BATM Advanced Communications Ltd (LON:BVC)

BATM Advanced Communications Ltd (LON:BVC)


Share Price
43.90 p
Change
-0.1 (-0.23 %)
Market Cap
£191.90 m
Proactive Investors - Run By Investors For Investors

BATM Advanced Communications Ltd

BATM Advanced Communications Ltd is a leading provider of real-time technologies for networking and cyber security solutions and for bio-medical and bio-waste treatment solutions via its two operating divisions. Its disruptive, transformative technology is backed by strong intellectual property and patents, which is the foundation for the development of BATM’s market-leading, innovative and...

EPIC: BVC
Market: LSE:BVC
52-week High/Low: 54.000p / 31.400p
Sector: Telecoms
Market Cap: £191.90 m
Website: www.batm.com
col 3
col 4
col 5
col 6

Big Picture – A Deep Dive Examination of BATM Advanced Communications Ltd


Network cables
The group said it had entered 2019 with a “substantially higher order book” compared to the same period in the prior year

BATM Advanced Communications Ltd Snapshot

Chairman’s Statement

BATM has returned to growth demonstrating significant improvement in its operating performance and, most importantly, with its strategic plan. Our excellent Executive Team and the heads of the business units deserve the credit in returning BATM to growth and delivering the financial results set out in 2017 Annual Report. It is also pleasing to see that this performance was reflected in an improvement in our share price over the year.

In 2017, we achieved the goals that we set for ourselves for the year. We gained new customers and partners, secured new contracts, expanded into new territories and continued to establish a leading position in our target markets. The strategies we implemented in both our divisions – Bio- Medical and Networking & Cyber – are coming to fruition as new products and technologies have completely replaced legacy products and are gaining traction in areas that we had previously identified as growth markets.

The Bio-Medical Business

The Bio-Medical division continued to demonstrate growth in product sales and we made a strong start in providing services while we continued to advance the development of disruptive patented technologies that will soon be introduced to the markets. The division saw growth in its Eco-Med and Distribution units and lower revenues in Diagnostics unit.

At the beginning of the year, the Group acquired Zer Laboratories a private diagnostics laboratory in Israel for clinical tests. With Zer, we primarily conduct the pre-natal screening tests for non-invasive pre-natal tests, and towards the end of the year we added new molecular biology tests especially for cancer. We are happy to enter into the services business and expect it to expand in 2018.

The Networking and Cyber Business

The Networking and Cyber division achieved an increase in revenue for the first time since 2011. Sales in this division grew by 28.3% compared with the previous year. This was mostly due to growth in ICT services and solutions as well as the success of the strategic decision to focus on software-based Network Function Virtualisation (NFV) solutions that have come now of age. The partnerships established with NXP Semiconductors and ARM Holdings has laid the groundwork for future growth where our open and agile service delivery platform can meet the growing demand from telecoms operators and managed service providers.

It was pleasing to see the operational success of our businesses translating into financial success too. Our EBITDA in 2017 was $7.7m compared with an EBITDA of $2.8m in 2016. BATM was able to report positive earnings per share for the first time since 2012.

I am confident that BATM will meet its goals for 2018, generating sustainable growth across the Bio-Medical and the Networking & Cyber divisions, which should in turn drive shareholder returns. We will continue to oversee performance of all our businesses closely, ensuring that the Group executes its strategy with financial discipline and with integrity.

Finally, I would like to thank Dr. Zvi Marom our CEO, Mr. Moti Nagar our CFO and our Executive Team for their efforts. Many thanks to my Board colleagues for their considerable contribution. We all appreciate the dedication, skills and professionalism of our employees all over the globe.

Mostly, I would like to thank our loyal shareholders for their ongoing support.

We all are committed to creating substantial value for our shareholders. BATM Group is well positioned to benefit from growing markets, and I look forward to reporting on our progress.

Dr. Gideon Chitayat
Chairman

30 April 2018

Networking & Cyber Division

Provides innovative telecom network solutions, software advanced solutions and cyber-security. Specialises in Carrier-grade software solutions, products, services and hardware.

Divisional companies

BATM addresses the networking & cyber market through the following companies which make up the division

Telco Systems

Design and Development of Advanced Telecom Network Communications Solutions

NGSoft

Advanced Software & Digital Development Company
CREATIVITY & TECHNOLOGY

Celare

Cyber Secured Networks
& Big Data Security Solutions

Bio-Medical Division

North America, Israel, Europe and the Far East.

