Milestone reports financial losses, but operational wins in 2015

Milestone Group reported on another year of financial losses, but operational wins on Friday, with the company expanding the reach of a number of its products in the 12 months to 30 September.

The AIM-traded firm saw revenue rise to £318,035 during the year, from £157,377 in 2014. Its cost of sales was down too, to £140,214, from £247,087, making for a gross profit of £177,821, compared with a loss of £89,710 a year earlier. Milestone's administrative expenses were more than last year's, however, totalling £1.57m, up from £1.43m. Overall, the company made a net loss for the year of £1.4m, larger than 2014's £1.07m.

Operationally, the digital media and technology firm saw the year as a success, however, with its research and development work complete across its product ranges and marketing having commenced.

The company's so-called 'Passion Project' had also been formally launched at the Cass Business School with 50 founding partners, and it had fee-paying corporate members, sponsors and key ambassadors supporting it.

Milestone also established the Nexstar joint venture with Black Cactus Holdings, offering multiple revenue opportunities. The first contract for Nexstar, with Procurement International, was signed post year-end.

The company also relaunched Disorder Magazine in both print and digital versions, and was rolling out Winning In the Game of Life into 100 schools post-year end.

"The vision to build a brand synonymous with the generation of shareholder value and the creation of social change has been the raison d'etre behind the repositioning of Milestone since my joining in March 2008. Creating both a business model and a product that was a true differentiator in the media and technology marketplace was key to fulfilling that vision. I am delighted to confirm that, whilst this has taken longer than anticipated to materialise, the building blocks are now complete and key partners engaged," said CEO and interim chairman Deborah White.

"This has been a year of consolidation, with the Passion Project now firmly established as our flagship product and our business model of creating shareholder value and social impact realised as a leading innovator in the commercial marketplace. This coming year will be pivotal for Milestone as we concentrate on revenue generation now that the research and development phase has been completed," White added.