TIDMMWE
RNS Number : 8982T
MTI Wireless Edge Limited
20 November 2023
20 November 2023
MTI Wireless Edge Ltd
("MTI", the "Company" or the "Group")
Q3 2023 financial results
MTI Wireless Edge Ltd (AIM: MWE), the technology group focused
on comprehensive communication and radio frequency solutions across
multiple sectors, is pleased to announce its financial results for
the nine-month period ended 30 September 2023 (the "Period").
Financial highlights
-- Revenue for the Period of $33.7m (nine months to 30 September
2022: $34.8m). On a constant currency basis this represents an
increase of 1% over the same period last year
-- 6% improvement in profit before tax to $3.4m (nine months to
30 September 2022: $3.2m), helped by positive currency movements
and margin improvement
-- 9% improvement in earnings per share to 3.25 US cents ( nine
months to 30 September 2022 : 2.99 US cents)
-- Company remains virtually ungeared with net cash of $6.4m as
at 30 September 2023 (30 September 2022: $5.2m)
-- Final dividend anticipated to be declared alongside MTI's
full year results which will be announced during the first quarter
of 2024
Operational highlights
-- A stable performance with the Company remaining well placed
for the rest of the year and into 2024
-- Antenna division recorded good growth, driven by military and RFID sales
o Demand for military antennas globally is strong and is
expected by the Company to continue to grow
o India remains a key market for 5G sales, with recent wins
demonstrating the technical strength of the Company's 5G backhaul
solution
-- Mottech delivered a solid performance during the first nine months of the year
o Good contribution to the Group, helped by improved margins
following successful price increases and positive exchange rates
from the international businesses
o Israeli market remains firm, growing in NIS terms but, given
the NIS/US$ foreign exchange effects, remained flat in the year
o Growth coming through from France and Italy
o Pipeline for Q4 2023 looks promising to support a good end to
the year and start to 2024
-- MTI Summit affected by a slightly slower order rate, but its pipeline is positive
o The division has seen a slight slowdown in order rate which
has impacted sales in the period
o PSK continues to grow and returned to profitability in the
third quarter, although the first nine months of the year still
showed a minor loss, as it suffered from delays to key projects in
Q2
o Overall, MTI Summit remains well placed to deliver a good
result for the year and is likely to benefit from increased
government spend in Q4
Moni Borovitz, Chief Executive Officer of MTI Wireless Edge,
said:
"The business continues to perform well despite the tragic
events on 7 October 2023 and the subsequent war. Several of our
employees have been called up for military service and a number of
others that survived the terrible events have had to leave the
attacked area (where they lived) and are still not able to live a
normal life. This, together with the overall sadness and turmoil,
has had some effect in reducing the Company's labour resources. At
the same time, there is high motivation and solidarity in the
country as well as in the workplace, resembling to some extent the
beginning of the COVID era where people worked long hours and
adapted their working practices. As announced in July 2022 we are
engaged, in part of our business, in a service contract with the
Israeli Government and we are currently working very long hours
under this agreement, supporting the needs of the country and
compensating for the lost hours elsewhere. As a result, overall
demand for our services in Israel is largely unchanged. Our
internal infrastructure is unaffected and we continue to import and
export goods as normal. 40% of MTI's employees reside outside of
Israel where all the Company's international operations are running
and performing normally.
"The business is further supported by a strong balance sheet
with $6.4m in net cash at the end of September 2023. Q3 results
were impacted adversely by currency movements, especially the 9%
decrease in NIS against the US$ from the beginning of the year, at
the revenue level but those same currency changes had a positive
impact on profitability, resulting in an overall positive
performance for the first nine months of the year.
"Q4 has begun well with good opportunities visible in all
divisions of the Group, part of which is related to the increased
spending by the Israeli Government for services from both our
Antenna and MTI Summit divisions. I believe that the Company is
therefore well placed to weather the current challenges and, in the
absence of unforeseen geopolitical developments, to continue to
grow."