Dr. Gideon Chitayat
Non-executive Chairman

Dr. Gideon Chitayat is the Chairman and CEO of GMBS Ltd Strategic Consulting Firm. He is currently a director of Delta Galil Industries, Paz Oil Company and Milissron Shopping malls. Dr. Chitayat has served as a director for Teva Israel Pharmaceutical Industries, Bank Hapoalim and Israel Aircraft Industries. He has provided consultancy services to the Board and Presidents of Companies. Dr. Chitayat holds a Ph.D. in Business & Applied Economics from the University of Pennsylvania and a Masters in Business & Applied Economics from the Hebrew University, Jerusalem and joined the Board of BATM in June 2010.

Founder & CEO
Dr. Zvi Marom
Founder & CEO

Dr. Zvi Marom founded BATM in 1992. He holds degrees in Engineering and Medicine. Prior to establishing BATM, he was the head of the Electronic faculty of the Israeli Open University and senior consultant to several industrial and academic institutions. He graduated in excellence from the naval academy and served in combat command posts. He was awarded the Techmark “Technology Man of the Year” award from the London Stock Exchange in 2000. He is currently a director of Shore Capital Group plc, a UK-listed company, and receives remuneration for his services.

Harel Locker
Non-executive External Director

Harel Locker holds an LL.B. degree from Tel Aviv University’s School of Law (1994), a B.A. degree in accounting from Tel Aviv University Business School (1994) and an LL.M. (with distinction) in taxation from Georgetown University Law School, Washington DC (2001). Mr. Locker has wide experience in law and finance with first tier law firms in both Tel Aviv and New York, including Danziger, Clagsbald & Co., Law Firm, Tel Aviv, Israel; Fried, Frank, Harris, Shriver & Jacobson LLP, New York, N.Y. (2001-2004); Shohat, Locker & Co., Law Firm (2005-2007); and S. Friedman & Co., Law Firm (2007-2011). He was appointed and served as the Director General of the Israeli Prime Minister’s Office and head of Prime Minister Benjamin Netanyahu’s economic headquarters, between 2011 and 2015. He is currently the sole owner and director of his consultancy and investments company, Pitkrai Investments Ltd, and he currently also holds the position of a Chairman of the board of Israel Aerospace Industries (IAI). Mr. Locker was appointed to the Board of BATM in September 2016.

Professor Ari Shamiss
Prof. Ari Shamiss

Non-executive Senior Director
Prof. Ari Shamiss, aged 60, is a medical expert with over 35 years’ experience in the healthcare and biotechnology industries. He is currently CEO of Assuta Medical Centers, a network of eight hospitals and medical centres in Israel. Prior to assuming this position in 2016, Prof. Shamiss spent over 30 years at the Sheba Medical Center, which is the largest hospital in Israel and where a significant proportion of the country’s clinical research is conducted, in various roles and most latterly being CEO of the Sheba General Hospital from 2005 to 2016. 

He has also served in advisory roles at various private and public organisations, including academic institutions such as being a Senior Lecturer at Tel Aviv University School of Medicine and a Senior Researcher at Harvard Business School. He has provided business advisory and consultancy to companies such as Quantason LLC, a California-based med-tech company that has developed a next-generation ultrasound technology, and currently BioGaming, an Israeli provider of an artificial intelligence solution to enhance physical therapy to improve rehabilitation outcomes. He also sits on the advisory board of the Sheba Cancer Research Center Council and the Gertner Institute for Epidemiology and Health Policy Research.


Prof. Varda Shalev
Non-executive External Director

Prof. Varda Shalev (née Borst), aged 59, is a specialist in epidemiology, medical informatics and predictive analytics in community healthcare. She currently holds the position of Director of the Morris Kahn & Maccabi Institute for Health Research and Innovation and is an active primary care physician in Maccabi Healthcare Services in Tel Aviv, where she has worked for eight years. She has pioneered the development of multiple disease registries to support chronic disease management. In addition, she is a faculty member at the Tel Aviv University School of Public Health and sits on the advisory board of several med-tech businesses, including Belongtail Ltd, Ibex Medical Analytics Ltd, NUVO Inc and Valera Health, and is a director of the Israel Advanced Technology Industries, a non-profit organisation. She is a director and co-owner of Dr. Benjamin Shalev Eye Physician Ltd, through which she provides physician services. 

