Burn baby burn… “No surprises” as Xero growth continues

Xero burned through $17.3 million during the last quarter, yet remains on-track with the company’s ambitious growth plans.

Revealed via a statement on NZX, the cloud company announced net operating and investing cash outflows of $17.3 million compared with $11.8 million for the March 2014 quarter.

As a result, Xero had cash balances of $192.7 million at 30 June 2014 – compared to $210 million on March 31.

“From our perspective, there are no surprises,” Darryl Robinson, Xero’s general manager group finance told Business Desk.

“The quarterly cashflow results are in line with our targets and are reflective of our growth plans.”

The increase in staff costs is in line with headcount growth, with Robinson reporting the company doubled staff numbers during the past year – rising to 758 as of the end of March.

“The 103% increase in payments for other operating costs is higher than growth in actual expenditure due to cash flow timings,” the report states.

“Overall the increase in receipts from customers reflects the continuation of strong growth in revenue while the increase in costs reflects the ongoing investment in building the business for the future.”

Follow Us
on Google+
Sponsored

Review: Huawei Ascend P7

NetGuide Chances are that you’ve heard of Huawei, they make a lot of budget smartphones. What many don’t know is that Huawei also make some pretty tasty flagship devices. I spent some time with their latest, the Ascend P7 and came away moderately impressed.   Read More →

Android App Review: St John NZ

NetGuide Apparently more than nine people go into cardiac arrest every day in New Zealand, and their chances of survival are not high. If it happened to someone near you would you know what to do to help them? Me neither, but the St John NZ app increases their chances by explaining how to do CPR in a way anyone can follow.   Read More →