MiX attracted 55, 800 new subscribers in the year to end-March 2017, the global provider of fleet and mobile asset management solutions delivered as Software-as-a-Service (SaaS) said on Thursday.
The group subscription revenue was R321.7 million, reflecting a 4.8% increase in the year under review versus R307.1 million for the fourth quarter of fiscal 2016.
The JSE-listed group’s revenue rose 1.9% to R391 million, while hardware other revenue dropped by 9.4% at R69.7 million. Operating profit was R40.9 million versus R45.7 million for the fourth quarter of fiscal 2016.
In the year, the group added more than 55,800 new subscribers bringing the total to over 622,000 at March 31, 2017, an increase of 10% year over year.
“Our fourth quarter marked a strong end to the year. MiX’s ability to exceed expectations was driven by ongoing strength across the portfolio globally which resulted in a return to double-digit subscription revenue growth on a constant currency basis,” said Stefan Joselowitz, CEO of MiX Telematics.
“During fiscal 2017, the company reached an inflection point in regards to margin accretion, particularly as MiX is moving out of a heavy investment cycle into a phase where we are starting to enjoy the returns on these investments.
“We are scaling the overall operations and have entered fiscal 2018 with very good momentum. We expect a year of strong subscription revenue growth and margin expansion, and looking forward we are confident in our ability to execute our strategic initiatives to achieve our targeted adjusted EBITDA margin of 30% over the long term.”
MiX 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.
It 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.