Forbidden Technology's losses widen

Forbidden Technology, a cloud-based video platform developer, reported a widening of losses for the year ended December 31st.

Sales were up 25% from £0.37m to £0.47m, while gross profit rose 29.5% from £0.32m to £0.42m. Loss before tax increased from £0.196m to £0.245m, while basic earnings per share fell from -0.16p to -0.22p.

Vic Steel, Chairman of Forbidden Technologies, remained upbeat: "Over the past year, and in the first quarter of 2012, the company has achieved increased recognition of its technical excellence among a diverse group of major companies across the world, including the appointment of Techtel as distributor in south east Asia and the licensing of Forbidden's video platform to YouTube announced in December 2011."

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Cash at the end of the period fell from £1m to £0.69m. The firm has net assets of £2m and is debt free.

The company blamed the losses on its policy of increasing investment in research and development, marketing and sales resources. Administrative expenses during the year were £674,841, an increase of 30.6% compared to £516,529 in the previous year.

The share price fell 3.03% to 32.00p by 12:13.

NR