Family Zone’s customer receipts doubled last quarter — but its negative operating cashflow would look a lot worse if not for a pile of R&D tax incentives.
The cybersecurity provider (ASX:FZO) for schools and parents received a $2.6 million R&D tax refund in the Christmas quarter.
The tax incentive meant the operating cash flow burn-rate came in at $868,000 for the three months.
Family Zone reported $324,000 in customer receipts for the quarter — up from $158,000 — and planned to spend $3.7 million this period. The company claimed it made $2.1 million in revenue during the quarter – including the tax refund.
Family Zone said the quarter was a turning point for customer receipts. However, contracted revenue was steady at $3.5 million, in spite of the company saying it added an unspecified number of new customers in the three months to December.
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By the end of the year Family Zone said it had 30,000 paying subscribers, 120 partner schools, and 582 contracted schools.
For individuals the company’s products cost $6 a month after a three-month trial period.
Family Zone was up 3 per cent to 62c at 12pm AEDT on Monday.