Gfinity losses widen on event investment
Esport business firm Gfinity yesterday reported a wider loss for the first half of its financial year as revenue grew strongly but was more than offset by higher costs.
However, the company said the investments it was making to build its brand were paying off as it added about 20,000 new registered users a month.
Gfinity, which listed on Aim in December, reported a pre-tax loss of £1.4m for the six months to end-December, compared with a loss of £583,991 a year earlier, even though revenue grew to £145,401 from £16,303.
The cost of making those sales doubled to £791,003, and administrative expenses more than tripled to £746,897.
“Since the Aim flotation, there has been increasing interest from prominent advertisers and sponsors in accessing Gfinity’s audience, which due to its profile, is difficult to reach through traditional forms of media,” the company said. “Gfinity’s primary focus for 2015 is to continue to maximise growth of its user base and consolidate its reputation for delivering the highest quality eSports events and expanding the size of the online community.”