StockMarketWire.com - Antenna supplier MTI Wireless Edge reported a rise in first-half profit, but did not declare an interim dividend after sales growth was slowed by the Covid-19 crisis.

Pre-tax profit for the six months through June increased to $1.83m, up from $1.43m. Revenue rose 3% to $19.6m.

MTI Wireless Edge said that while the pandemic had hurt sales, all three of its divisions still recorded on-year growth.

'That MTI remains on track to meet market expectations for profitability for the 2020 financial year despite the closure of some of our key markets over part of the period and the general slowdown caused by COVID-19, I believe reflects extremely well on MTI,' chief executive Moni Borovitz said.

'The COVID-19 pandemic did reduce revenue in certain areas and added to supply chain costs, in particular freight costs, however, this was offset by cost savings across the business and with its balanced diversification across three divisions and multiple countries.'

'Overall, we believe the company is well positioned with very low borrowings, $7.6m of net cash and attractive growth prospects in our three divisions all underpinned by the company's expertise in radio frequency solutions.'

'That said, this is an extraordinary and unpredictable period where governments have been taking unilateral decisions regarding the movement of goods and people, so we remain cautious but optimistic for the outcome for the year.'




Story provided by StockMarketWire.com