Half year results

Running a public company you think in 6 monthly increments.  All the work during the period ends up in black and white and out in the market.  There is no hiding and it’s not for the faint hearted. There is no getting off the merry-go-round.

But in today’s 1/2 year results I think we’ve demonstrated that our strategy is working. Here are the highlights …

• Near tripling of half year operating revenues from $1.3m to $3.7m. This compares with 2010 full year revenues of $3.4m. Annualised subscriptions are running at approximately $9.0m.
• Successful recruitment to resource our operating model in New Zealand, Australia and the UK lifted headcount from 73 to 101 and therefore a planned rise in operating costs to $7.9m – up 59%.
• Net loss of $4.7m – an increase of 24%, is expected to be the maximum loss incurred as the company drives toward break-even.
• Cash at bank of $16.6m as at 30 September 2010 – excludes $4m additional monies raised by the Peter Thiel strategic placement in October. Xero anticipates having significant cash reserves at its planned break-even point.

You can read the full announcement here: Xero half year announcement