8th Jul 2024 10:09
(Alliance News) - Quartix Technologies PLC on Monday said it expects to report strong first-half growth with notable successes made across multiple European markets.
The Cambridge, England-based company is a supplier of subscription-based vehicle tracking systems, software and services.
For the six months that ended on June 30, Quartix anticipates an 8.3% rise in pretax profit to GBP2.6 million from GBP2.4 million last year.
Revenue is estimated to be at GBP16.0 million, up 9.6% from GBP14.6 million.
Quartix ended the period with a net cash balance of GBP2.6 million, down from GBP3.2 million.
Over the twelve months to June 30, annualised recurring revenue increased by 11% or GBP3.0 million.
In its core UK market, Quartix secured a 17% increase in new subscriptions over the twelve months with particular success achieved in medium-size fleets, it said. Elsewhere, in the French market the subscription and customer base rose by 22% and 14%, respectively.
According to Quartix there was strong growth as well across Italy, Spain, and Germany, with the company seeing "substantial opportunities" for business development, which will be backed by planned further investment.
"Performance in the US has continued to be adversely affected by organisational and strategic changes made during 2022 and 2023," the company said.
In addition, plans are underway to liquidate Konetik Deutschland GmbH, acquired by Quartix in September 2023 for EUR3.9 million, as well as its Hungarian branch subsidiary.
The Berlin-based company specialising in consultancy services for fleets making the transition to electric vehicles has since incurred significant operating costs as well as poor revenue and growth.
Employment agreements are now in place as part of the liquidation and trading activities have ceased.
Quartix shares were up 8.2% to 165.00 pence each in London on Monday morning.
By Elijah Dale, Alliance News reporter
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