For further information please contact:
MTI Wireless Edge Ltd +972 3 900 8900
Moni Borovitz, CEO http://www.mtiwirelessedge.com
Allenby Capital Limited (Nomad and Joint
Broker) +44 20 3328 5656
Nick Naylor/Alex Brearley/Piers Shimwell
(Corporate Finance)
Guy McDougall/Amrit Nahal (Sales and
Corporate Broking)
Shore Capital (Joint Broker)
Toby Gibbs/ Rachel Goldstein (Corporate
Advisory)
Fiona Conroy (Corporate Broking) +44 20 7408 4090
Novella (Financial PR)
Tim Robertson/Safia Colebrook +44 20 3151 7008
About MTI Wireless Edge Ltd. ("MTI")
Headquartered in Israel, MTI is a technology group focused on
comprehensive communication and radio frequency solutions across
multiple sectors through three core divisions:
Antenna division
MTI is internationally recognised as a producer of commercial
off-the-Shelf and custom-developed antenna solutions in a broad
frequency range of HF to 170 GHz for commercial, RFID and military
applications. MTI continuously invests in ground breaking
technologies, explores new frequencies, and devises innovative
solutions which empower our wireless communication customers with
cutting-edge off-the-shelf and custom-made antennas.
We are at the forefront of technology and innovation, being the
first to introduce Dual Band parabolic antennas, E Band Automatic
Beam Steering antennas, E Band FCC compliant flat antennas, and
more.
MTI supplies directional and omnidirectional antennas for
outdoor and indoor deployments, including smart antennas for 5G
backhaul, Broadband access, public safety, RFID, base station and
terminals for the utility market.
Military applications include a wide range of broadband,
tactical and specialized communication antennas, antenna systems
and DF arrays installed on numerous airborne, ground and naval,
including submarine, platforms worldwide.
Water Control & Management division
Via its subsidiary, Mottech Water Solutions Ltd ("Mottech"), MTI
provides high-end remote control and monitoring solutions for water
and irrigation applications based on Motorola's IRRInet
state-of-the-art control, monitoring and communication
technologies.
As Motorola's global prime-distributor Mottech serves its
customers worldwide through its international subsidiaries and a
global network of local distributors and representatives. With over
25 years of experience in providing customers with irrigation
remote control and management, Mottech's solutions ensure constant,
reliable and accurate water usage, increase crops quality and yield
while reducing operational and maintenance costs providing fast ROI
while helping sustain the environment. Mottech's activities are
focused in the market segments of agriculture, water distribution,
municipal and commercial landscape as well as wastewater and
storm-water reuse.
Distribution & Professional Consulting Services division
Via its subsidiary, MTI Summit Electronics Ltd., MTI offers
consulting, representation and marketing services to foreign
companies in the field of RF and Microwave solutions and
applications including engineering services (including design and
integration) in the field of aerostat systems and the ongoing
operation of Platform subsystems, SIGINT, RADAR, communication and
observation systems which is performed by the Company. It also
specializes in the development, manufacture and integration of
communication systems and advanced monitoring and control systems
for the Government and defence industry market.
MTI WIRELESS EDGE LTD.
(An Israeli Corporation)
INTERIM CONSOLIDATED STATEMENTS OF
COMPREHENSIVE INCOME
Year ended
Nine month period ended December
September 30, 31,
-------------------------- ----------
2023 2022 2022
------------ ------------ ----------
U.S. $ in thousands
(Except per share data)
--------------------------------------
Unaudited
--------------------------
Revenues 33,724 34,783 46,270
Cost of sales 22,815 23,927 31,680
------------ ------------ ----------
Gross profit 10,909 10,856 14,590
Research and development expenses 794 789 1,077
Distribution expenses 2,814 2,855 3,924
General and administrative expenses 3,757 3,719 4,998
Loss (profit) from sale of property,
plant and equipment (8) 8 1
------------ ------------ ----------
Profit from operations 3,552 3,485 4,592
Finance expenses 245 350 385
Finance income (116) (108) (110)
------------ ------------ ----------
Profit before income tax 3,423 3,243 4,317
Tax expenses 569 505 468
------------ ------------ ----------
Profit 2,854 2,738 3,849
------------ ------------ ----------
Other comprehensive income (loss)
net of tax:
Items that will not be reclassified
to profit or loss:
Re-measurement of defined benefit
plans - - 127
------------ ------------ ----------
Items that may be reclassified to
profit or loss:
Adjustment arising from translation
of financial statements of foreign
operations (288) (365) (422)
------------ ------------ ----------
Total other comprehensive income
(loss) (288) (365) (295)
------------ ------------ ----------
Total comprehensive income 2,566 2,373 3,554
============ ============ ==========
Profit attributable to:
Owners of the parent 2,868 2,643 3,721
Non-controlling interests (14) 95 128
------------ ------------ ----------
2,854 2,738 3,849
============ ============ ==========
Total comprehensive income attributable
to:
Owners of the parent 2,580 2,278 3,426
Non-controlling interests (14) 95 128
------------ ------------ ----------
2,566 2,373 3,554
============ ============ ==========
Earnings per share (dollars)
Basic and Diluted (dollars per share) 0.0325 0.0299 0.0421
============ ============ ==========
Weighted average number of shares
outstanding
Basic and Diluted 88,332,198 88,494,239 88,444,356
============ ============ ==========
The accompanying notes form an integral part of the financial
statements.
