Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Xero customer receipts rise 14% in 4Q

Xero customer receipts rise 14% in 4Q as cash burn creeps higher

By Paul McBeth

Jan. 31 (BusinessDesk) - Xero, whose shares have soared 478 percent in the past year, lifted its customer receipts 14 percent in the final three months of 2013 as it gained more traction, while slowing down the pace of its cash burn.

The Wellington-based company reaped $18 million in customer receipts in the three months ended Dec. 31, up from $15.8 million in the September quarter, and $10.1 million a year earlier, the accounting software developer said in a statement. Staff costs were the single biggest expense in the quarter at $10.8 million, up from $7.2 million in the September period, and $6.5 million a year earlier.

The company’s operating and investing cash outflow was $13.8 million in the quarter, up from $13.1 million in the September period. The 5.3 percent increase was the slowest increase in its cash-burn since it started making the quarterly reports when it joined the ASX in 2012.

“This shows the continued investment Xero is making in building a business for the future to take advantage of the massive opportunity presented by the global small business market,” it said.

The period captures Xero’s $180 million capital raising, leaving it flush with $221.1 million in cash at the end of the period.

Xero is forgoing short-term profits as its chases one million customers worldwide, crossing the 200,000 mark at the end of last September.

The shares rose 1.7 percent to $41.45 today.

(BusinessDesk)


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Leighton-Led WGP To Build, Manage Transmission Gully

The Wellington Gateway Partnership, led by a unit of ASX-listed Leighton Holdings, has won the $1 billion contract to build the Transmission Gully road north of Wellington. More>>

ALSO:

Gareth Morgan: The Government’s Fresh Water Policy – Revisited

Fresh water quality is the latest area to be in the sights of Gareth Morgan and his research organisation The Morgan Foundation... They found that the fresh water policy was a bit murkier than the Environment Minister let on. More>>

ALSO:

Interest Rates: RBNZ Hikes OCR To 3.5%, ‘Period Of Assessment’ Now Needed

Reserve Bank governor Graeme Wheeler raised the official cash rate as expected, while signalling a pause in rate hikes to assess the impact of moves so far this year. The kiwi dollar sank after Wheeler said its strength was “unjustified” and that the currency could have “a significant fall.” More>>

ALSO:

Fonterra: Canpac Site 'Resize' To Focus More On Paediatrics

Fonterra is looking at realigning its packing operations at Canpac, in the Waikato, to focus more on paediatric nutritionals... The proposed changes could mean around 110 roles may not be required at the site which currently employs 330. More>>

ALSO:

Scoop Business: Postie Plus Brand Gets 2nd Chance With Well-Funded Pepkor

The Postie Plus brand is getting a new lease of life after South Africa’s Pepkor bought the failed retailer’s assets out of administration and said it will use its purchasing power to reduce costs of stock and fatten margins. More>>

ALSO:

Warming: Warming Signs From State Of Climate Report

Climate data from air, land, sea and ice in 2013 'reflect trends of a warming planet' -- says the latest State of the Climate report, launched by U.S. and New Zealand scientists. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news