Snakk Media lifts first-quarter sales, mulls ASX listing
By Suze Metherell
Aug. 27 (BusinessDesk) - Snakk Media, which matches advertisers with mobile users, said first quarter sales rose 67 percent and it continues to pursue an ASX listing.
Sales rose to $2 million in the three months ended June 30, from $1.2 million in the same period a year earlier, the Auckland-based company said in a statement. The company generates more than 85 percent of its sales from Australia, and currency fluctuations had crimped sales, it said.
Snakk has hired Australian consultancy Hall Capital to advise it on a potential ASX listing, which it would use to fund its expansion into Asia. It raised $6.5 million in May last year through a share purchase plan and a private placement at 12 cents a share, which it's said will be used for potential acquisitions as the it targets growth. Snakk said it made two investments in smart screen technology companies Moasis Global and Plyfe in the quarter.
"Snakk is now in a position to closely consider the next steps we must take to expand successfully into Asia," said chief executive Mark Ryan. "The could involve listing on the ASX, raising more capital, acquiring companies or continuing to grow fast organically."
In June, the company said it widened its annual loss to $1.89 million in the year ended March 31, from $1.16 million a year earlier.
The shares recently traded at 7.7 cents, and have declined some 40 percent this year. The stock listed New Zealand Alternative Index at 6.5 cents in March 2013 as a compliance listing, meaning no funds were raised at the time, and soared to 29 cents on its first day of trading. It has since dropped some 73 percent.