Cloudbuy turnover drops but loss narrows in H1

Aim-listed Cloudbuy, a provider of cloud-based e-commerce marketplaces, reported a drop in turnover for the first half but said its loss narrowed and it expects full-year results to be in line with the previous year.

In the six months to the end of June, turnover fell by 11% from the first half of last year to £785,000. However, the operating loss decreased to £2.35m from £3.16m, with the loss per share down to 1.9p from 2.6p.

Executive chairman Ronald Duncan said: “During the first half of the year we continued to re-focus the business around our key accounts and near term opportunities in ecommerce and further restructure the cost base accordingly.

"We have continued to make good progress in those accounts whilst also developing further opportunities, particularly in the Middle East and Asia Pacific. Our focus remains on closing prospects for ecommerce traditional licence revenue, whilst continuing to pursue the larger ecommerce opportunities for transactional revenue and whole country solutions that we have been developing."

The company said realignment of its cost base will continue for the rest of the year.

Looking ahead, Cloudbuy said revenue from projects already won should lead to an increase in revenue in the second half of the year compared to the first and deliver a full-year performance in line with last year, as well as providing contribution in the coming years.

“Contribution from new wins in the year should result in some increase in revenue in H2 over H1,” it said.

At 1052 BST, shares were up 3.6% to 7.38p.