Zamano sees profits increase despite revenue drop

Thursday 06 March 2014 16.30
Zamano said regulatory issues were behind its 16.5% drop in profits last year
Zamano said regulatory issues were behind its 16.5% drop in profits last year

Zamano saw its pre-tax profit increase by 10.8% last year to €1.92 million, despite a sharp drop in revenue at the mobile development firm.

The Dublin-based company - which develops mobile-based marketing and customer service products - also saw a €2 million improvement in its cash balances during 2013.

Revenue at Zamano in 2013 was just above €16m, according to the company’s results, down 16.5% year-on-year.

The company blamed much of this on regulatory issues in a number of countries, which it said led to the effective closure of its US business and increased pressures in Ireland and Britain.

Despite this a reduction in administrative costs – owing largely to a one-off legal expense in 2012 – saw the company increase profits year-on-year.

Its chairman John Rockett said its improved net cash position – which stood at €2.14m by the end of last year – indicated the “strong cash generative capabilities of the business” 

To help counter the risk coming from regulatory changes in its key markets, Mr Rockett said the company had begun operating in new markets during the year. He said this expansion would continue into 2014.