MTI WIRELESS EDGE LTD.
(An Israeli Corporation)
INTERIM CONSOLIDATED STATEMENTS OF
CHANGES IN EQUITY
For the nine month period ended September 30, 2023
(Unaudited):
Attributable to owners of the parent
----------------------------------------------------------------
Total
attributable
Additional to owners
Share paid-in Translation Retained of the Non-controlling
capital capital differences earnings parent interest Total equity
------------ ---------- ------------ ---------- ------------ --------------- ------------
U.S. $ in thousands
------------
Balance at January
1, 2023 209 23,078 (250) 3,775 26,812 1,226 28,038
Changes during the
nine month period
ended September 30,
2023:
Comprehensive
income
Profit for the
period - - - 2,868 2,868 (14) 2,854
Other
comprehensive
income
Translation
differences - - (288) - (288) - (288)
------------ ---------- ------------ ---------- ------------ --------------- ------------
Total
comprehensive
income for the
period - - (288) 2,868 2,580 (14) 2,566
Acquisition and
disposal of
treasury
shares * (27) - - (27) - (27)
Dividend - - - (2,656) (2,656) - (2,656)
Acquisition of a
non-controlling
interest
in subsidiary - - - - - (45) (45)
------------ ---------- ------------ ---------- ------------ --------------- ------------
Balance at
September
30, 2023 209 23,051 (538) 3,987 26,709 1,167 27,876
============ ========== ============ ========== ============ =============== ============
(*) Less than US$ 1 thousand
The accompanying notes form an integral part of the financial
statements.
MTI WIRELESS EDGE LTD.
(An Israeli Corporation)
INTERIM CONSOLIDATED STATEMENTS OF
CHANGES IN EQUITY (CONT.)
For the nine month period ended September 30, 2022
(Unaudited):
Attributable to owners of the parent
------------------------------------------------------------------
Total
Additional attributable
paid-in Translation Retained to owners Non-controlling
Share capital capital differences earnings of the parent interest Total equity
------------- ---------- ------------ ---------- ------------- --------------- ------------
U.S. $ in thousands
------------
Balance at
January 1, 2022 209 23,126 172 2,406 25,913 1,098 27,011
Changes during
the nine-month
period
ended September
30, 2022:
Comprehensive
income
Profit for the
period - - - 2,643 2,643 95 2,738
Other
comprehensive
income
Translation
differences - - (365) - (365) - (365)
------------- ---------- ------------ ---------- ------------- --------------- ------------
Total
comprehensive
income for
the
period - - (365) 2,643 2,278 95 2,373
Acquisition
and disposal
of treasury
shares - (87) - - (87) - (87)
Dividend - - - (2,479) (2,479) - (2,479)
------------- ---------- ------------ ---------- ------------- --------------- ------------
Balance at
September
30, 2022 209 23,039 (193) 2,570 25,625 1,193 26,818
============= ========== ============ ========== ============= =============== ============
The accompanying notes form an integral part of the financial
statements.
MTI WIRELESS EDGE LTD.
(An Israeli Corporation)
INTERIM CONSOLIDATED STATEMENTS OF
CHANGES IN EQUITY (CONT.)
