LONDON (Alliance News) - IQGeo Group PLC on Thursday said it sunk to loss in 2018 following a disposal of its RTLS SmartSpace business and Ubisense brand, aiming to focus solely on geographic software.
The company swung to a pretax loss of GBP1.6 million in 2018 compared to GBP430,000 profit reported a year earlier, as revenue dipped by 39% to GBP10.0 million from GBP16.5 million.
"2018 was a transformational year for IQGeo in which the group disposed of its RTLS SmartSpace business and Ubisense brand creating a focused geospatial software group benefiting from with a strong balance sheet, and a new focus on software revenue growth and strong recurring revenue base," explained Chief Executive Richard Petti.
Total bookings of new Geospatial customer orders in 2018 decreased by 31% to GBP8.2 million from GBP12.0 million in 2017. The Geospatial division is focused on the myWorld product which include selling perpetual software licences, generating recurring revenue from software maintenance and support contracts, and delivering consultancy services.
The order book backlog as at the end of the year was GBP3.7 million compared to GBP5.1 million the year before, most of which will be recognised during 2019.
Looking forward, Petti said: "IQGeo will continue to adopt a controlled investment strategy, focusing on product development, sales and partnerships, that will allow us to build an industry-leading offering."
IQGeo shares were trading 13% higher on Thursday at 48.50 pence each.
Iqgeo (IQG)