINGS PLC ('FITBUG' OR 'THE COMPANY')
TRADING UPDATE
Fitbug Holdings Plc, the AIM quoted provider of online personal health and wellbeing services, issues a trading update for the financial year ending 31 December 2015.
Trading in the second half is expected to show significant increases in the pre tax losses announced at the half year primarily as a result of a challenging retail environment in the U.S.
Following her appointment as Chief Executive in August, Anna Gudmundson has taken extensive action to address underlying business performance issues, including senior management changes. The Company continues to attract some very talented people and recently appointed Donald Stewart, who is experienced in delivering and managing rapid public company growth, as its new Chairman.
Considerable progress has been made in positioning the Company to capitalise on Kiqplan, its digital health and fitness coaching platform. A new version of Kiqplan was successfully launched at the end of September and the Company has achieved good reviews of the product. The Company is confident that the new Kiqplan platform provides a strong foundation for growth in both the B2C and B2B markets.
Looking ahead, Fitbug expects to continue tackling its business performance fundamentals in 2016 and also expects its focus to move away from retail in order to leverage its established B2B network, where the Company has historically centred much of it business activity. The Company has identified prospective opportunities to offer its Kiqplan technology to health insurers and other corporations as a simple and effective digital tool for both customers and employees.
As announced on 23 December 2015, endorsing Ms Gudmundson's actions and supporting the Company's updated strategy, Fitbug raised a further £650,000 from NW1 Investments just prior to the period end to meet near term working capital requirements.
The Company has also entered discussions with Fitbit Inc. regarding the litigation and claims between the two companies and shareholders will be kept informed of developments.
Fitbug CEO Anna Gudmundson said, "Since taking the helm as CEO in August 2015, I have focused on strengthening both our management team and product offering to ensure we have the right foundations for the future. Our vision is to develop the Company into a major Health & Wellness technology player through the provision of effective digital technologies which help people improve their health and fitness. We have launched a new version of our Kiqplan app. which we believe has the potential to create significant value. Over the coming 12 months we plan to leverage our historically strong B2B network to accelerate growth and ultimately build value."
**ENDS**
For further information visit www.kiqplan.com or www.fitbugholdings.com contact:
Donald Stewart/ Anna Gudmundson
| Fitbug Holdings Plc | 020 7449 1000 |
Marc Milmo/ Catherine Leftley | Cantor Fitzgerald Europe, Nomad and Joint Broker
| 020 7894 7000 |
Claire Louise Noyce / William Lynne / Niall Pearson
| Hybridan LLP, Joint Broker | 0203 713 4581/4582/4583 |
Elisabeth Cowell / Charlotte Heap | St Brides Partners Ltd, Public Relations | 020 7236 1177 |
Notes
About Fitbug®
Fitbug is a leading provider of online health and well-being services to help individuals to improve their lifestyles by making realistic changes to their daily routine. It combines activity tracking devices, which download to the Fitbug app and fitbug.com to provide an understanding of each user's daily activity achievements, with mobile and web technology which provides users with personalised weekly activity and nutrition targets, feedback, advice and encouragement.
Its "Kiqplan"TM digital health coaching platform is designed to make wearable technology relevant to new audiences and take the "so what?" out of activity tracking by providing structured action plans to help people get fitter, lighter and lead happier, healthier lives.
Key market sectors and distribution channels include retail, health insurance and rewards providers, workplace health programmes, fitness operators and consumers. An important part of the Company's focus is on building strategic partnerships with organisations which can integrate Fitbug or Kiqplan into their own service/product offerings or resell to their customer base. The Company has operations in the UK and United States. For more information, visit www.fitbug.com and www.kiqplan.com.