Monitise, a UK-based mobile payment platform specialist, reported strong sales growth for its 2013 fiscal year (ended 30 June) but, largely owing to acquisitions and technology investment, losses widened.

And coinciding with the full-year results announcement, Monitise unveiled another acquisition – Grapple Mobile, a European mobile innovation and design agency delivering smartphone and tablet solutions for well-known European brands, including Whitbread, Procter & Gamble, Sky and B&Q.

Monetise will pay about £16.5 million in stock for Grapple, as well as £22.9 million in milestone payments.

Full-year revenue at Monetise more than doubled for the fourth year in succession, rising to £72.8 million from £36.1 million – an increase of 102 per cent. Organic revenue growth was 50 per cent.

However, the group registered an EBITDA loss of £19.3 million for the year (FY 2012: £10.4 million), which takes into account acquisition costs related to Clairmail, Mobile Money Network and eMerit Solutions, a mobile payment solutions provider targeting large businesses.

Monitise attributed investment in scaling its platform and service delivery capability – services were launched across three continents over the year – as another reason for the widening loss.

Pre-tax losses were £51.1 million (FY 2012: £16.9 million) as operating costs soared from £34.4 million to £74.5 million.

More encouragingly, the number of registered customers increased by 7 million, to 24 million, over the fiscal year. There was also further growth in live transactions, with more than 3 billion transactions on an annualised basis compared with 1.6 billion a year ago. Processed payments and transfers are now worth more than $50 billion on an annualised basis, 150 per cent higher than the $20 billion during 2012.

Yesterday (4 September), Monetise announced a partnership with IBM to broaden the range of mobile money services offered by Visa Europe to its 3,000-plus bank members.

Visa Europe is the third-largest investor in Monitise with a 7.39 per cent stake as of 27 December 2012, according to Thomson Reuters data.