Feeds

365IPO

Shoots up non-Net revenue streams

  • alert
  • submit to reddit

The essential guide to IT transformation

365 Corporation has confirmed its intention to IPO on the London Stock Exchange. Blue-blood broker Cazenove is to be joint lead bookrunner alongside Durlacher, the niche investment bank which has re-invented itself as successful Internet upstart. No market cap figures have be mentioned yet, but we suspect 365 will be in the £300m+ category. Not bad for a company that began trading only in September 1997. 365 serves up a very British tabloid diet of sport, ents and dating and agony aunts - hang on this is beginning to sound more like a student union. It calls its channels - publications and it pumps out content by email and phone as well as over the Internet. For the three months to 30 June 1999, 365 generated sales of £4.4 million and operating profit before interest, taxation and amortisation of goodwill of £277K. It has operations in five countries - the UK, France, Ireland, South Africa and - curiously - Chile. Its heavyweight management team, and 190 employees generating 750,000 unique users generating more than 8.5 million user sessions in September. Sounds promising for a new Internet company -- real revenues and profit too (even if that has been achieved with smoke and mirrors). But what do these user figures actually mean? Where are the page impression? Without separating Web use, from email and telco use, these figures have little meaning. And it also sounds like 365 is not a "pure" Net company. It generates revenues from contract publishing deals for other Web sites - and this revenue stream should be judged purely in the way off-line contract publishers are rated. Contracts come and contracts go, and there is nothing intrinsically Internet about them. Also, the company shored up its revenue streams in 1999 with the acquisition of a small telco company - Symphony Telecommunications plc. Presumably, this forms a key part of 365's Business Division and its 2,000 small and medium business customers. 365's Business Division provides communication services and Internet applications in the UK and Ireland. In other words, its an IP telephony company with computer reseller services attached - and a very small one at that. 365 is stitching together national coverage with 11 telecoms systems dealers across the UK, thereby saving costs, but also pooling revenues. Aside from cash flow, we can not see what part 365's telco operations have to play in an Internet content company. ® Check it out for yourself at 365corp.com

Boost IT visibility and business value

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
Banking apps: Handy, can grab all your money... and RIDDLED with coding flaws
Yep, that one place you'd hoped you wouldn't find 'em
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Barnes & Noble: Swallow a Samsung Nook tablet, please ... pretty please
Novelslab finally on sale with ($199 - $20) price tag
Ballmer leaves Microsoft board to spend more time with his b-balls
From Clippy to Clippers: Hi, I see you're running an NBA team now ...
Video of US journalist 'beheading' pulled from social media
Yanked footage featured British-accented attacker and US journo James Foley
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
Broadband slow and expensive? Blame Telstra says CloudFlare
Won't peer, will gouge for Internet transit
Netflix swallows yet another bitter pill, inks peering deal with TWC
Net neutrality crusader once again pays up for priority access
prev story

Whitepapers

Best practices for enterprise data
Discussing how technology providers have innovated in order to solve new challenges, creating a new framework for enterprise data.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Advanced data protection for your virtualized environments
Find a natural fit for optimizing protection for the often resource-constrained data protection process found in virtual environments.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?