Addvalue Technologies revenue surges more than 8-fold

Net profit goes up to S$1.4 million in the first quarter of FY 2011, to overcome a drastic loss of S$0.6 mln in the same period in 2010.

Addvalue Technologies Ltd, a global developer and supplier of mobile satellite terminals supporting coverage provided by premier mobile satellite communication operators such as Inmarsat plc and Thuraya Telecommunications Company, said in an announcement on Tuesday that it has earned a sterling turnover of S$5.9 million for Q1 FY2011, half of the turnover attained by the company for the whole FY2011.

Results show that this is 8 times bigger than its turnover of S$0.7 million gained in the first quarter of FY2010.

Addvalue said the robust sales orders for a wider range of its Inmarsat-centric products and the continued shipment of its SabreTM 1 BGAN Terminals, and the balanced demand for the 10 May 2010 Philippines’ National Elections, chiefly boosted its turnover.

As a result of the marked increase, Addvalue’s gross profit soared to S$2.5 million in Q1 FY2011, by S$2.3 million or more than 10-fold from S$0.2 million in Q1 FY2010, equivalent to 67.6% of the gross profit attained by the company for FY2010 of S$3.7 million.

A higher gross profit margin of 43.1% was also registered for Q1 FY2011 (relative to that of 32.2% for Q1 FY2010) due to a better mix of higher yielding products.

“With the commercialization of a suite of Inmarsat-centric products since the second half of year 2009 and riding on our commendable performance for Q1 FY2011, we believe that we have reached a significant milestone to leapfrog our performance to the next level for FY2011n” said Dr Colin Chan, Chairman and CEO of Addvalue.

Addvalue has scheduled plans to roll out new satellite based products and applications as well as to expand into new markets for FY2011.