Outsourcery cites big lead on rivals but loss still exceeds sales

Publicly quoted cloud player claims major first-mover advantages, but it still losing far more than it is selling

Outsourcery claims it is starting to cash in on its "significant first-mover advantage", despite continuing to lose significantly more money than it generated in revenue in 2013.

Last year the AIM-listed cloud player saw annual sales soar 44 per cent to £5.2m. Adjusted losses from continuing operations narrowed 12 per cent, but still stood at £8.8m, compared with £10m in the prior year. Loss per share was down from 57.7p in 2012 to 34.1p this time out. Gross cash stood at £6.3m at year end, having risen from just £200,000 12 months previously.

Key 2013 developments picked out in today's stock market statement include the sale of its non-core mobile distribution business in September. The Manchester-headquartered firm also pointed to the £4.2m raised through an equity placing and its selection as a supplier on the G-Cloud framework.

Outsourcery chief executive Piers Linney (pictured below) claimed there is "a clear and significant lead now emerging between us and our nearest competitors".

"When we joined AIM in May last year we promised to expand our partner network; to deepen and activate relationships with existing partners; and to explore new avenues for growth outside of the purely private sector," he added. "Some of the biggest names in technology, systems integration and telecommunications are fully engaged and working with us to jointly target end customers and generate revenue.

"Thanks to last December's successful equity placing and our collaboration with Microsoft and Dell, we are moving quickly ahead with our plans to target new routes to growth in the enormous opportunity presented within the UK public sector as government policy drives cloud adoption.

"All of this adds up to a significant first-mover advantage for us, validating our model and our opportunity for significant growth given our capabilities, the market reach of our partners and Microsoft's absolute commitment to cloud."