NetComm Investor Insights October 2018
 
View in your browser
linkedin    youtube
 
     
 
NetComm
Investor Insights

October 2018 | ASX: NTC

 
     
 
From the CEO
     
 
Justin Milne

Dear fellow shareholder,

The past financial year has seen unprecedented financial performance and we continue to make excellent operational progress around innovation and growth. Over the past 12 months we expanded key projects and strengthened our company's position as a leading global connectivity provider.

We received the industry's premier accolade for innovation in recognition of the Distribution Point Unit (DPU) and Network Connection Device (NCD) technology that we supply to nbn for its FTTC network; and recently announced an extension of the agreement to supply the next generation of Gfast DPUs to nbn for high density deployments. Against this backdrop, we are focused on the delivery of similar large-scale solutions in Europe and globally. Work that is being recognized by the industry through a shortlisting for the Broadband World Forum (BBWF) awards in the category "Best Fixed Access Solution" for our work done with Openreach, UK.

With fixed wireless 5G presenting a significant opportunity in global markets, we will invest $9 million in FY19 which will place NetComm ahead of a technology wave that is expected to change the wireless landscape.

The combination of this investment programme to position NetComm at the forefront of wireless 5G, plus the delayed rollout plans of our key customers, that was beyond NetComm's control, has led the company to provide earnings guidance for FY19 that was below market expectations. Despite the fact that we expect underlying EBITDA earnings this year to be in line with the record earnings of last year, the market has marked us hard with a reduction in the company's share price. All of us as shareholders are affected by this but you may be assured that the board and management are confident of building a high growth company.

Your board and management look forward to delivering on the opportunities we see ahead for our company, and keeping you updated on our progress over the coming year. We remain very committed and excited by the opportunities we see to drive attractive growth for our customers and shareholders over the coming years.

We hope to meet you at the AGM to be held on 21st November, 2018.

Yours sincerely,

Ken Sheridan
Chief Executive Officer and Managing Director

 
     
 
 
 
     
 
Reports
     
 

Revenue and profitability fundamentally rebased in FY18

FY2018 Results

The Company announced its results for the 12 months ended 30 June 2018 (FY18) on 27 August, a year that saw the Company fundamentally rebase revenue and profitability, deliver new major contracts for future growth and progress discussions with Tier 1 Carriers globally to implement tailored connectivity solutions.

The record results delivered in FY18 saw:

  • revenue up 69% to $181.7 million
  • EBITDA up 5.7x to $20.5 million
  • NPAT increase to $8.0 million compared to a loss of $(1.8) million in FY17
  • Operating cash flow up 2.9x to $23.7 million
  • Strong balance sheet, with no debt and net cash of $27.3 million.

Read the FY18 financial report

View the FY18 results presentation

Listen to the FY18 group conference call

 
     
   
     
 

NTC to supply nbn with Gfast high port count DPUs

nbn

On 3rd September 2018, NetComm extended its agreement with nbn to supply a new generation of technology for the nbn™ FTTC network. Building on its current position as nbn's supplier of 4-port Distribution Point Units (DPUs), NetComm will deliver new 8 and 16 port reverse-powered Gfast DPUs to deliver fibre-like broadband speeds to high-density locations such as Multi-Dwelling Units.

In addition to nbn, NetComm is working with a number of Tier 1 operators in Europe and the UK that are also trialing this technology.

Read more

 
     
   
     
 

Appointment of Non-Executive Director

Director Appointment

Ms Jackie Korhonen was appointed to the Company's Board a Non-Executive Director on 27 August 2018. Ms Korhonen brings over 30 years of experience in the IT industry to the Board. She held several executive positions within IBM in Australia and Asia; and was previously CEO of Infosys Australia/NZ (a subsidiary of NASDAQ-listed Infosys, a global leader in consulting, technology and outsourcing) and SMS Management & Technology (ASX listed Consulting and IT services company).

Read more

 
     
     
 
     
 
Latest News
     
 

NetComm wins nbn "We Care" supplier award for user friendly Network Connection Device (NCD)

We Care Award

At nbn's yearly Supplier Summit, NetComm received the "We Care" award, which recognizes the supplier that has shown the most care in delighting nbn’s customers and making the nation a better place.

Read more

 
 
     
   
     
 

New report confirms global market opportunity for 5G Fixed Wireless Access

5G Report

The study found that fixed wireless access is becoming a viable alternative to other broadband technologies which is opening up a massive market opportunity for NetComm.

Read more

 
 
     
   
     
 

NetComm wins ACOMM Award for Vendor Innovation

Acomm Award

The communications industry's premier award for innovation was presented to NetComm at the Annual Communications Alliance ACOMM Awards Dinner on 30th August, 2018. NetComm's network-grade DPU and Network Connection Device (NCD) were recognised as the world's first viable alternative to fibre in areas where it is not practical or economical to deploy Fibre-to-the-Premise (FTTP).

Read more

 
 
     
   
     
 

New Industrial IoT product to accelerate business productivity

NTC-100

4th September 2018 marked the global launch of the NTC-100, a new addition to the Company's IIoT portfolio and the first device of its kind to connect all low power, low bandwidth devices to LTE Cat M1 and Narrowband IoT (NB-IoT) networks worldwide.

Read more

 
     
     
 
     
 
Videos
     
 

Executive Series 19 Sep 18: NetComm Wireless (NTC) CEO, Ken Sheridan

Executive Series

NetComm Wireless Limited (ASX:NTC) Chief Executive Office and Managing Director Ken Sheridan speaks with Tom Piotrowski about the company's record FY18 results, its plans to grow its customer base.

Watch now

 
 
     
   
     
 

5G technologies a 'once-in-a-decade' activity for NetComm Wireless

5G Technologies

NetComm Wireless Limited (ASX:NTC) Chief Executive Office and Managing Director Ken Sheridan speaks to Proactive Investors about the telecommunications company's suite of innovative technologies.

Watch now