Mobile Streams (LON:MOS) shares ticked higher as the firm said it will stick with plans to broaden its reach beyond Argentina.
Devaluation of the peso has taken its toll on the mobile content company’s profits as 92% of the app specialist’s subscribers are based in the Latin American country.
However, a trading update on Tuesday said it is experiencing strong growth in its subscribers numbers in Brazil, with more daily net subscriber additions currently being added there than in its second largest market of Mexico, which currently accounts for about 5% of revenues.
In the year to end June, the firm booked around £1mln of foreign exchange losses including a £750,000 non-cash revaluation of its Argentine assets following the peso’s devaluation, but there was also a £240,000 cash charge incurred moving money out of Argentina earlier in the year.
The company also repeated that five agreements signed recently covering various African markets would require investment that would impact short-term profits and that any further devaluation of the Argentine peso would also have a negative impact.
Shares rose 4% to 15.1p.