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Quickflix losses double while subscribers dwindle

QuickflixTroubled streaming service Quickflix has recorded an $8.6m loss in its latest half yearly financial report, a figure more than double last year’s $4.2m loss.

Today’s release to the Australian Securities Exchange also show its paying customers fell from 122,862 in June 2014 to 117,106 in the six months to December 2014, despite the growing awareness of subscription video on demand services ahead of the formal launches of Stan and Netflix in Australia in 2015.

While the company reported increased revenues, up from $8.6m in 2013 to $9.2m in 2014, the loss was triggered by a blow out in marketing and operating costs.

Last month Quickflix’s share price fell a further 25 per cent after venture capital firm Cashel Capital Partners ceased to be a substantial investors in the company. 

The company’s share price this afternoon was stable a $0.002, giving the company a market capitalisation of $3.63m, having fallen earlier in the day back to its record low of $0.0015.

Quickflix’s CEO and founder Stephen Langsford earlier this year told Mumbrella that the company would continue to attempt to fundraise from shareholders in an attempt to funding marketing ahead of the looming SVOD war.

Its attempt to bring in $5.7m in a capital raising and fund an extensive below the line marketing effort to ward off intensifying competition brought in just $650,000 from investors.

Nic Christensen 

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