Beam Communications Holdings Ltd (ASX:BCC) has achieved significant improvements in its first half result for the 2019 financial year with all its business divisions reporting growth over the same period last year.
Total interim revenue more than doubled to a record $10.5 million from $5.1 million in the previous corresponding period, while net profit after tax for the half year reached $732,938 compared to a net loss of $580,858 in the first half of FY18.
The strong result was driven by the successful completion of the first order of the Thuraya WE dual mode terminals and the shipment of 2,500 Iridium GO! devices.
Iridium GO! device
More significantly, earnings were further bolstered by strong growth in Beam’s wholly-owned SatPhone Shop business, which grew interim revenue by 35% over the same time last year, and demand for other Beam-branded products.
Notably, Beam recorded a 2-percentage point increase in gross profit margins.
Barring any unforeseen circumstances, Beam is expecting to deliver a marked improvement in its full year result compared to FY18.
Strong sales from existing Beam products and SatPhone Shop has continued into January and February 2019.
Beam managing director Michael Capocchi said: “The current financial year marks a turnaround in profitability for our company and the investments we’ve made puts us in a strong position to continue growing the business in FY20 and beyond.
“The investments we are making will also help us build a more consistent earnings stream and will include growing our recurring services offering and launching new IoT and LTE solutions to enhance our current product portfolio.”