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.
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.