MEGAPORT SHARES RISE FOLLOWING STRONG QUARTERLY RESULTS

MEGAPORT SHARES RISE FOLLOWING STRONG QUARTERLY RESULTS

MEGAPORT Limited (ASX: MP1) has seen its share price rise by almost two per cent following the announcement of strong results for the June 2017 quarter.

The group, who delivers internet connectivity solutions to businesses, saw their revenue for the June quarter increase by 18 per cent compared to the previous quarter to $3.47 million.

Monthly revenue for the June quarter was similarly strong for the Brisbane based company at $1.22 million, which is an increase of $217,000 or 22 per cent.

During June, Megaport added 15 new data centres to their growing stable of physical infrastructure, bringing the total number of data centres to 165.

The implementation of savings measures, including partnering with companies in the United States, saw the group save $2.5 million compared to the previous quarter's cash spend, which was a drop of 35 per cent.

Under the direction of CEO Vincent English (pictured), Megaport has undertaken a strategy of global expansion which includes a major partnership deal with US-based giant Oracle which will allow its customers to access its network across North America, Europe and Asia Pacific.

The group now boasts a market valuation of around $153 million and is quickly becoming a market leader in the cloud computing and data sector.

During the quarter, Megaport completed a successful round of capital raising, generating $27.8 million.

At the end of the quarter the company's cash position was $21.1 million.

These results are very promising for part-owner and tech entrepreneur Bevan Slattery (pictured) who also founded fibre-optic network company Superloop Ltd.

Following the quarterly report Megaport's shares rose by almost two per cent and at midday (AEST) were $2.24.

Business News Australia

 

Get our daily business news

Sign up to our free email news updates.

 
Whitefox Recruitment founder Luke Hemmings making strides as a careers leader
Partner Content
After relocating his Canberra-founded company Whitefox Recruitment to the Gold Coast la...
Whitefox Recruitment
Advertisement

Related Stories

ASIC secures its first court win for greenwashing against US giant Vanguard

ASIC secures its first court win for greenwashing against US giant Vanguard

The Australian corporate watchdog has caught out one of the world&r...

Medicinal cannabis group Althea shaves $1.5m from its cost base through staff cutbacks

Medicinal cannabis group Althea shaves $1.5m from its cost base through staff cutbacks

Australian-founded medicinal cannabis company Althea Group (ASX: AG...

Charter Hall snares 15pc stake in Hotel Property Investments for $97m from 360 Capital

Charter Hall snares 15pc stake in Hotel Property Investments for $97m from 360 Capital

Listed funds manager 360 Capital Group (ASX: TGP) has offloaded its...

Lendlease gains approval for $1.7b transformation of Queen Victoria Market precinct

Lendlease gains approval for $1.7b transformation of Queen Victoria Market precinct

Australian development giant Lendlease Group (ASX: LLC) has been gr...