ASX-listed software company, LiveTiles (ASX:LVT), has recorded a loss of $13.2 million for its 2016 financial year. Excluding non-cash and non-recurring expenses, the loss before tax was $4.87 million.
According to the company, included within this loss are $8.25 million of non-cash and non-recurring expenses, primarily relating to the acquisition of Modun Resources, the associated capital raising, ASX listing, and non-share based payments expenses.
Its total revenue and other income was $2.42 million, including subscription revenue of $0.65 million and accured research and development tax concession income of $1.75 million. In addition, its unearned revenue was $0.56 million.
LiveTiles said its annualised subscription revenue grew to $1.03 million for the financial year, with growth accelerating in the June quarter. This was a 116 per cent rise from Dec 31 last year.
The group’s cash balance as of June 30 was $8.06 million. In addition to its existing cash balance, the company expects to receive a research and development grant of about $1.75 million.
It recorded a total of 164 paying customers as at June 30, with 44 paying customers added in Q4. Some of these customers include Nike, PACT Group, an Australian water utility company, Hungry Jacks, and 21st Century Fox.
Its continued growth in its partner distribution channel saw 152 partners on-boarded as at June 30, an 117 per cent growth during that period.
LiveTiles also attributed a focused digital marketing strategy, close alignment with Microsoft, and ongoing growth in LiveTiles Mosaic licenses as reasons for revenue growth.
LiveTiles said, in a statement, that the company is focused on achieving “strong growth” in its subscription revenue in FY17. This is expected to be fueled by continued paying customer growth, continued growth and maturation of its partner distribution channel, and acceleration of digital marketing to generate free trials and conversion to paying customers.
In addition, ongoing co-marketing initiatives with Microsoft, a substantial ‘land and expand’ opportunity with existing customers, a price increase to be implemented in the first quarter of the 2017 financial year, and further product innovation is expected to support its growth.
The company is intending to launch its LiveTiles Cloud solution in September this year, which it says will expand its addressable market to “any organisation using the Cloud”.
It also will soon launch upcoming tile-packs that deliver integration with a wide range of third-party software vendors including Dropbox, Box, Google Drive, Marekto, Pardot, Mail Chimp, Salesforce, Dynamics, JIRA, Zendesk, SAP, Quickbooks, and FreshBooks.
At the time of publication, the company’s shares were trading at $0.18.