26th Oct 2018 10:09
LONDON (Alliance News) - Smart home technology firm LightwaveRF PLC said Friday it expects full year revenue to drop modestly and losses to double after a weak start to the year and increased investment.
For the year ended September, revenue is anticipated to be a "little below" the GBP3.0 million reported the year prior. Revenue performance was hurt by "weak" first half sales at the firm. This was not "fully addressed", Lightwave explained, until the final quarter of financial 2018 where the revenue growth run-rate stood over 50% higher than the preceding three quarters.
Meanwhile, annual losses are expected to be "more than double" the GBP840,000 reported the year prior. This is due to investment to scale the business which will see administrative and research & development costs rise.
Underlying margins, however, are expected to be maintained at a similar level of 35.5%.
"In my first 100 days at Lightwave, I have led a full review of the business and instigated a number of changes which have already resulted in a marked increase in revenue in the last quarter," Lightwave Chief Executive Officer Jason Elliott said. "It is clear from my review that Lightwave's technology is rated very highly by consumers and industry commentators and is well positioned to exploit growing UK and European demand."
Lightwave expects to release its annual results in December. Shares in Lightwave were untraded at 9.50 pence on Friday.
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