Mti Wireless Regulatory News (MWE)

31 July 2014

MTI Wireless Edge Ltd

("MTI" or the "Company")

Financial results for the six months ended 30 June 2014

MTI Wireless Edge Ltd., (MWE) ("MTI" or the "Company"), a market leader in the manufacture of flat panel antennas for fixed wireless broadband, today announces its unaudited results for the six months ended 30 June 2014.

Highlights

· Continued improvement in revenue, gross margin rate, operational and net profit.

· Revenue increased by 5% to US$7.1m (H1 2013: US$6.8m).

· Gross profit increased by 14% to US$2.8m (H1 2013: US$2.4m).

· Operational profit increased 230% to US$202,000 (H1 2013: US$61,000).

· Net profit of US$249,000 (H1 2013: US$73,000).

· Shareholder's equity of US$17.7m, similar to December 31, 2013, equivalent to 20.1 pence per share.

Dov Feiner, Chief Executive Officer, commented:

"I am pleased to announce that during the first half of 2014 the Company continued to improve both its margins and profits. This healthy progress was accompanied by strong cash generation. This resulted with the Company's first half operational profits exceeding those generated during the whole of 2013.

"We continue to see strong demand for our 80GHz products and in the first half of 2014 our revenue from this product line was greater than for the full year 2013. Current order backlog remains strong and we expect to show a substantial increase in revenues from this product line during this year.

"We have made good progress in the first half of 2014 and the Board is confident that this trend will continue for the rest of the year. The Board is encouraged that the outlook for the Group remains positive."

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About MTI Wireless Edge

MTI is engaged in the development, production and marketing of High Quality, Low Cost, Flat Panel Antennas for Commercial & for Military applications. Commercial applications such as: WiMAX, Wireless Networking, RFID readers &, Broadband Wireless Access. With over 40 years experience, supplying antennas 100KHz to 90GHz including directional antennas and Omni directional for outdoor and indoor deployments including Smart Antennas for WiMAX, Wi-Fi, Public Safety, RFID and for Base Stations and Terminals - Utility Market. Military applications includes a wide range of broadband, tactical and specialized communications antennas, antenna systems and DF arrays installed on numerous airborne, ground and naval, including submarine, platforms worldwide.

INTERIM CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

The accompanying notes form an integral part of the financial statements.

INTERIM CONSOLIDATED STATEMENT OF

CHANGES IN EQUITY

For the Six months period ended June 30, 2014:

The accompanying notes form an integral part of the financial statements.

INTERIM CONSOLIDATED STATEMENT OF

CHANGES IN EQUITY

For the Six months period ended June 30, 2013:

The accompanying notes form an integral part of the financial statements.

INTERIM CONSOLIDATED STATEMENT OF

CHANGES IN EQUITY

For the year ended December 31, 2013:

The accompanying notes form an integral part of the financial statements.

INTERIM CONSOLIDATED STATEMENT OF

FINANCIAL POSITION

The accompanying notes form an integral part of the financial statements.

INTERIM CONSOLIDATED STATEMENT OF

FINANCIAL POSITION

The accompanying notes form an integral part of the financial statements.

INTERIM CONSOLIDATED STATEMENTS OF

CASH FLOWS

The accompanying notes form an integral part of the financial statements.

INTERIM CONSOLIDATED STATEMENTS OF

CASH FLOWS

Appendix A - Non-cash transactions:

The accompanying notes form an integral part of the financial statements.

NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS

Note 1 - General:

A. Corporate information:

M.T.I Wireless Edge Ltd. (hereafter - the "Company") is an Israeli corporation. It was incorporated under the Companies Act in Israel on December 30, 1998 as a wholly- owned subsidiary of M.T.I Computers and Software Services (1982) Ltd. (hereafter - the "Parent Company") and commenced operations on July 1, 2000 and since March 2006 the Company's shares have been traded on London's AIM Market.

The formal address of the Company is 11 Hamelacha Street, Afek industrial Park, Rosh-Ha'Ayin, Israel.

The Company is engaged in the development, design, manufacture and marketing of antennas and accessories.

B. Foreign currencies:

Henceforth are the details of the main foreign currency information and the changes in the exchange rate percentage in the reporting period:

Note 2 - Significant Accounting Policies:

The interim consolidated financial statements have been prepared in accordance with generally accepted accounting principles for the preparation of financial statements for interim periods, as prescribed in International Accounting Standard No. 34 ("Interim Financial Reporting").

The interim consolidated financial information set out above does not constitute full year end accounts within the meaning of Israeli Companies Law. It has been prepared on the going concern basis in accordance with the recognition and measurement criteria of the International Financial Reporting Standards ("IFRS"). Statutory financial information for the financial year ended December 31, 2013 was approved by the board on February 19, 2014. The report of the auditors on those financial statements was unqualified. The interim consolidated financial statements as of June 30, 2014 have not been audited.

The interim consolidated financial information should be read in conjunction with the annual financial statements as of 31 December, 2013 and for the year ended on that date and with the notes thereto, The significant accounting policies applied in the annual financial statements of the Company as of December 31, 2013 are applied consistently in these interim consolidated financial statements.

Note 3 - operating SEGMENTS:

The following table's present revenue and profit information regarding the Company's operating segments for the six months ended June 30,2014 and 2013, respectively and for the year ended December 31, 2013.

Note 3- operating SEGMENTS (CONT.):

Note 4 -TRANSACTIONS WITH RELATED PARTIES:

The Parent Company and other related parties provide certain services to the Group as follows:

Compensation of key management personnel of the Group:

*) Including Management fees for the CEO, Director executive management and other related parties.

All Transactions are made at market value.

Note 5 - SIGNIFICANT EVENTS:

On April 4, 2014 the company paid a dividend of 0.68 cents per share totaling approximately $351,000.