Quartix makes good start to 2017 after lifting FY 2016 profit

Vehicle tracking systems and services specialist Quartix says it has made a good start to full-year 2017 after improving its pre-tax profit for 2016.

"The past year has shown continued growth in demand for the group's vehicle tracking systems, software and services in both the fleet and insurance sectors," the company said.

Sales in the UK and Ireland grew 15%, reaching £21.3m, from £18.4m. Quartix made good progress in France, where revenue firmed 25% to €1.8m, from €1.4m.

Quartix said 2016 was its second full year of operations in the USA. Revenue rose to $907,000, from $392,000. Prospects for future business development remained encouraging.

"We are pleased with progress and completed the year with 6,191 vehicles under subscription (2015: 3,179) across 1,075 fleet customers (2015: 693)," the company added.

Looking ahead, Quartix said it had made a good start to full-year 2017, in line with its expectations.

"The high levels of recurring revenue, a focus on growth in the core fleet markets in UK, France and the USA and targeting only those insurance opportunities which offer satisfactory margins, underpin our confidence for the rest of the year and beyond."

Of the full-year 2016 results, pre-tax profit was up 9% to £6.5m, from £6.0m. Total dividend for the year was 11.2p. Revenue was £19.7m, from £23.3m.

At 11:21 GMT, shares in AIM-quoted Quartix were up 6.15% to 345p each.