TrakM8 set to top annual profit hopes

10th Apr 2014 08:49

Trakm8, which makes vehicle monitoring and tracking equipment, is set to top annual profit expectations thanks to new engineering service projects.TrakM8 said it was likely to exceed management expectations for adjusted pre-tax profit in the year to March 31st.It attributed the news to higher levels of increased margin engineering services revenue in the final quarter of the financial year.It said the higher revenues were linked to new projects that although beneficial for the 2013/2014 year, will be mainly carried out in this financial year.Trakm8 like-for-like orders rose 46% year-on-year and revenues lifted 13%. Net cash was higher than expected at £600,000.The company said the outlook for this financial year was more positive than at any time in recent years.Recent contract wins along with the continuous drive to secure more installed devices reporting to our servers means the group expects to improve trading performance in the new financial year, in line with existing management expectations.Executive Chairman John Watkins said: "We're now positioned to drive growth faster and to consider further acquisitions to strengthen our leading position in the telematics market."Shares rose 4.25p or 7.5% to 60.75p at 08:54 in London. PW