Redbus losses narrow
See what happens when the sun shines?
Internet hosting outfit Redbus Interhouse said today that Q1 revenues were up and losses have narrowed and predicts it will be EBITDA positive within the financial year.
Turnover for Q1 to 31 March was up 32 per cent on the previous quarter to £2.26 million. Loss before tax was £362,000 compared with £1,06 million in Q4 last year.
Redbus currently operates three Internet hosting locations in London, Paris and Milan and it has eight more sites in the pipeline.
It recently signed a five-year contract with AOL Europe to supply 13,000 square feet of data floor space at Redbus' Frankfurt facility.
This will become the hub for AOL's online traffic in Europe.
Despite this significant deal, Redbus is wary of what might lie ahead. "We carefully monitor market trends within the technology sector and clearly some areas are being affected by reduced demand, so we remain alert to any potential impact on our business.
"Nevertheless, as noted above, we expect demand to continue to be good for our services and pricing levels to remain firm. Accordingly, our plan for the current year continues to anticipate being EBITDA positive overall," it said.
By mid morning shares had risen 11p (13.25 percent) to 94p. ®