Ubisense Annual Loss Narrows As It Focuses On Own Products

15th Mar 2018 12:52

LONDON (Alliance News) - Ubisense Group PLC on Thursday reported increased revenue and a narrowed loss for 2017, as one division's revenue grew but the other's declined.

Ubisense is a developer of location intelligence systems, helping its customers improve operational efficiency and data quality.

Total group revenue for 2017 rose by 3% to GBP27.3 million from GBP26.5 million, and Ubisense's pretax loss halved to GBP3.1 million from GBP6.4 million.

Its two products, RTLS SmartSpace and Geospatial myWorld delivered overall revenue growth of 28%, which offset a drop in revenue in Geospatial from third party products.

RTLS revenue, which is 40% of Ubisense's total, rose 18% to GBP10.8 million year-on-year, but Geospatial revenue dipped 5% to GBP16.5 million. Own product Geospatial revenue was up 52% year-on-year, with third party products down 22%.

Trading in 2018 has so far met the company's expectations, and gross margins are expected to increase as third party product revenue decreases through 2018 to zero.

Chief Executive Richard Petti said: "I am pleased to report on Ubisense's first full year of results since becoming CEO. The company made strong progress in 2017 and we sold more of our own products to more customers than ever before, resulting in a 28% increase in Ubisense' own product sales.

"Our solutions are chosen because they combine industry-leading technology that includes: indoor and outdoor geolocation, wirelessly enabled machine-to-machine and machine-to-device communication, advanced analytics and big data middleware. By accelerating the sales of our own products, we plan to drive improved gross margins and profitability. We have an exciting pipeline of opportunities in both divisions and look forward to delivering for our customers in 2018."

Ubisense shares were trading at 37.51 pence each on Thursday, down 1.3%.

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