- During the second quarter of 2019, Spectrum Global Solutions’ revenues reached $19.7 million
- A growth period started in the first quarter of the year and was mainly attributed to the expansion of Spectrum’s primary subsidiaries, including TNS Inc.
- Over the coming 12 months, Spectrum expects to win new contracts and expand into several key international markets
Spectrum Global Solutions Inc. (OTCQB: SGSI) recently announced that it received $3.7 million in new contracts during the second quarter of 2019 in a press release detailing the company’s financial results for the three-month period (http://ibn.fm/HagGQ).
Spectrum Global Solutions also entered into a definitive agreement for the acquisition of WaveTech GmBH, an innovative energy management technology firm. The agreement is expected to enable Spectrum to improve monetization of its existing customer base while expanding into new global markets.
During the second quarter of 2019, Spectrum witnessed strong revenue growth. Its total revenues reached $19.7 million, marking an increase of 29 percent on a quarterly basis. Gross profit during the second quarter was $1.2 million, or 13.9 percent of revenues.
The company brought down general and administrative expenses for Q2 2019 to $1 million (a reduction of 38 percent on an annual basis). Operating loss for the second quarter of the year went down by 21 percent on an annual basis.
Spectrum also reduced its ongoing interest expense by $0.3 million annually, converted approximately $3.7 million in debt at a 75 percent premium to the market and engaged MZ Group to implement an investor relations and financial communication program across all key markets.
“Taken together, we look forward to leveraging our strong foundation to execute on our significant backlog, win new contacts, and expand into several key international markets over the next 12 months. Ultimately, we expect these strategic steps to create long-term value for our shareholders,” Spectrum CEO Roger Ponder stated in a news release.
The results for the second quarter of the year continue a positive trend that was established during Q1 2019. In the first quarter of 2019, Spectrum registered revenue of $11.33 million, in comparison to the sales of $4.33 million that Spectrum accomplished in the first quarter of 2018 (http://ibn.fm/kd7v1).
The first quarter revenue was reflective predominantly of the consistent growth of the company’s primary subsidiaries, including TNS Inc. TNS is a Chicago-based Spectrum Global Solutions subsidiary that completes on-premise broadband capability enterprise expansion and operates nationwide, as well as in Mexico.
Spectrum Global Solutions is a leading single-source provider of end-to-end next generation network infrastructure and professional service solutions to carriers and corporate enterprises. The company works with clients across the U.S., Canada, Puerto Rico, the Caribbean and Guam.
Through its various subsidiaries, including TNS Inc., AW Solutions, ADEX Corporation and Tropical Communications Inc., Spectrum Global Solutions provides services directly to carriers, utilities, enterprises, aggregators, project management organizations and original equipment manufacturers (OEMs). Its subsidiaries enable the provision of comprehensive solutions to cover all aspects of fiber network and infrastructure.
For more information, visit the company’s website at www.SpectrumGlobalSolutions.com
NOTE TO INVESTORS: The latest news and updates relating to SGSI are available in the company’s newsroom at http://ibn.fm/SGSI
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