Between April and June, Lastminute.com sold 90,500 items, almost half of which were not travel products. The company made a gross profit of £950,000 in the quarter, compared with £1.05 million in the previous quarter.
The share price of the retail site has fallen in past months following a change in investor confidence. Martha Lane Fox, one of the founders of the company, said the losses were attributable to the high cost of investment.
Martha Lane Fox said: “It is obviously investing for the future in new markets and new platforms. We are determined to keep costs in line... All internet companies are focused on the path to profitability... There is no problem with the technology. We just want to upgrade it to make sure we can really grow in the future.”
A new version of the site is presently in development. Analysts believe the company will become profitable in 2003.