Poynting lifts net profit 36%
Listed firm Poynting said on Wednesday (25 September) that it lifted its net profit after tax by 36% for the year ended June 2013 to R9.84 million.
Poynting designs, manufactures and supplies antennas and telecommunication products to the cellular, wireless data and defence markets.
Revenue for the year amounted to R93.74 million, from R80.97 million in 2012, with an operating profit of R10.81 million, up from R8.47 million before.
The group reported diluted headline earnings per share of 10.39 cents, from 8.04 cents before.
Poynting said it is currently investing in the entry into the cellular micro base station market and has established the CCS division for this purpose.
“The new business division was formed as a vehicle to allow for the execution of the CEO growth plan which aims to build Poynting into a group with revenue in excess of R1 billion over a 3 to 5 year period,” the group said in a statement.
“This growth will be in the form of acquisitions of new businesses, including strategic acquisitions to expand current business divisions in terms of product and distribution and investing into completely new business areas,” Poynting said.
The group said it envisages the additional turnover to be achieved as follows:
- Strategic acquisitions (R50 – R100 million in revenue)
- Autonomous acquisitions (R200 – R400 million in revenue)
- New business areas (R100 – R300 million in revenue)
- Growth – this is growth in the current divisions, acquisitions and from new businesses divisions. Growth in the above is expected to contribute between R150 – R350 million in revenue.
Looking ahead, Poynting said its Defense and Commercial Divisions should continue strong growth in the future.
The Commercial Division is supported by strong growth in the cellular data field, Poynting said. “With the advent of 4G/LTE systems a number of Poynting products are now unique
internationally and our competitive advantage is ensured by numerous international patents, designs, trademarks and know-how,” it said.
The CCS Division, it said, should be supported by the requirement internationally to significently increase base stations to cope with growth in data traffic.
More news on Poynting
Poynting talks up LTE micro base stations
Poynting boosts profit by 34.46%
Loading ...