365 Corp reports loss on increased turnover

365 Corp, which operates a range of sport and consumer websites, as well as business services, said that overall turnover more than doubled to £50.1m ($70.9m) from £22.4m ($31.7m) last year. The company holds £26m ($36.9m) in cash reserve.
“Our prime focus is to now move 365 into profit,” said Martin Turner, deputy chief executive & finance director. “Non-core or unprofitable parts of our business are being reorganised, sold, or closed.”
For the consumer division, which includes the online sports content sites, 365 football, rugby, cricket and Formula One, and various telephone voice services, turnover doubled during the year to £29.2m ($41.3m), with users growing by 68 per cent to three million.
The company said internet turnover more than tripled to £5.8m ($8.23m) during the year, aided by a “good performance in first-party e-commerce revenues and the sale of content to third parties”, offsetting “a slowdown in the growth of advertising and sponsorship revenues in the second half of the financial year”.
365 Corp acquired the Formula One web site, formula-1.co.uk, for £0.3m ($0.43m) in the year and sold its French language football web site to French media company, Onlysport France SA for a cash payment of £0.3m ($0.43m) and a 7.4 per cent stake in Onlysport worth £1m ($1.42m). 365 Corp said the transaction was “part of a broader plan to rationalise foreign language content production and reduce costs”. However, due to the uncertainty of the realisation of this investment value, the company has accounted for the stake at nil value.
The company closed its operations in Paris (French language content) and Santiago, Chile (Spanish language content). Combined operating losses for the year from these two operations, excluding proceeds from the sale of the French web site, exceeded £2.5m ($3.55m).
The business division, which trades as Symphony Telecom, was worth £21m ($29.8m) in the year.