Cupid, the UK-quoted internet dating company, has posted its latest set of figures for the last six months. The £2.5 million loss compares poorly to the £3.5 million profit from the same time last year. Cupid has found the constant battle to ensure that its name is at the forefront of potential users’ minds expensive, with an annual marketing spend for the year now at £27.4 million. This is an 18% increase year-on-year, which is a rate of growth that the company will no doubt soon find unsustainable.
Earlier in the year the company successfully saw an independent review clear them of any underhand dealings as far as membership numbers were concerned, but with administrative costs rocketing by 60%, up to £4 million, they have felt the consequences.
Two names no longer part of the group are benaughty.com and flirt.com, both sold as part of a group of websites to Grendall Investment in July for just over £43 million. It is worth noting that this happened after the company’s figures were calculated in June. With this cash injection the company is confident of returning to profit in 2014.