SINGAPORE (May 4): Nera Telecommunications, the communications and network solutions provider, reported 1Q earnings rose 50.6% to $2.9 million from a year ago.
This was achieved on the back of a robust 44.3% growth in revenue to $44.1 million, lifted by higher turnover from both its Network Infrastructure (NI) and Wireless Infrastructure Network (WIN) segments.
Revenue contributions from the NI segment surged 62.1% to $30.5 million, mainly due to higher sales of network equipment to the service provider market.
The WIN segment, which made up the remaining 30.8% of group revenue, increased 15.8% to $13.6 million from $11.8 million over the same period.
Gross profit rose 12.7% to $11.3 million, in line with higher sales.
Despite a challenging operating environment, the group secured $58.7 million in order in-take in 1Q, largely driven by the growth of the NI business segment. This was a marginal 1.4% decline as compared to S$59.6 million in Q1 2016.
Shares of NeraTel closed at 39 cents.
