Mix Telematics' profits up at least R25m

Mix Telematics said on Monday (5 August) that it expects profit after tax for the three months to June to increase by between R25m and R28m‚ or as much as 13.7% from last year.

The group‚ which is a global provider of fleet and mobile asset management solutions‚ said the higher profits were driven mainly by growth in its subscription revenue‚ estimated to be up by 23% to between R192m and R196m.

The company said the higher profit could also be attributed to cost savings related to the restructuring of its European fleet business.

Mix Telematics expects revenue for the period to be between R295m and R301m‚ representing an estimated increase of between 5.2% and 7.4% over the comparative period.

The company said the estimated growth in net revenue was driven by increased subscriptions‚ offset by a decrease in hardware and other revenue.

The group said its actual first-quarter results will not be available until its US project‚ as set out in the circular to shareholders in July is completed.