She holds an MD degree from Ben-Gurion University Medical School in Israel, and completed her residency in family medicine and earned a Master of Public Health Administration at Clark University in the US. She then completed a two-year fellowship in medical informatics at the Johns Hopkins University Hospital in the US. Prof. Shalev has authored or co-authored over 200 publications in peer-reviewed medical journals.

Moti Nagar
Executive Director & CFO

Moti Nagar joined BATM in 2014. Previously, Mr. Nagar held several management positions in Deloitte. As Senior Manager at Deloitte, he interfaced and handled the engagement relationships with leading corporate global clients, including companies traded on the LSE, NASDAQ, TSE and large private companies in the fields of industry, services, energy and holding companies. Mr. Nagar also led and supported public offerings of corporations in Israel and provided advice on taxation, including international taxation. Mr. Nagar graduated in Business Management and Accounting and qualified as an Israeli certified Accountant (CPA, Israel) in 2008. He also holds an MBA in Financial Management from Tel Aviv University.

Ofer Barner
COO of Medical Division

Ofer Bar-Ner, COO of Medical Division, joined BATM in 1999. From 1996 he was Chief Financial Officer of Silver Arrow LP, a subsidiary of Elbit Systems and EL-OP, and between 1989 and 1993 he was group manager in the finance department of Elbit. He graduated in Industrial Engineering and Management from the Technion in Haifa and has an MBA and MA in accounting from Northeastern University in Boston, MA.

Ariel Efrati
COO of Telecom Division & CEO of Telco Systems

Ariel Efrati is the Chief Operating Officer of BATM, where he oversees BATM’s global business operations and telecommunications practices, and acts as Chief Executive Officer for Telco Systems, a BATM wholly owned subsidiary. Previously, Ariel held several senior positions in the telecom industry. As Senior Vice President, Ariel led Amdocs (NYSE:DOX) Venture Investments, Open Innovation and Product M&A unit, he headed Amdocs corporate competitive strategy unit, and he was the General Manager of the Service Fulfillment Product Business Division. Ariel also led Amdocs strategic and substantial entry to the OSS markets through organic growth and M&A activities. Ariel was the CEO of CallmyName, a startup in the Mobile sphere, and is a member of several successful startups’ BoDs, and is highly experienced in technological and market innovations. In the past, as a senior officer, Ariel led an advanced technological unit in the Israel Defense Forces (IDF) Intelligence Corps.  Ariel is a software engineer and an EMBA graduate of the Kellogg School of Management (Northwestern University).

Click here for info on shares.

BATM H.Q.

Neve Ne'eman Ind. Area
4, Ha'harash Street, P.O.B. 7318
4524075 Hod Hasharon, Israel

Tel +972-9-8662525
Fax: +972-9-8662500

General info: [email protected]

Telecom info: [email protected]

Medical info: [email protected]

Finance info: [email protected]

Registered Office

P.O.B. 7318, Neve Ne’eman Ind. Area, 4 Ha’harash Street, 4524075 Hod Hasharon, Israel

Company Number

520042813
Registered in Israel

Auditors

Brightman Almagor Zohar & Co.
a member firm of Deloitte Touche Tohmatsu 1 Azriely Center, Tel-Aviv 67021 Israel

Financial Advisors & Stockbrokers

Shore Capital,
Bond Street House,
14 Clifford Street,
London W1X 1RE, UK

Financial PR Consultants

Luther Pendragon,
48 Gracechurch Street,
London EC3V 0EJ, UK

Legal Counsel in UK

Fladgate LLP,
16 Great Queen Street,
London WC2B 5DG, UK

Legal Counsel in Israel

Lipa Meir & Co.,
Beit Amot Hashkaot,
2 Weitzman Street,
Tel-Aviv 64239, Israel

Company Secretary

Mr Arthur Moher,
Lipa Meir & Co.

Registrar

Link Market Services
The Registry
34 Beckenham Road, Beckenham
BR3 4TU, UK

Link Asset Services (Jersey) Limited
12 Castle Street, St. Helier,
Jersey, JE2 3RT

Bankers

Bank Hapoalim,
45 Hamelacha Street,
Netanya, Israel


Bank Leumi,
25 Habarzel Street,
Tel-Aviv, Israel

Columns Including BVC

VIEW ALL

Market Reports Including BVC

VIEW ALL
Video RSS

Videos

VIEW ALL VIDEOS

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use