(Alliance News) - Global Invacom Group Ltd on Thursday said third-quarter profit more doubled on improved margins and gains from foreign exchange rate movements and disposals.
The company, which provides satellite communications equipment and electronics, added that earnings were helped by new product launches and optimisation of manufacturing facilities.
For the three months to September 30, Global Invacom's pretax profit jumped to US294,000 from USD104,000 in the year ago period, on a 6.4% rise in revenue to USD32.5 million from USD30.5 million.
Other income, primarily relating to foreign exchange gains and disposal gains, rocketed to USD269,000 in the third quarter from USD76,000 in the year-ago period.
Net profit doubled to USD0.2 million from USD0.1 million a year before, and margins at the net profit level widened to 0.7% from 0.4%.
For the nine months to September 30, pretax profit more than doubled to USD2.4 million from USD900,000, while revenue increased 22% to USD104.4 million.
Global Invacom said the integration of its Apexsat Pte Ltd acquisition - announced in June - continues to progress well, and has opened up multiple opportunities through the expansion of the group's capabilities and product range.
"With its larger portfolio of products available to clients, Global Invacom is now well-positioned to bid for large scale tenders which it has historically been unable to participate in," the company added.
Tony Taylor, the company's chair, said: "We are delighted to report our eleventh successive quarter of profit growth, reflecting our unique ability to strike a balance to enhance our product offering while successfully serving our global customer base. As we continue to right size our business to support global demand, our ability to remain at the forefront of innovation underpins our growth aspirations and drives our strategic direction."
Global Invacom shares down 13% at 7.00 pence each in London on Thursday afternoon.
By Tapan Panchal; tapanpanchal@alliancenews.com
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