Although UK internet service provider Easynet Group Plc witnessed strong growth last year, the company is still turning over a loss. The London-based company saw its revenue soar 244.3% to 7.4m pounds for the year to December 31, but still managed to report higher losses than last year, at 1.3m pounds. Easynet saw a significant increase in its corporate business, with customers increasing from 818 at the beginning of the year to 3,260 at the end of the year. Easynet is really pinning it hopes on the shift towards telecommunications and the internet which has come with the deregulation of the telecoms market in Europe. The ISP will look to increasingly carry data, voice and multi media traffic, and provide services previously associated with the large telecoms companies. Easynet has obtained a telecommunications license in the UK and signed an interconnect agreement with British Telecommunications Plc to connect to the Public Switched Network. Although revenue will not be generated from this immediately, the company is confident it will be able to build a cash stream from telephone services. The companyÆs French subsidiary, Easynet SA has grown at a similar pace this year, and Easynet plans to more sales offices in France in the coming year. Easynet was established in September 1994 and since then has been trading at a loss. Group managing director Graham Davis said the company has been trading at a loss because it takes quite a while to build a business of this nature. The big plan is to turn in a profit next year, but predictions of this nature came from Easynet with reluctance and uncertainty. EasynetÆs broker will make a prediction statement later in the week.