For the year ended December 31, 2022 :
Attributable to owners of the parent
----------------------------------------------------------------
Total
attributable
Additional to owners
paid-in Translation Retained of the Non-controlling
Share capital capital differences earnings parent interests Total equity
------------- ---------- ------------ --------- ------------ --------------- ------------
U.S. $ in thousands
-----------------------------------------------------------------------------------------------
Balance as at January
1, 2022 209 23,126 172 2,406 25,913 1,098 27,011
Changes during 2022:
Comprehensive
income
Profit for the
year - - - 3,721 3,721 128 3,849
Other
comprehensive
income
Re measurements on
defined benefit
plans - - - 127 127 - 127
Translation
differences - - (422) - (422) - (422)
------------- ---------- ------------ --------- ------------ --------------- ------------
Total
comprehensive
income (loss) for
the
year - - (422) 3,848 3,426 128 3,554
Dividend - - - (2,479) (2,479) - (2,479)
Acquisition and
disposal of
treasury shares - (48) - - (48) - (48)
------------- ---------- ------------ --------- ------------ --------------- ------------
Balance as at
December 31,
2022 209 23,078 (250) 3,775 26,812 1,226 28,038
============= ========== ============ ========= ============ =============== ============
The accompanying notes form an integral part of the financial
statements.
MTI WIRELESS EDGE LTD.
(An Israeli Corporation)
INTERIM CONSOLIDATED STATEMENTS OF
FINANCIAL POSITION
30.09.2023 30.09.2022 31.12.2022
---------- ---------- ----------
U.S. $ in thousands
----------------------------------
Unaudited
----------------------
ASSETS
CURRENT ASSETS:
Cash and cash equivalents 6,655 5,280 8,279
Trade and other receivables 11,697 13,798 11,035
Unbilled revenue 4,407 2,760 2,204
Current tax receivables 409 444 549
Inventories 7,365 6,745 7,757
---------- ---------- ----------
30,533 29,027 29,824
---------- ---------- ----------
NON-CURRENT ASSETS:
Long term prepaid expenses 39 40 39
Property, plant and equipment 4,987 5,801 5,573
Deferred tax assets 1,072 1,113 1,163
Intangible assets 3,739 3,928 3,858
---------- ---------- ----------
9,837 10,882 10,633
---------- ---------- ----------
Total assets 40,370 39,909 40,457
========== ========== ==========
The accompanying notes form an integral part of the financial
statements.
MTI WIRELESS EDGE LTD.
(An Israeli Corporation)
INTERIM CONSOLIDATED STATEMENTS OF
F INANCIAL P OSITION
30.09.2023 30.09.2022 31.12.2022
---------- ---------- ----------
U.S. $ In thousands
-----------------------------------
Unaudited
----------------------
LIABILITIES AND EQUITY
CURRENT LIABILITIES:
Current maturities and short term bank
credit and loans 198 17 43
Trade payables 5,684 6,080 5,739
Other accounts payable 3,817 3,827 3,627
Current tax payables 422 439 425
---------- ---------- -----------
10,121 10,363 9,834
---------- ---------- -----------
NON- CURRENT LIABILITIES:
Liability to purchase shares of subsidiary 1,432 1,432 1,432
Lease liabilities 150 401 303
Loans from banks, net of current maturities 52 37 98
Employee benefits, net 739 858 752
---------- ---------- -----------
2,373 2,728 2,585
---------- ---------- -----------
Total liabilities 12,494 13,091 12,419
---------- ---------- -----------
EQUITY
Equity attributable to owners of the parent
Share capital 209 209 209
Additional paid-in capital 23,051 23,039 23,078
Translation differences (538) (193) (250)
Retained earnings 3,987 2,570 3,775
---------- ---------- -----------
26,709 25,625 26,812
Non-controlling interest 1,167 1,193 1,226
---------- ---------- -----------
Total equity 27,876 26,818 28,038
---------- ---------- -----------
Total equity and liabilities 40,370 39,909 40,457
========== ========== ===========
November 19, 2023
------------------------- ----------------- -------------- ------------------------
Date of approval Moshe Borovitz Elhanan Zeira Zvi Borovitz
of financial statements Chief Executive Controller Non-executive Chairman
Officer of the Board
The accompanying notes form an integral part of the financial
statements.
