Tallaght-based Fleetmatics reports higher revenues

Fleetmatics, the Dublin-based provider of GPS-based fleet management systems, has reported third quarter revenue of $73.5 million (€67.2m), up 22 per cent on the $60.4 million (€55.2m) reported for the same period a year earlier.

The Tallaght-headquartered company also announced a 25 per cent rise in subscribers in the third quarter to 655,000 active vehicles, as against 523,000 last year.

Net income totalled $8.8 million, or $0.22 per diluted share, compared to $8.2 million, or $0.21 per diluted share, for the same quarter in 2014.

Adjusted earnings before interest, taxes, depreciation and amortisation (ebitda) was up 18 per cent to $24.8 million from $21 million with ebitda margins of 33.7 per cent, down from 34.7 per cent last year.

Fleetmatics said it generated $30.1 million in net cash from operations and invested $13.8 million in purchases of property and equipment and capitalisation of internally developed software in the third quarter, resulting in free cash flow of $16.3 million.

Looking ahead the company said it expects fourth quarter revenue to be in the range of $76.5 million to $77.5 million with adjusted ebitda coming in at between $23.8 million to $24.8 million.

The group also forecast that full-year revenues would be between $284 million to $285 million with adjusted ebitda in the range of $91 million to $92 million.

"We remain well positioned to deliver strong top and bottom line growth in 2015," said Steve Lifshatz, Fleetmatics' chief financial officer.

Fleetmatics develops and sells fleet-management software to some 24,000 small and medium-sized businesses across multiple industries. Its technology tracks the location of vehicles and gives fleet operators a host of information on fuel use, speed, mileage, delivery times and so on.

The Tallaght-based company successfully floated on the New York Stock Exchange in an initial public offering (IPO) that raised $132 million in 2012. It currently employs more than 600, about 100 of which are based in Dublin, where the firm maintains its core intellectual property development.

“Our preliminary estimates for 2016 call for full year revenues in the range of $340 million to $345 million. We also expect to drive expanded full year adjusted ebitda margins of 33 per cent to 34 per cent in 2016 - in line with our plans for accelerating profitability growth,” said Mr Lifshatz.