The Speedcast International Ltd (ASX: SDA) share price has taken off in the past few months, gaining more than 60 per cent since late September.
Speedcast shares are now trading for around $5.40 but the company looks set to continue growing.
Speedcast, with a market cap of about $1.29 billion, is a communications technology company that has a satellite network that spans the globe and claims to be the "world's most trusted provider of highly reliable, fully managed, remote communication and IT solutions".
The company reported that group revenues grew 143% to US$246.3 million for the 6-month period ended 30 June 2017, while service revenues grew 165% to US$231.9 million.
Speedcast also reported EBITDA of US$52.8 million, a 210% increase over the same period the year before.
For the year ended 31 December 2016, Speedcast reported revenue of US$218 million, up from the US$167.6 million recorded for the year prior.
Speedcast also stated that net profit for that period had grown to US$5.9 million, up from the US$4.3 million announced the year before.
Speedcast has grown significantly on the back of acquisitions.
In January this year Speedcast completed the acquisition of Harris CapRock, which provides satellite and terrestrial communication solutions for government and business, in a deal worth more than US$400 million.
In July, Speedcast entered into an agreement to acquire communications company UltiSat for a US$100 million.
The company also announced that as of June 30 2017 (before the UltiSat acquisition) that it had reduced net debt to US$333 million.
Speedcast shares have gained more than 70% this year, placing the company among top performing shares such as Altium Limited (ASX: ALU) and Cochlear Limited (ASX: COH), in terms of shareholder returns over the past year.
With the company looking as though its expansion strategy is allowing increased earnings while also lending itself to paying down debt, it appears Speedcast could prove to be a top performing share in 2018.
