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  • BY: Andrew Hore |
  • POSTED: 26/09/2007 |

Marketing software company smartFOCUS is on course to double profits this year. 

Turnover rose 32% to £5m and the company increased its profit from £8,000 to £151,000 in the six months to June 2007. The business is traditionally second half weighted.

The company has benefited from adding the online marketing business last year. It has produced cross-selling opportunities for the other products and services. An increasing amount of business is coming from managed services and online hosting rather than one-off sales. International sales are also likely to increase in importance.

New customers include Harrods, Manchester United and Associated New Media. Recurring revenues are 44% of the total.

Disappointingly, house broker Arbuthnot has cut its profit forecast for the full year. It has only knocked off £140,000 to £1.85m, against £824,000 last year, but this has been a habit since smartFOCUS floated. The model has changed in recent years but the broker knows that. It doesn’t do the company any good to produce forecasts that need to be cut during the year. Hopefully, the new 2008 forecast will be set at a level where it won’t need to be reduced at the time of the full year results or next year’s interims. 

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