The Newcastle-based Swiftpage International Limited, which provides customer relationship management solutions for businesses, has reported a net loss of £353,094 in its first year of trading as a incorporated company.
In a report accompanying results for the 12 months ended February 28, 2014, the firm, which employs around 80 people at Quorum Business Park, said the figure was the result of “investment by the company in future years’ growth”.
Turnover, meanwhile, amounted to just over £7m, with around £5m coming from the United Kingdom and £2m from the rest of the world.
According to the report, this was driven in equal parts through sales of both software licences and software maintenance and support services.
Swiftpage International Limited was incorporated on February 11, 2013.
On March 20 of the same year, its parent company Swiftpage Inc., which is incorporated in the US, entered into a transaction with Sage Software Inc. to acquire certain CRM software business in respect of North America and European territories.
Subsequently, the European business was transferred to Swiftpage International Limited at a valuation of $2.86m.
During the period covered by the results, the company had offered a customer relationship package known as Saleslogix, part of the CRM international business.
However, on August 11, 2014, this was disposed of as part of a wider group transaction, the consideration attributable to Swiftpage International Limited being $2.79m (£1.66m).
The company is now focusing solely on Act!, a flexible suite contact and customer manager suite, designed to improve organisation and drive sales by taking the guesswork out of marketing.
The report said: “The company will concentrate efforts on both conversion of the current ‘on premise’ customer base to new subscription and cloud product offering and a winback campaign on customers lost through maintenance and support attrition.
“We believe Swiftpage International Limited to be a going concern since the international business generates positive cash flow for the group and has a strong foothold in the international market, which is expected to 1. be the base for growth on the on-premise future versions of our Act! product and 2. provide a user-base ripe for conversion to a subscription version of the product.”
During the year, £2.97m was spent on staff costs, with £2.54m going on wages and salaries and the rest on social security costs and other pension costs.
At the period end, the company had cash in bank of £444,624 and total net assets amounting to £1.54m.