By Gugu Lourie
South African-based fleet management Software-as-a-Service (SaaS) provider, Mix Telematics, attracted 60, 000 new subscribers in the year-on-year, signing up for fleet management and asset tracking solutions.
The company said on Thursday that growth in subscription revenue was driven primarily by an increase of over 60,000 subscribers, resulting in a rise in customers of 13.1% from June 2014 to June 2015. It grew its subscription revenue 15% to R271.8 million ($22.1 million).
The firm added that hardware and other revenue was R72.3 million ($5.9 million) in the first quarter of financial year 2016 that ended on 30 June 2015, a decrease of 12.4% compared to R82.6 million ($6.7 million) for the first quarter of fiscal year 2015.
“Our results for the quarter demonstrate our ability to deliver ongoing value to customers across the globe. We posted solid revenue growth,
profitability and operating cash flow,” said Stefan Joselowitz, Chief Executive Officer of MiX Telematics.
“We continue to take a balanced approach to growth and profits and are pleased to report that our adjustments to our overhead cost structures are yielding savings without undermining our productivity. With our growing stable of features including flexible analytics and extended mobile capabilities, we continue to capitalize on our position as the leading global provider of cloud-based fleet management and asset tracking solutions.”
Mix Telematics has offices in Australia, Brazil, South Africa, Uganda, the United Arab Emirates, the UK and the US. Thousands of South African customers rely on its stolen-vehicle recovery service, Matrix Vehicle Tracking.
The small-cap company that listed on the JSE as recently as 2007 is making rapid inroads into a number of export markets.
Its total revenue was R344.1 million ($28.0 million), an increase of 7.8% compared to R319.2 million ($26.0 million) for the first quarter of fiscal year 2015.
The company doesn’t expect growth to slow down and sees full-year 2016 subscription revenue to rise by 15% to 17 % or R1.14 billion to R1.17 billion.
MiX Telematics services customers in 120 countries and has an advantage of operating across six continents. It also has a network of more than 130 fleet partners globally.
It was established in 1996 in South Africa, two years after the first democratic election. In 2007, its shares floated on the JSE.