INTERIM CONSOLIDATED STATEMENTS OF
CASH FLOWS
Nine month period Year ended
ended December
September 30, 31,
-------------------- ----------
2023 2022 2022
--------- --------- -----------
U.S. $ in thousands
---------------------------------
Unaudited
--------------------
Cash Flows from Operating Activities:
Profit for the period 2,854 2,378 3,849
Adjustments for:
Depreciation and amortization 956 1,090 1,466
Loss (Gain) from sale of property, plant
and equipment (6) - (1)
Finance (income) expenses, net (86) (95) (82)
Tax expenses 569 505 468
Changes in operating assets and liabilities:
Decrease (increase) in inventories 258 (35) (951)
Decrease (increase) in trade receivables (830) (2,607) (63)
Decrease (increase) in other accounts receivables (191) (440) (1,134)
Decrease (increase) in unbilled revenues (2,129) 34 590
Increase (decrease) in trade and other
accounts payables 517 172 572
Increase (decrease) in employee benefits,
net (13) (114) (93)
--------- --------- -----------
Cash from operations 1,899 1,248 4,621
Interest received 46 - -
Interest paid (23) (41) (52)
Income tax paid (344) (848) (978)
--------- --------- -----------
Net cash provided by operating activities 1,578 359 3,591
--------- --------- -----------
The accompanying notes form an integral part of the financial
statements.
INTERIM CONSOLIDATED STATEMENTS OF
CASH FLOWS (cont.)
Nine month period Year ended
ended December
September 30, 31,
---------------------- -----------------
2023 2022 2022
---------- ---------- -----------------
U.S. $ in thousands
-----------------------------------------
Unaudited
----------------------
Cash Flows From Investing Activities:
Proceeds from sale of property, plant
and equipment 39 - 15
Acquisition of subsidiary, net of cash
acquired - (1,427) (1,427)
Net cash from sale of previously consolidated
subsidiaries - (2,785) (2,785)
Purchase of property, plant and equipment (229) (421) (552)
---------- ---------- -----------------
Net cash used in investing activities (190) (4,633) (4,749)
---------- ---------- -----------------
Cash Flows From Financing Activities:
Dividend (2,656) (2,479) (2,479)
Payments of lease liabilities (328) (429) (560)
Treasury shares acquired (362) (87) (118)
Short-term loans and credit line received
from banks 136 34 -
Treasury shares sold 335 - 70
Acquisition of the non-controlling
interest in subsidiary (45) - -
Repayment of long-term loans from banks (10) (7) 118
---------- ---------- -----------------
Net cash used in financing activities (2,930) (2,968) (2,969)
---------- ---------- -----------------
(Decrease)/Increase in cash and cash
equivalents during the period (1,542) (7,242) (4,127)
Cash and cash equivalents at the beginning
of the period 8,279 12,567 12,567
Exchange differences on balances of
cash and cash equivalents (82) (45) (161)
---------- ---------- -----------------
Cash and cash equivalents at the end
of the period 6,655 5,280 8,279
========== ========== =================
The accompanying notes form an integral part of the financial
statements.
MTI WIRELESS EDGE LTD.
(An Israeli Corporation)
NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS
Note 1 - General:
Corporate information:
M.T.I Wireless Edge Ltd. (hereafter - the "Company", or
collectively with its subsidiaries, the "Group") is an Israeli
corporation. The Company was incorporated under the Companies Act
in Israel on December 30, 1998 and commenced operations on July 1,
2000. Since March 2006, the Company's shares have been traded on
the AIM market of the London Stock Exchange.
The formal address of the Company is 11 Hamelacha Street, Afek
industrial Park, Rosh-Ha'Ayin, Israel.
The Company and its subsidiaries are engaged in the following
areas:
- Development, design, manufacture and marketing of antennas for
the military and civilian sectors.
- A leading provider of remote control solutions for water and
irrigation applications based on Motorola's IRRInet state of the
art control, monitoring and communication technologies.
- Providing consulting, representation and marketing services to
foreign companies in the field of RF (radio frequency) and
Microwave, including engineering services in the field of aerostat
systems and system engineering services.
- Development, manufacture and integration of communication
systems and advanced monitoring and control systems for the
Government and defence industry market.
