Lastminute.com trading on the up

Internet retailer Lastminute.com Plc wrung out a small amount of cash from operations in its second quarter to March 31 with trading for the period ahead of its expectations, the firm said.

“During the quarter we have ... generated marginally positive operating cash inflow (after capital expenditure). This metric will show considerable growth as we move forward for the remainder of the financial year,” it said in a trading update.

Cashflow is a key measure for Internet companies as they tend to burn a lot of cash in marketing spend to gain visibility among customers. Lastminute had an operating cash outflow of £42.3 million.