Anemoi International Ltd on Tuesday said its loss widened as expenses increased, despite revenue soaring, in a year its chair described as ‘one step forward, two steps sideways’.
The British Virgin Islands-based holding company said its pretax loss for 2022 was £823,792 compared with £603,530 in 2021. Its operating loss likewise widened to £827,829 from £608,472.
Anemoi said its revenue increased significantly to £137,288 in 2022 from £5,603 the previous year. However administrative expenses increased by 33% to £808,358 from £606,676, while cost of sales soared to £76,523 from £2,078. Depreciation and amortisation increased to £95,994 from £3,874.
At December 31, Anemoi had cash and cash equivalents worth £2.2 million, down 20% from £2.7 million the year before. Net assets decreased 9.7% to £4.9 million from £5.4 million.
Highlights of 2022 included the resignation of founder and Chief Executive Officer Sebastien Lalande in late December, and growth below budget for id4 AG. Anemoi engineered a reverse takeover of id4 in 2021, acquiring the software as a service company for £5.3 million.
‘2022 can be viewed as a year of ’one step forward, two steps sideways’,’ commented Anemoi Chair Duncan Soukup, who blamed Lalande’s departure on ‘the board’s frustration with management‘s inability to take responsibility for results’.
‘Costs have been further reduced and id4’s sales efforts, as highlighted above, are now focused on [business to business] as well as [business to consumer], thus allowing id4 to work in collaboration with larger, better established software houses that offer complimentary solutions, but which do not offer an integrated KYC/AML as part of their software,’ Soukup added.
Anemoi said its board is currently pursuing a broad-based acquisition search for a reverse takeover candidate, and has narrowed it down to two strong contenders. It intends to issue an update on its progress in this area during the third quarter.
Shares in Anemoi closed untraded at 0.80 pence each on Tuesday in London. They last traded on May 2.
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