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AIM-listed connectivity specialist Telit Communications (LON:TCM) has seen its share price drop by 2.82% to 165.20p (as of 14:40 BST) despite revenues for 2018 climbing by 14.1%. The firm’s EBIT moved in to positive figure, but the company continued to post a loss before taxation for the full year. However, management said that it had recorded a postive profit during the second half of 2018.
Executive chairman Paolo Dal Pino commented: “We made significant financial progress last year. We delivered double digit revenue growth, saw a major improvement in the cash generation and stabilising gross margins – returning to cash profit in H2-2018.
“We also further rationalised our operational structure, better integrated our products and services and reshaped the IoT Platform organisation. The recent sale of the automotive division also frees up considerable internal resources and provides significant cash inflow.
“We are well positioned to exploit the growth opportunities in the fast growing and dynamic IoT market. With improved operational structure, we expect our financial performance to significantly improve as our revenue grows, and we see the benefits of a reduced cost base, strong balance sheet and stabilising gross margins“.