JCurve's profit dips further into the red
- 20 February, 2020 09:54
Publicly listed JCurve Solutions has seen net profit after tax sink further into the red to $274,018 for the first half of FY20, ending December 31.
Normalised EBITDA increased from $117,980 loss to $242,635 in the positive while revenue for the half increased 11 per cent to $5.7 million.
In a statement to shareholders, JCurve chairman Bruce Hatchman said its customer contract portfolio was heavily weighted towards the second half of each financial year, and expects the shift to more complex NetSuite solutions will deliver stronger future revenue and profit potential from increased consulting opportunities, and reduced customer churn.
“The transition to larger more complex Netsuite solutions has not been without its complications or difficulties as we re-aligned bot our team and relationship with Oracle Netsuite, moving the focus of our relationship away from entirely the small business JCurveERP edition, to a broader basis selling the entire suite of Netsuite solutions,” Hatchman said.
“We are now positioned to strongly grow the entire suite of NetSuite solutions both locally and internationally, and continuing as Oracle Netsuite’s largest solution provider of NetSuite globally by number of customers managed.”
Last month the company said it will be opening up its Riyo Business software to channel partnerships, after making its first sales of the platform that provides on-demand or scheduled booking, dispatch and payment (BDP) services to businesses.
In 2018, JCurve bought Spectrum Partner Group in an effort to grow its Asia operations, leading to CEO Stephen Canning's relocation to Singapore last year.
Hatchman told shareholders the expansion process in Asia had been “slower than desired” but after investing in sales and marketing activities, the company scored two of its largest new customers in Asia, worth more than $400,000 of combined sales income during the contract timeframe.
“The group expects to see an improving contribution from our Asian operations in the second half FY20, reflecting a strong return on our investment in the Spectrum Business and Asia more generally,” Hatchman said.
Recently, JCurve landed a NetSuite project with Australian chocolate manufacturer, Belgian Delights, providing an integrated platform to help streamline its core business and financial processes.
Through implementing NetSuite, Belgian Delights have improved accounting, financial, CRM and manufacturing processes as well as enhancing their visibility across its operations. The chocolatier has stood to benefit from minimal overhead costs and gaining data insights across its manufacturing processes.