Abundance Investments narrowed its losses in 2020 as the Covid-19 pandemic hit, but the platform has predicted rising revenues and profitability within “the coming years”.
According to documents filed with Companies House, the ethical investment platform posted a loss of £310,581 for 2020. In 2019, the platform’s losses amounted to £965,896.
Turnover fell from £1,838,400 in 2019, to £1,357,770 in 2020. This was largely due to the impact of the Covid-19 pandemic, the company said.
“Income fell in 2020 due to market uncertainty linked to Covid-19 which fed through to the deal pipeline,” said Abundance in its annual report and financial statement.
“During the period, the company cut back on discretionary spend to manage risks associated with Covid-19, but did make key investments in its long term growth and to position itself to capitalise on the recovery and growth in ESG investing.
“The company will continue to invest ahead of income and therefore expects to incur losses over the coming years.
“The company also intends to make investments in 2021 to ensure it continues to build a long-term competitive advantage within the market.”
Abundance used its annual report to say that it will continue to invest in its business while growing brand awareness and customer numbers. It will fund this growth through its own means and by raising further equity when needed.
It is also mulling a series of new product launches in 2021 and 2022, and hopes to become profitable within a matter of years.
“The company is continuing to expand their operations and so have incurred losses in the current year and previous year,” the report concluded.
“Despite these losses, the current bank balances together with future expected cash flows, provide the necessary working capital for the company’s operations.
“Future forecasts predict increase in revenue and profits to be generated in the coming years.”
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