Revenues at iTouch soar as firm focuses on costs controls

REVENUES at iTouch soared in the four months to September, while losses at the Independent News and Media offshoot were curtailed to £11 million.

Revenues for the quarter were up 139% to £23.9 year-on-year and by a more modest but impressive 25% on the previous quarter.

iTouch chairman Ivan Fallon described the results as excellent, explaining the group had focused on increasing revenues while controlling costs. “In August 2002, the group consolidated its leading position in the UK interactive voice (IVR) market with the acquisition of Telescope. Simultaneously, we have enhanced our mobile data business, broadening our distribution channels whilst expanding our product offering with MMS products, polyphonic ringtones and Java games.

“We expect to make further acquisitions during the next 12 months to reinforce our core businesses and further our geographical reach. We remain well positioned for the expected take-off of the mobile data sector, with a strong cash position and a fully funded business model,” he added. Stockbrokers Merion Capital’s analyst Niamh Brodie said that while the business was still in development stage, the company appeared to be making slow progress. Davy Stockbrokers’ analyst Bernie Lardner said the results were in line with expectations.

“Similar to Q2, the results contained a higher level of low margin voice revenue which was primarily related to the recent Telescope acquisition. During Q3 Telescope’s result was boosted by the low margin ‘I’m a Celebrity’ voting contract,” he said.