Cartrack hits 500,000 subscribers in SA
Listed vehicle tracking and telematics technology group, Cartrack on Wednesday reported a 20% rise in headline earnings for the six months ended August 2017, to R138.1 million.
Revenue was up 14% to R629.9 million, with an operating profit climbing to R200 million, from R168 million previously.
The Group’s global subscriber base increased from 551,391 to 666,422, representing a 21% growth. South Africa, Asia Pacific and Europe contributed strongly with 19%, 122% and 24% subscriber growth, respectively.
Highlights:
- Subscriber growth of 21% to over 666,000
- Subscription revenue up 19%
- Total revenue up 14% to R629.9 million
- Ebitda of R297.1 million, up 26%
- HEPS of 46.2 cents, up 20%
- Declared dividend per share of 18 cents
- Cash generated from operating activities of R178.2 million
“The increase in active subscribers and subscription revenue has translated into solid growth. South Africa performed admirably and the business case for Asia Pacific is now well entrenched. Europe also delivered strong subscriber growth, said CEO, Zak Calisto.
“The outperformance in our subscriber growth over the last year is a direct result of a dedicated and motivated workforce. We are constantly upgrading our market offering to our customers through our innovative and reliable products and services.”
The South African subscriber base reached a milestone of over 500,000 subscribers by end-August, driven by an increasing awareness of technology offerings, Cartrack said.
Calisto added: “We are part of an under-penetrated and high-growth industry and view ourselves as still being in a growth phase across all continents. The expectation is that this growth trend will continue.”
Looking ahead, Cartrack said that the future of the telematics industry will continue to be expand in tandem with advancements in technologies across varied fields, including global positioning systems, driver-behaviour modelling, cloud computing, kinematics, real-time tracking, smartphones and software.
Notwithstanding global economic and foreign exchange volatility, Cartrack said it expects to continue double-digit subscriber and revenue growth in the foreseeable future.
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