Datalex cuts losses in half

26 Feb 2004

E-booking technology firm Datalex slashed its losses from US$20.6m to US$7.1m in the year ending 31 December 2003. This corresponded to a loss per share to US$0.11 in 2003 compared with US$0.31 in 2002.

The company also reported revenue growth of 13pc during the year – to US$29.1m from US$25.8m in 2002. The software firm held cash reserves of US$36m on 31 December 2003.

“While this further continues the process of getting the company to profitability, the time lag from contract negotiations to revenue generation held back revenue growth,” said Michael Quinn, executive chairman, Datalex.

“2003 saw us receiving the World Travel Award for leading internet booking engine technology provider and this endorsement of our product quality positions us well to generate additional e-business revenues in the growing airline, travel and hospitality sectors,” he added.

Although Datalex signed new contracts with Malaysia Airlines, American Express and Galileo for United Airlines, 2003 was another difficult year for the Howth-based software firm. In September it agreed an out-of-court settlement of nearly half-a-million euro with a customer, PSA, in a dispute over the PSA travel portal, Psazz.

By Brian Skelly