Cordel Group PLC shares fell on Monday, despite reporting a narrowed interim loss as well as higher revenue.

Cordel is a London-based company, whose flagship platform uses artificial intelligence to supply transport corridor analytics. Its shares fell 9.5% to 4.71 pence each in London on Monday around midday.

Cordel reported that in the six months ended December 31, revenue more than doubled to £2.0 million from £945,000 a year earlier

Its pretax loss narrowed to £715,000 from £855,000.

However, in the period, cost of sales surged to £924,000 from £268,000. The company explained that this was ‘due to an increased proportion of hardware vs software and services in new contracts in the half year’.

Gross margin fell from 72% to 53% as a result, but Cordel expects this to balance out in the full year.

Chair Ian Buddery said: ‘The interim results show very pleasing growth compared to the corresponding period last year, with sales momentum building in all markets.

‘During the period, we added new sales, business development and technical support staff in the US and UK and are delighted with the resulting uplift in market engagement, which gives us confidence for continuing success in 2024 and beyond.’

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