- guardian.co.uk, Wednesday October 18 2000 00.00 BST
Office workers who while away their time at work trading shares, booking holidays or shopping online could cost businesses as much as $35m (£25m) a year, according to a software snooper specialist.
The findings of a recent Surf Control survey, based on a thousand employees spending one hour online for personal use, were reiterated by the company as it reported better than expected first-quarter results for the period to the end of August this year.
The survey found that 59% of office internet use is not work-related. Employees who traded in shares, played sport, shopped and bought holidays on the internet cost companies the most.
Pornography, according to chief executive Steve Purdham, is still the biggest concern, but only accounts for 2%-4% of non-work-based use. SurfControl, whose software monitors the websites employees visit and allows managers to restrict access, said there was increasing demand for its products.
The company also said it would be moving into the mobile phone market as technology developed. Mr Purdham said: "There is an increasing awareness that the internet is a significant but highly seductive resource that needs to be proactively managed."
Revenues rose to $6.7m this year from $2.3m for the year before. Internet filtering products now form the company's core business, accounting for $5.8m of total revenue.
Mr Purdham said: "Strong demand, expansion into new geographical markets and our good timing in taking our products to the relevant markets, have resulted in a performance that has exceeded our high expectations."
First-quarter losses reached almost $20m but before interest, tax, depreciation and amortisation the figure was $3.1m.
This sum beat Deutsche Bank's predictions of an underlying loss of $5.4m.
SurfControl, formerly JSB Software Technology, has $26.1m in the bank, and recently acquired Cyber Patrol and CSM Security Management.
Deutsche Bank analysts say the money should be sufficient for the everyday operations of the company.
The share price yesterday rose 115p to 1,750p.
