The AIM-listed firm, which provides verification and analytics services for location data, reported on Thursday that revenues for the half-year of £454,872, 94% higher than 2018, while pre-tax losses widened slightly to £1.14mln from £1.12mln.
The group also highlighted that its sales run rate, a way of extrapolating future performance, across July and August had exceeded £100,000 and was expected to grow further with the addition of new contracts such as the group’s partnership with big data firm Blis, announced in early September.
Location is also predicting a “further uplift” in sales from existing customers in the fourth quarter as the busy Christmas season boosts demand from advertisers.
Meanwhile, Mark Slade, the company’s chief executive, said that while sales cycles for the group’s location verification platform, Verify, were proving to be “longer than previously anticipated”, the group was confident that it had laid “solid foundations” to grow the product globally.
He added that into the second half of the year the firm would focus on converting more trial participants into “always-on” contracts to deliver more value to investors.
Share placing raises £600,000
In a separate announcement on Friday, the company said it had raised £600,000 by issuing 27.2mln new shares to existing and new investors.
The shares were priced at 2.25p per share, a 19% discount to the group’s Wednesday close price of 2.8p, the day before the placing was announced.
The proceeds will be used to support the group’s investments in the US market, specifically the growth of its Verify platform, through new hires and additional marketing spend.
The shares will be admitted to AIM at 8am on 4 October.
In early afternoon trading on Friday, the company’s shares were 2.1% lower at 2.3p.
--Updates with results of placing and Friday's share price--