In a move designed to further diversify its revenue streams, Ansys is targeting global growth opportunities in the defence and cybersecurity space.
CEO Teddy Daka, who is targeting growth opportunities in the telecommunications and rail industry, also has big ambitions to grow the company’s defence and cybersecurity business, where revenue doubled to R187,6 million from R90,1 million in the previous year.
The company attributed the growth largely to organic growth as well as higher than expected sales volumes from opportunities outside South Africa, particularly in the Middle East markets.
The group also invested heavily into product development in the cybersecurity business and as such this segment’s profits declined by 8% from R16 million to R14,7 million.
“Growing our international footprint remains an important focus area and various opportunities, especially in the defence segment, have been identified,” Daka disclosed in the company’s latest annual report.
“The increased threat of cybersecurity provides the group with opportunities locally and internationally.”
Ansys is an original design manufacturer that develops, produces, and integrates bespoke electronic subsystems and products for clients in the defence, aerospace, and cyber security sectors.
The firm develops products such as user security for USB-based authentication, encryption, and digital signing solutions.
It looks like the company is targeting more growth opportunities in the Middle East.
Daka explains: “International growth is envisaged, particularly in the Middle East, where the current spending cycle is anticipated to continue into the foreseeable future, with benefits to the local industry.”
He adds: “The threat of cyber attack continues to increase. From 2010 to 2014 the average global vulnerability to cyber attacks increased by 43% and the global cyber security solutions market is projected to exceed $140 billion by 2020. Locally it is anticipated that investment in cybersecurity solutions will increase to 0,35% of the country’s GDP by 2030.”
Daka said Ansys is well positioned to capitalise on this growth and will continue to invest in innovative technologies.