LightwaveRF Posts Maiden Profit In First Half On Margin Improvement

LONDON (Alliance News) - LightwaveRF PLC Friday reported its maiden profit in the first half of its 2015 financial year as the group pulled down its cost of sales to outpace a slight drop in revenue.

Lightwave RF makes devices for the so-called Internet of Things, which will allow householders to control devices such as lighting, power and heating remotely.

In the six months to the end of March, the company said its pretax profit was GBP44,754, compared with a GBP123,092 loss a year earlier. The profit was driven by an improvement in margins, with a fall in revenue to GBP1.5 million from GBP1.7 million offset by a decline in the company's cost of sales, down to GBP890,142 from GBP1.2 million.

LightwaveRF noted the decline in revenue was primarily down to the boost in the first half of 2014 from initial stocking orders made by Megaman UK, its sole UK distributor.

"We are delighted to report our first six month profit. We are also very excited about the future outlook having made significant technology advances, particularly in software. As these are launched into the market over the second half, we also expect to see significant additional customer announcements," said Mike Lord, LightwaveRF's chairman and chief executive.

Shares in LightwaveRF were up 6.2% to 43.00 pence in early trade on Friday.

By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance

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