Getmobile pretax profits rise 47% to €1.65m

Mobile phone company Getmobile has reported a 47 per cent rise in pretax profits to €1.65 million for the six months period to June 30th.

The Dublin IEX and London AIM listed firm which mobile phone contracts in the German market said gross margins had increased from 8.5 per cent to 11.6 per cent.

Pierce Casey, Getmobile chairman said the results had been driven by good margins and increasing internet sales which are more profitable.

The company's business model involved selling contracts bundled with a mobile phone handset and taking commission from operators and service providers.

The company reported sales of €49 million over the period, marginally lower than the same period in 2007. However, gross margins increased to €5.7 million.

Getmobile sold 69,654 phone contracts over the first half, slightly lower than the 71,871 over the same period last year.

Mr Casey who acts as chairman of the company said Getmobile would concentrate on expanding in Germany for the next year.

Getmobile has taken a 65 per cent stake in Premingo, an internet start-up which uses a similar business model and allows consumers access household contracts such as insurance, broadband, credit cards and utilities.

The site had a reported loss of €200,000 over the period.

At the end of June the company had net assets of €21.8 million and cash of €9.7 million. The company has no debt.