Despite a
similar report from the financial markets’ website operator ADVFN (LSE: AFN)
sparking euphoria among stock investors at the end of December, their reaction
this time was quite the opposite.
Following
the publication of financial results for the second half of 2023, during which
the company’s revenues and gross profit continued declining, its LSE valuation dropped to its lowest levels in a month.
According
to the unaudited interim report for the six months ended 31 December 2024, or
the first half of the fiscal year 2024 (FY24), the company’s revenues amounted
to £2.3 million, sliding from £3 million reported in the same period the year
before.
This also
pales compared to £5.5 million in revenues reported for the fiscal
year ending 30 June 2023.
“The
decrease in revenues was primarily attributable to continued adverse market
conditions and the discontinuation of company units which no longer supported
our business goals,” the company commented in the official statement.
#AFN H1 loss reduced to £531k from £622k YOY; revenue fell to £2.29m. Maintained healthy cash balance of £4.7m. Focused on cost-cutting and product improvement. https://t.co/GRv4M1RAUJ
— Ticker (@TickerOfficial) March 21, 2024
Although
the company is currently focusing on cost reduction, which has been partially
successful (a drop from £196,000 to £109,000), it was not significant enough to
translate into a higher gross profit. This fell from £2.9 million to £2.2
million annually.
“We
have continued to reduce costs and the cash burn rate, and we’ve maintained a
healthy cash balance of £4.7 million at the Period end, aligning with the
financial objectives outlined in previous reports,” ADVFN added.
Eventually,
the total net loss for the reported period amounted to £531,000, less than
£622,000 from the previous year, but this was not comforting news for
investors. In reaction to Thursday’s report, ADVFN shares on the LSE fell by
4%, testing the 12 pence level, the lowest in a month.
Since the
beginning of the year, they have fallen by almost 30%, moving close to pandemic
lows.
Source: ADVFN
On a
positive note, it’s worth highlighting that the total number of assets under
the company’s management increased. Compared to H1 FY23, it rose from £3.1
million to £6.4 million.
ADVFN Visits Italy
Seeking revenue sources, ADVFN announced in February of this year that it had launched a new website in the Italian market aimed at local investors. This was made possible
through a new partnership with FinancialLounge.
“I
wish to highlight our recent partnership with Prodesfin S.R.L, who own and
operate the financial website Financiallounge.com in Italy,” Amit Tauman,
the CEO of ADVFN, commented in the recent financial report.
Italy is a
large market, home to 60 million people. Globally, over 85 million people speak
Italian.
Despite a
similar report from the financial markets’ website operator ADVFN (LSE: AFN)
sparking euphoria among stock investors at the end of December, their reaction
this time was quite the opposite.
Following
the publication of financial results for the second half of 2023, during which
the company’s revenues and gross profit continued declining, its LSE valuation dropped to its lowest levels in a month.
According
to the unaudited interim report for the six months ended 31 December 2024, or
the first half of the fiscal year 2024 (FY24), the company’s revenues amounted
to £2.3 million, sliding from £3 million reported in the same period the year
before.
This also
pales compared to £5.5 million in revenues reported for the fiscal
year ending 30 June 2023.
“The
decrease in revenues was primarily attributable to continued adverse market
conditions and the discontinuation of company units which no longer supported
our business goals,” the company commented in the official statement.
#AFN H1 loss reduced to £531k from £622k YOY; revenue fell to £2.29m. Maintained healthy cash balance of £4.7m. Focused on cost-cutting and product improvement. https://t.co/GRv4M1RAUJ
— Ticker (@TickerOfficial) March 21, 2024
Although
the company is currently focusing on cost reduction, which has been partially
successful (a drop from £196,000 to £109,000), it was not significant enough to
translate into a higher gross profit. This fell from £2.9 million to £2.2
million annually.
“We
have continued to reduce costs and the cash burn rate, and we’ve maintained a
healthy cash balance of £4.7 million at the Period end, aligning with the
financial objectives outlined in previous reports,” ADVFN added.
Eventually,
the total net loss for the reported period amounted to £531,000, less than
£622,000 from the previous year, but this was not comforting news for
investors. In reaction to Thursday’s report, ADVFN shares on the LSE fell by
4%, testing the 12 pence level, the lowest in a month.
Since the
beginning of the year, they have fallen by almost 30%, moving close to pandemic
lows.
Source: ADVFN
On a
positive note, it’s worth highlighting that the total number of assets under
the company’s management increased. Compared to H1 FY23, it rose from £3.1
million to £6.4 million.
ADVFN Visits Italy
Seeking revenue sources, ADVFN announced in February of this year that it had launched a new website in the Italian market aimed at local investors. This was made possible
through a new partnership with FinancialLounge.
“I
wish to highlight our recent partnership with Prodesfin S.R.L, who own and
operate the financial website Financiallounge.com in Italy,” Amit Tauman,
the CEO of ADVFN, commented in the recent financial report.
Italy is a
large market, home to 60 million people. Globally, over 85 million people speak
Italian.