Elsight (ASX: ELS) has posted a 100% increase to its March quarter 2019 revenue compared to the same period in 2018 – driven by the commercialisation of its advanced communication technologies.
The company achieved revenue of US$157,000 in Q1 2018, meaning Q1 of 2019 was around US$314,0000. While this is an improvement over the same corresponding period, the figure is significantly down on the previous quarter’s (Q4 2018) revenue of US$621,000.
Since its ASX debut in 2017, Elsight has commercialised its communication technologies of transmitting real time data, video and audio over cellular networks in mission-critical environments.
The company stated its commercialisation momentum in these fields was “significantly greater than expected” given its application in some of the world’s fastest growing sectors including drones, tablets, security cameras and autonomous and driver assisted systems.
“These unique end-market opportunities combined with the world’s leading secure data transmission technology provides the foundation for significant value creation potential over the short, medium and long-term.”
In addition to the strong rise in revenue for the March period, Elsight reported it had signed a number of repeat orders from existing customers, including Traffilog and Alrena.
Halo communication platform
Meanwhile, Elsight announced its Halo communication platform that integrates with the company’s high bandwidth secure data transmission technology will be ready for shipping in June.
Elsight refers to Halo as a standalone “company maker”, with the potential to transform the scale and pace of the company’s commercialisation.
Halo will be offered to customers as a standalone device or internal board, with the unit adaptable to any platform and device.
According to Elsight, Halo is “ideal” for original electronics manufacturers of autonomous vehicles and driver assisted systems.
Elsight officially launched Halo at the MWC19 event in Barcelona, with the unveiling leading to numerous follow up discussions with international tier one leaders in network technology, telco providers, automotive and aviation.
“Interest in Halo from potential customers at the exhibition was overwhelmingly positive with around 200 sales leads generated, including a number of especially promising opportunities with leading multi-national organisations,” the company stated.
“Based on expressed interest to-date, the company is confident that the size of the commercial opportunity for Halo is significantly greater than previously expected and the pace at which this opportunity can be commercially capitalised on will be materially quicker than previously expected.”
As it gears up to start shipping Halo in June, Elsight noted it was also launching its cloud-based solution customer interface in the fourth quarter of 2019.
Elsight expects the cloud-based solution will enhance its customer service and boost revenue over the medium-term.
Following recent board and senior managing changes including the appointment of Brad Wilmore as general manager of the company’s Australian division in February, and the addition of Mick Keelty and Raj Logaraj to the board, Elsight expects its Australian and Asian sales networks will also expand throughout the remainder of 2019.
By midday, shares in Elsight had gained more than 11% to $0.60.