1Spatial widens H1 pretax loss

1Spatial has widened its H1 pretax loss to £2.1m, from a year-ago loss of £0.8m. Revenue was £13.4m, from £20.7m. It expects to deliver growth in FY adjusted EBITDA in line with market views.

"The transition of the business model is well underway, Geospatial sales bookings have increased by 30% during the period, now at £5.2m," said CEO Marcus Hanke in a statement.

"Revenues are significantly up on the prior year, however due to revenue recognition, higher margin revenues from the Geospatial business were down and this impacted the overall Adjusted EBITDA.

"The monetisation of our development strategy of moving our portfolio of IP and developing a modular solution stack, is expected to be seen more clearly over the coming periods.

"Therefore, the full year results will have a greater weighting to the second half, particularly in the high-margin Geospatial business.

"Our pipeline and order book are strong and we expect to convert a significant proportion of the opportunities over the next six months, as well as continuing to review the cost base.

"Based on the current pipeline of licence deals due to the close in the second six months of the financial year, the Board still expects to deliver growth in Adjusted EBITDA for the full year to January 2017 in line with market expectations."