FoneWorx on\u00a0Friday\u00a0(27 September) reported an\u00a08.9% rise in\u00a0revenue to R107.3 million for the year ended June 2013, while also lifting its dividend.<\/p>\n
The group provides interactive telecommunication, switching and business services, orientated around fixed\u00a0and mobile networks.<\/p>\n
The\u00a0increase, FoneWorx\u00a0said, is mostly attributed to the 18.4% increase in revenue from MediaWorx division up to R42.4 million.<\/p>\n
The BizWorx division showed marginal revenue growth of 3.5%, however the gross profit increased by 6.4%\u00a0for the year from R46.3 million to R49.3 million.<\/p>\n
“This improvement is due to an improved mix in sales via our\u00a0dealer network and directly via FoneWorx, with the latter enjoying greater gross profit margins,” FoneWorx said.<\/p>\n
The group’s operating profit was 9.8% higher at\u00a0R31.4 million while\u00a0earnings before interest depreciation and amortization (ebitda) moved to\u00a0R35.9 million\u00a0from R32.8 million in 2012.<\/p>\n
During the year under review the group declared and paid a dividend of 7 cents per share, and on 27 September 2013 the Board of FoneWorx declared a dividend of 12
\ncents per share, an increase of 71.4%.<\/p>\n
Looking ahead, FoneWorx said it\u00a0remains positive about the outlook for the ensuing year to June 2014.<\/p>\n
“BizWorx continues to provide the group with solid and predictable income with Fax2Email and Email2Fax showing good growth. Although we\u00a0don\u00b4t foresee double digit growth in this division, stable single digit growth is anticipated.”<\/p>\n
“This division is\u00a0entirely automated and requires very little maintenance. It is very scalable with limited human resource and\u00a0minimum capex,”\u00a0FoneWorx said.<\/p>\n
It said that MediaWorx has big potential going forward in line with the emerging “digital economy” and growth in\u00a0mobile e-commerce.<\/p>\n
“Our focus\u00a0over the next few years will be to deploy our systems, intellectual property and technology in assisting our\u00a0clients to develop databases which enable one-to-one marketing and e-commerce solutions linked to loyalty\u00a0programmes.”<\/p>\n
FoneWorx said it also “very excited” about its new shareholder, Caxton, who acquired 32.7% in\u00a0the group.<\/p>\n
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