Dating firm Cupid acts to ‘allay any concerns’
Chairman George Elliott told shareholders at the company’s annual general meeting that although a review by a “big four” accountancy firm was still ongoing, a separate one by a “leading legal team” had led to a number of recommendations.
These include clearer guidelines for customer service staff interactions with customers and clearer identification of Cupid staff when online with customers. “This should allay any concerns with regards to the staff profiles that are in place and help to detect and identify any issues,” said Elliott.
Advertisement
Hide AdAdvertisement
Hide AdThe outcome of the big four firm review is due to announced by 1 July. The company has strenuously denied allegations that its staff created fake online profiles in a bid to encourage customers to take out subscriptions.
Although revenues for the first half of the year are expected to rise to £43 million from £38.6m last year, Elliott said a rise in marketing spending and customer service initiatives would hit short-term profitability.
Underlying pre-tax profits are likely to fall to £2.5m, down from £5.9m a year ago.
Elliott added: “Much work has been done and investment made, particularly in the last six months, to improve the customer experience.”
Shares in Cupid, which was co-founded by chief executive and Scottish technology entrepreneur Bill Dobbie, dipped 0.75p at 68.25p.