Avanti Communications posts narrower first half loss

Avanti Communications, which provides satellite data communications services, said its loss for the half year narrowed.

For the six months to the end of December 2015, the loss narrowed to $45.5m (£31m) from $48m, on largely flat revenue of $31m compared with $31.1m in the same period a year earlier.

Avanti won $40m of contracts mainly with government and large telecoms customers in the second quarter, which it reckons will make a strong contribution to second half revenue.

The company said its expectations for 50% growth in continuing revenue at constant currency in the full 2016 financial year are supported by recent order wins.

Chief executive officer David Williams said: “Our growth prospects are supported by both our recent order wins and a very strong pipeline of near term opportunities that are in advanced stages of negotiation.

“Avanti is strongly capitalised with more than adequate cash headroom. In a pioneering market, the combination of a good product, good customers and a fully funded model assures us that Avanti has a successful trajectory ahead.”

At 1230 GMT, Avanti shares were down 9.8% to 124.50p.