Internet business developer NetActive has posted an operating loss of R332 000 for continuing operations, although the company is optimistic about prospects for the current financial year.
CEO Lawrence Brick says the loss is as a result of resources diverted to building infrastructure, developing systems, staffing and expanding into new markets.
Revenue from continuing operations for the year to 30 April rose 111% from R7.8 million to R16.5 million, while a headline loss of 8.47c a share was recorded, compared with a loss of 5.51c last year.
The group made a R51.3 million profit on the sale of its residential subscriber base to M-Web, which contributed to an increase in net asset value per share to 54c from 29c previously.
Goodwill of R12.1 million, arising from acquisitions, has been written off against share premium.
The group, which began as an Internet service provider, now has three divisions: Internet services (78% of revenue), E Ventures (15%) and the incubator division (7%).
Brick says the group believes that E Ventures, which consists of NetFlorist and NetParent, will contribute significantly to the group`s revenue in future.
The group ended the year with a cash balance of R87.7 million.
"Management is optimistic about prospects for the year ahead," says Brick. "NetActive is well positioned to exploit growth opportunities in a number of areas, thus ensuring continued growth."
The NetActive share was trading at 23c by midmorning today, 1c up on Thursday`s close.
Share
