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

 


Wynyard first-half loss widens on growth spending

Wynyard first-half loss widens on spending, full-year sales dependent on contract timing

By Suze Metherell

Aug. 25 (BusinessDesk) - Wynyard Group, which makes security software, reported a wider first-half loss as it spent more on its expansion plans and said sales in the full-year are dependent on the timing of major contracts.

The net loss was $10.2 million in the six months ended June 30, from a loss of $3.1 million a year earlier, the Auckland-based company said in a statement. Sales were $9.6 million, compared to a pro-forma $10.3 million a year earlier.

Wynyard, which was spun out of Jade Software, debuted on the NZX July last year raising $65 million in capital to fund its international growth plans. The crime analytics and risk assesment software is in use by the London Metropolitan Police and the New Zealand and Australian police forces, global banks and corporations, and is making inroads into the huge US market, where its products have impressed the Department of Homeland Security.

Revenue in the full-year would be $29 million to $32 million, dependent on the timing of larger government contracts and financial services agreements, the company said. That suggests sales could miss the guidance the company gave at its annual meeting in May for full-year revenue of about $31 million.

Operating expenses rose to $16.5 million in the first-half from $7.1 million a year earlier. Its 2013 results included a three month trading period from April 1 to June 30.

Wynyard said it had $39.3 million cash on hand at the end of June, broadly in line with its expectations, having completed a capital placement of $35 million in April. Key growth targets for 2015 were to bolster its sales and marketing effort, expanding in the US justice and intelligence sectors, expand its channel partner programme and increase investment in "big data processing."

“The signals are very positive," said managing director Craig Richardson. "Execution of this growth programme only commenced in May, and already there is tangible evidence these initiatives will underpin growth aspirations and deliver a path to profitability.”

Shares of Wynyard last traded at $2.23, valuing the company at $258 million, and have surged 92 percent this year. They are rated a 'hold' based on the consensus of two analysts polled by Reuters, with a median price target of $2.33.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

BusinessDesk: SkyCity Lifts Minimum Convention Centre Investment To $430M

SkyCity Entertainment Group, the casino operator, has lifted the minimum it will invest in the Auckland International Convention Centre to $430 million and said total costs including land may be $450 million to $470 million. More>>

Statistics: Drop In Dairy Prices Leads Fall In Exports

Total goods exports fell $240 million (5.5 percent) to $4.2 billion in April 2015 compared with April 2014, Statistics New Zealand said today. More>>

BusinessDesk: APN's NZME Sees Future In Paywalls, Growth In Digital Sales

APN News & Media has touted a single newsroom concept for its NZME unit in New Zealand, similar to what Germany's Die Welt uses, saying an 'integrated sales proposition' is helping it win market share, including ... More>>

Labour Party: Global Milk Prices Now Lowest In 6 Years

The latest fall in the global dairy price has brought it to the lowest level in six years and shows there must be meaningful action in tomorrow’s Budget to diversify the economy, says Labour’s Finance spokesperson Grant Robertson. “Dairy prices ... More>>

BusinessDesk: NZ Inflation Expectations Creep Higher In June Survey

May 19 (BusinessDesk) - New Zealand businesses lifted their expectations for inflation over the next two years, sapping any immediate pressure on the Reserve Bank to cut interest rates, and prompting the kiwi dollar to jump higher. More>>

BusinessDesk: Lower Fuel Costs Drive Down NZ Producer Input, Output Prices

May 19 - Producer input and output prices fell in the first quarter, mainly reflecting lower fuel costs and weakness in prices of meat and dairy products. More>>


Media: Fairfax Media NZ Announces Senior Editorial Team

Fairfax Media New Zealand has today confirmed its new editorial leadership team, as part of a transformation of its newsrooms aimed at enhancing local and national journalism across digital and print. More>>

Science: Flavonoids Reduce Cold And Cough Risk

Flavonoids reduce cold and cough risk Research from the University of Auckland shows eating flavonoids – found in green tea, apples, blueberries, cocoa, red wine and onions – can significantly reduce the risk of catching colds and coughs. The research, ... More>>

BusinessDesk: RBNZ House Alert Speech The Catalyst For Government Action

Prime Minister John Key all but conceded that pressure from the Reserve Bank of New Zealand for concerted action on rampant Auckland house prices was one of the main catalysts for the government's weekend announcements about tightly ... More>>

BusinessDesk: How To Fall Foul Of The New Housing Tax Rules: Tips From IRD

Just because you rented out your investment property doesn't absolve you from paying tax, says the Inland Revenue Department in a summary of commonly made mistakes by non-professional property investors when it comes to their tax liability.More>>

Legal: Superdiversity Law, Policy And Business Stocktake Announced

Mai Chen, Managing Partner at Chen Palmer New Zealand Public and Employment Law Specialists and Adjunct Professor of Law at the University of Auckland, today announced the establishment ... More>>

Housing: More House Price Gains Expected

House price expectations remain high, with a net 56% of respondents expecting house prices will increase. Fears of higher interest rates are fading, consistent with the RBNZ’s signals this year. Affordability and a lack of houses for ... More>>

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news