I still can't hear you, show me the money!

That's right I'm still picking on CYN. Not because they are doing anything terribly wrong - I could have picked any one from dozens of small companies. More to the point I wanted to contrast them with another small company ANH.

Firstly CYN's 1H07 results. Management seems to have run out of pep in their commentary and for good reason. Revenue up just 8% on pcp, loss after tax reduced by just 6% from -$3.5m to -$3.3m. Looking at the numbers a slight improvement on the previous year but no indication that they can run a business profitably and no indication from management that they will be able to any time in the near future. It's business as usual over at Cygenics.

ANH is an online media company that derives revenue from selling advertising space on a network of search engines, portals and popular websites. Briefly ANH's 1H07 results Revenue up 105% Net Loss up 59% from -$0.67m to -$1.05m. To be fair the increased loss included $0.52m in share-based payment expenses. Revenue growth is good but they are yet to turn profitable. ANH also stated 5 objectives they wish to achieve for the rest of the FY07, one of them being..

"Achieve month on month profitability"

Also CEO Dean Jones commented in an interview on boardroom radio late last year that the biggest challenge going forward was to manage the strong revenue growth by controlling costs. Whether they can achieve month on month profitability remains to be seen but at least management are communicating to the market that operating a profitable enterprise is at the forefront of their minds - as it should be.