Tungsten Corp. narrows full year loss

Online invoice group Tungsten Corp. narrowed its full year losses as revenue grew on the back of higher total invoice volumes.

The earnings before interest tax, depreciation and amortisation (EBITDA) loss fell to £18.7m in the year to 30 April 2016 from a loss of £25.2m in 2015. Revenue rose 16% to £26.1m from £22.5m as total invoice volumes increased 9% to 16.1m.

The company said it expects to complete the sale of its bank on 31 October, which will free up about £30m of cash for the core business. Tungsten has agreed a £10m revolving credit facility with HSBC if the sale of the bank is unexpectedly delayed.

The company sees an EBITDA loss of £12m to £14m for fiscal year 2017, including an expected £1.3m EBITDA loss in Tungsten Bank prior to sale. Tungsten guided toward revenue of £30m for 2017.

"We are building momentum in our business through our strategy of focusing on profitable growth and I am encouraged by the progress we have made in implementing significant organisational improvements to elevate Tungsten's performance,” said chief executive Richard Hurwitz.

Shares fell 3.41% to 42.50p at 1500 BST.