On the day interim results were announced, the market pulled a trick on Magic's bullish chief executive Abby Hardoon by plunging the company's shares 13% to 8.5p. The fall was due (mostly) to the fact that the pre-tax loss had spiralled to £779,000. There were some encouraging figures, however, most specifically the 270% rise in pro forma turnover to £2.1m. Magic's highly ambitious aim is to become one of the top three internet hosting providers in Europe. Expansion into the Netherlands is already beginning, using the brand name HostEurope. The prospect of continued expansion, augmented by further consolidation in the UK (which at the moment looks impressive) has Hardoon predicting growth rates of 60-80% per year for the next five years. He is also certain Magic will follow the US hosting provider Verio in being swallowed up by a telecommunications giant in the not too distant future. £5m sits in the bank for future activities.