Proactive Investors - Run By Investors For Investors

GoTech losses widen but it remains confident in long-term growth

Its Skills2Achieve digital learning product has been well-received by schools but sales remain low
children running in a playground
By teaming up with ‘Champions’, GoTech hopes to improve take-up of S2A in UK schools

Sports and wellbeing-focused technology company GoTech Group PLC (LON:GUSC) saw its losses widen in the first half of its year, but said its products continue to be well-received and is confident in long-term growth.

The AIM-listed group told investors its Skills2Achieve (S2A) product – a digital, physical literacy assessment programme designed for UK schools – has largely been given the thumbs up from those using it as well as sector professionals.

Sales of S2A remained fairly weak though which resulted in an overall loss for the six months to 31 March of £288,000 (H1 2016: £257,000), although GoTech said it hopes to reverse this trend as more schools buy into the product.

CLICK HERE: For a daily round-up of all the Proactive news

To try and boost sales, the company has teamed up with several charities and corporate sponsors – including the charitable arm of Saracens rugby club – which buy S2A licences for schools of their choice.

It’s a way of getting the product to the customer without the schools having to pay for it, and GoTech “remains confident that these sales initiatives will be successful”.

It expects take-up to improve in the second half of the year which it hopes will result in higher sales and reduced losses.

Chairman Tony Humphreys added that GoTech would look at possible acquisitions which could drive shareholder value.

Shares opened 1% higher at 2.9p on Friday.

Register here to be notified of future PROAC Company articles
View full PROAC profile View Profile

Proactiveinvestors Timeline

Related Articles

October 18 2016
Geographical expansion, product innovation and strategic partnerships continue to be well executed, said house broker finnCap
learning symbol on a keyboard
January 16 2017
The English language learning specialist is confident it can kick on in the coming year
Digital marketing
March 28 2017
Michael Karg, Ebiquity’s CEO, said:“We have already made good progress with our growth acceleration plan, which will replicate our service offering across key territories, further strengthening our ability to service global clients.”

© Proactive Investors 2017

Proactive Investor UK Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use