19th Nov 2018 14:11
LONDON (Alliance News) - MTI Wireless Edge Ltd said Monday its recently completed merger has "immediately demonstrated a benefit" with increased revenue for the nine months to September.
In August, MTI Wireless Edge - which manufactures flat panel antennas for wireless broadband - fully merged with majority shareholder MTI Computers & Software Services 1982 Ltd.
The company presented comparative financial results as if the merger was in effect throughout the reporting period.
For the nine months to September 30, the Israeli company recorded a pretax profit of USD1.7 million, down 5.6% from the USD1.8 million posted the year before.
The company's revenue increased slightly to USD25.9 million from USD25.5 million. Not taking into account the merger, MTI Wireless Edge recorded revenue of USD19.6 million in the same period the year before.
Chairman Zvi Borovitz said: "We are very pleased to have completed the merger, which we feel has immediately demonstrated a benefit to the company, by increasing its range of solution offerings, revenue and profits - in the third quarter of this year we had a 10% increase in earnings per share over the third quarter of 2017, while operating profit increased by 58%."
MTI's operating profit increased 5.6% organically to USD1.9 million from USD1.8 million but jumped 58% from USD1.2 million due to the merger.
The company's earnings per share in the first nine months of the year increased 8.4% to 1.81 US cents from 1.67 cents the year before, assuming the merger was in effect throughout the reporting period. Ignoring the merger, MTI's earnings per share increased 9.7% from 1.65 cents.
Borovitz added: "We believed that the merger would lead to costs savings and efficiencies, and we are happy to have achieved enhanced profits from the merger, including at the earning per share level. We remain excited about the opportunities for the enlarged group, as we continue to see good progress in meeting our internal goals in all areas of the business."
Shares in MTI Wireless Edge were up 5.9% at 18.00 pence each.
Related Shares:
Mti Wireless