Note 2 - Significant Accounting Policies:
The interim consolidated financial statements have been prepared
in accordance with generally accepted accounting principles for the
preparation of financial statements for interim periods, as
prescribed in International Accounting Standard No. 34 ("Interim
Financial Reporting").
The interim consolidated financial information set out above
does not constitute full year-end accounts within the meaning of
Israeli Companies Law . It has been prepared on the going concern
basis in accordance with the recognition and measurement criteria
of the International Financial Reporting Standards (IFRS). The
financial information for the financial year ended December 31,
2022 was approved by the board on March 12, 2023. The report of the
auditors on those financial statements was unqualified.
The interim consolidated financial statements as of September
30, 2023 have not been audited.
The interim consolidated financial information should be read in
conjunction with the annual financial statements as of December 31,
2022 and for the year then ended and with the notes thereto. The
significant accounting policies applied in the annual financial
statements of the Company as of December 31, 2022 are applied
consistently in these interim consolidated financial
statements.
Note 3 - REVENUES:
Year ended
Nine month period ended December
September 30, 31,
------------------------- ------------------
2023 2022 2022
------------ ----------- ------------
U.S. $ in thousands
-----------------------------------------------
Unaudited
-------------------------
Revenues arise from:
Sale of goods* 23,630 26,573 34,618
Rendering of services** 5,189 5,603 8,334
Projects** 4 ,905 2,607 3,318
------------ ----------- ------------
33,724 34,783 46,270
============ =========== ============
(*) at the point in time
(**) over time
Note 4 - operating SEGMENTS:
The following tables present revenue and profit information
regarding the Group's operating segments for the nine month period
ended September 30, 2023 and 2022 respectively and for the year
ended December 31, 2022.
Nine month period ended September 30, 2023 (Unaudited):
Distribution
Water & Consultation Adjustment
Antennas Solutions Services & Elimination Total
--------- ----------- ---------------- --------------- -------
U.S. $ in thousands
Revenues
External 8,917 13,006 11,801 - 33,274
Internal - - 201 (201) -
--------- ----------- ---------------- --------------- -------
Total 8,917 13,006 12,002 (201) 33,724
Segment profit (loss) 560 1,457 1,230 305 3,552
========= =========== ================ =============== =======
Finance expense (income),
net 129
Tax expenses 569
-------
Profit 2,854
=======
September 30, 2023 (Unaudited):
Distribution
Water & Consultation Adjustment
Antennas Solutions Services & Elimination Total
-------- ---------- --------------- -------------- --------
U.S. $ in thousands
Segment assets 15,136 11,263 11,532 - 37,931
======== ========== =============== ============== ========
Unallocated assets 2,439
========
Segment liabilities 3,834 3,707 4,460 - 12,001
======== ========== =============== ============== ========
Unallocated liabilities 493
========
Note 4 - operating SEGMENTS (CONT.):
Nine month period ended September 30, 2022 (Unaudited):
Distribution
Water & Consultation Adjustment
Antennas Solutions Services & Elimination Total
--------- ----------- ---------------- --------------- -------
U.S. $ in thousands
Revenues
External 8,627 13,743 12,413 - 34,783
Internal - - 252 (252) -
--------- ----------- ---------------- --------------- -------
Total 8,627 13,743 12,665 (252) 34,783
Segment profit 254 1,282 1,814 135 3,485
========= =========== ================ =============== =======
Finance expense, net 242
Tax expenses 505
-------
Profit 2,738
=======
September 30, 2022 (Unaudited):
Distribution
Water & Consultation Adjustment
Antennas Solutions Services & Elimination Total
-------- ---------- --------------- -------------- --------
U.S. $ in thousands
Segment assets 14,923 11,805 10,650 - 37,378
======== ========== =============== ============== ========
Unallocated assets 2,531
========
Segment liabilities 3,070 4,316 4,762 - 12,147
======== ========== =============== ============== ========
Unallocated liabilities 944
========
Year ended December 31, 2022
Water Distribution Adjustment
Antennas Solutions & Consultation & Elimination Total
--------- ----------- ---------------- --------------- -------
U.S. $ in thousands
------------------------------------------------------------------
Revenues
External 11,627 18,196 16,447 - 46,270
Inter-segment - - 215 (215) -
--------- ----------- ---------------- --------------- -------
Total 11,627 18,196 16,662 (215) 46,270
========= =========== ================ =============== =======
Segment profit 337 1,838 2,321 96 4,592
========= =========== ================ =============== =======
Finance expense, net 275
Tax expenses 468
-------
Profit 3,849
=======
Note 4 - operating SEGMENTS (CONT.):
December 31, 2022:
Water Distribution Adjustment
Antennas Solutions & Consultation & Elimination Total
-------- ---------- --------------- -------------- --------
U.S. $ in thousands
---------------------------------------------------------------
Segment assets 14,848 11,834 11,272 - 37,954
======== ========== =============== ============== ========
Unallocated assets 2,503
========
Segment liabilities 2,627 3,881 5,098 - 11,606
======== ========== =============== ============== ========
Unallocated liabilities 813
========
Note 5 - SIGNIFICANT EVENTS:
A. On March 12, 2023, the Board of directors declared a cash
dividend of 3.0 US cents per share, representing approximately
$2,656,000, in total. This dividend was paid on April 6, 2023 to
shareholders on the register at the close of trading on March 24,
2023 (ex-dividend on March 23, 2023).
