Megaport loss worsens despite record revenue
21 August 2019, Written by Business News Australia
Brisbane-based tech group Megaport (ASX: MP1) reported record revenue for FY19, but that hasn't stemmed yet another full year loss.
The group reported a net loss for FY19 of $33.6 million during a year in which the company delivered revenue of $35.1 million.
However, the loss is likely the result of aggressive expansion from the data centre and network service provider business.
During the year the company extended its reach to 20 countries with 528 enabled data centres, and the company had 300 total installed data centres at the end of the year, up by 79 from FY18.
Megaport CEO Vincent English says the group's international businesses are contributing to the growth of the company.
"The company has reached $3.6 million in monthly recurring revenue, an 82 per cent increase from last year," says English.
"This growth is underpinned by our North American business contributing $13.6 million this fiscal year, an increase of 154 per cent from FY18. Expanding our presence in Europe and other key areas in Asia Pacific, the US, and Canada has enabled Megaport to reach a milestone of 20 countries, and 528 enabled locations including 300 installed data centres."
"This accelerated growth and reach empowers the company to continue unlocking major use cases for cloud connectivity and on-demand networking for customers across the globe."
English says that the FY20 will be another year of aggressive expansion and innovation.
"Deepening our footprint in existing markets, as well as extending the reach of interconnectivity services into new markets, will be a key priority for the next fiscal year," says English.
"Megaport will endeavour to deliver dedicated, simplified connectivity to the enterprise."
Business News Australia
Author: Business News Australia