Technology developer and fitness specialist Fitbug posted a year of losses in its preliminary results this morning, as the company announced a change in strategy.
Revenues for the year ending December 2015 were down to £1.26m, down from £2.3m in the year ending December 2014.
The firm announced a pre-tax loss of £6.3m for the year, which includes the company's investment into becoming a B2B corporate wellness provider.
Fitbug also announced this morning that it has agreed a further loan from NW1 Investments for £121,000.
The company's share price was down by nearly 20 per cent in late morning trading.
Why it's interesting
Anna Gudmundson became chief executive of the company at the end of August last year, and since then the company has moved away from targeting direct consumers after the retail strategy did not bring the company's accounts into good health.
Gudmundson has now implemented a change in direction for the fitness firm, as well as cost savings.
What Fitbug said
Gudmundson said: "Recognising that the previous direct consumer retail focus failed to deliver the commercial results anticipated, we have identified an attractive opportunity within the growing B2B corporate wellness market.
"Corporate budgets for employee wellness are rising, and we have experienced demand for an integrated employee wellness solution.
"On a corporate level we have strengthened out board and management team to ensure we have the requisite skill set for growth, implemented a number of cost saving initiatives, and undertaken a thorough review of our operations to ensure we are maximising efficiencies."