Feeds

Thus sales up, losses up

Reduced borrowing needs

  • alert
  • submit to reddit

High performance access to file storage

UK telco Thus has released a reasonably good set of results and set aside some people's fears of impending financial trouble but increased its pre-tax loss to £42.75 million from £37.27 million.

The company, which owns Demon Internet, reported increased sales for the six months to 30 September - up 36 per cent to £140.8 million; reduced loss before interest, tax etc of £1.8 million from £37.3 million but an increased loss thanks to a six-fold increase in interest costs.

The market was initially relieved that the company said things were looking good and it didn't expect to have to borrow such large sums of money (it was expected to need £140 million, that now looks like £90 million). Thus' £320 million overdraft facility should be enough to carry it through to 2003 and the company reckons will reach positive cash flow by 2004 or 2005. As such, share price went up slightly as the market opened but has since fallen.

Today Thus also announced deals to: supply BT Ignite with voice and data services; extra optical fibre for Linx; and the services and technology behind Amstrad's e-m@iler product (which isn't universally loved), when it is re-relaunched in the next couple of months.

"Thus continues to deliver on its promises," said William Allan, Chief Executive. "The first half of this financial year was marked by strong growth generated by our core business services... Our strategy, outlined at the time of flotation, to focus on delivering high quality reliable services to corporate and small-to-medium enterprise customers, is delivering results.

"During the year, we have successfully managed our transition from UK-wide geographic expansion to a more sharply focused sales and marketing led business [It got rid of its media sales business to iTouch last month for one]."

"With our core network complete, we have enhanced our sales and marketing and service development capabilities, winning new customers nationwide..." - okay, we'll stop it there.

Basically, Thus looks like it's making the best of a tough time. Waiting until 2004 or 2005 for positive cash flow is still going to worry many investors but if it keeps knocking out results like this, there shouldn't be too many problems. ®

High performance access to file storage

More from The Register

next story
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Nokia offers 'voluntary retirement' to 6,000+ Indian employees
India's 'predictability and stability' cited as mobe-maker's tax payment deadline nears
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
France bans managers from contacting workers outside business hours
«Email? Mais non ... il est plus tard que six heures du soir!»
Adrian Mole author Sue Townsend dies at 68
RIP Blighty's best-selling author of the 1980s
prev story

Whitepapers

Mainstay ROI - Does application security pay?
In this whitepaper learn how you and your enterprise might benefit from better software security.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Mobile application security study
Download this report to see the alarming realities regarding the sheer number of applications vulnerable to attack, as well as the most common and easily addressable vulnerability errors.