B. On 24 January, 2019, the Company announced a share repurchase
program to conduct market purchases of ordinary shares of par value
0.01 Israeli Shekels each ("Ordinary Shares") in the Company up to
a maximum value of GBP150,000 (the "Programme"). Thereafter, the
board of directors of the Company and the board of directors of MTI
Engineering decided to continue with the Programme for several
further periods. On 14 March, 2023, the Company announced that it
would extend the Programme until 31 March, 2024, with the Programme
having an increased maximum value of up to GBP200,000 and with the
Programme being managed by Shore Capital Stockbrokers Limited
pursuant to the terms as announced. As at 30 September 2023 and as
at 19 November 2023, 200,000 and 350,000 Ordinary Shares,
respectively, were held in treasury under the Programme.
C. On 14 March, 2023 at the Company's annual general meeting,
Mr. Michael Yehezkel Karo was elected as an independent
non-executive director.
D. On 11 July, 2023 the Company acquired minority holdings in
Ginat for an insignificant amount and now holds 100% of the
company.
E. On 19 July, 2023 the Company completed the registration of
its fully owned subsidiary, MTI Wireless Communication India
Private Limited, in India in order to support local demand in the
market.
Note 6 - SUBSEQUENT EVENTS:
A. On 7 October, 2023 Israel was attacked by the Hamas terror
organization leading to war. The war has led to a slowdown in the
Israeli economy and if war continues for a prolonged period then it
may begin to impact the Company. The wide usage of military reserve
personnel, adverse foreign currency exchange rates and restrictions
on access to certain areas in Israel are risks which may affect the
Company from a prolonged period of war. As of the date of this
report, and to the best of the Company's knowledge, the war has not
had a significant effect on it. The Company continues to review the
effects of the war on its trading as it believes that if the war
continues for a long period of time then the overall Israeli
economy will be effected, and factors including the lack of
available manpower, interest rates and foreign currency exchange
rates may have an impact on its trading.
B. On 19 November, 2023 the remuneration committee and the board
of directors approved an option plan for the Company's shares
("Option Plan").
The Option Plan includes the authority to issue 2,000,000
options (2.2% of the Company's issued share capital on fully
diluted basis) with the following terms:
1. Each option can be exercised into one ordinary share of the
Company at a price of 40p being 25% above the share price at the
date preceding this announcement and 17% above the average share
price in the last 30 days.
2. The vesting of the options will be 50% after two years, 25%
after three years and 25% after four years with expiration after
six years from issuance.
3. The economic value of the options based on a Black-Scholes
calculation is US$259,000 for the total 2 million options approved
by the board of directors.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
QRTNKOBPFBDDADD
(END) Dow Jones Newswires
November 20, 2023 02:00 ET (07:00 GMT)
Mti Wireless Edge (LSE:MWE)
Historical Stock Chart
From Apr 2024 to May 2024
Mti Wireless Edge (LSE:MWE)
Historical Stock Chart
From May 2023 to May 2024
