The Aerometrex Ltd (ASX: AMX) share price was a positive performer on Thursday despite the share market tumbling lower.
The aerial mapping business and rival to Nearmap Ltd (ASX: NEA) saw its shares rise over 5% in morning trade before finishing the day 1.5% higher at $1.92.
What is Aerometrex?
Aerometrex is a recently listed aerial mapping business specialising in aerial photography, photogrammetry, LiDAR, 3D modelling, and aerial imagery subscription services.
It provides its high-quality products and services to a growing client base which includes Google, the Australian Government, CSIRO, and Microsoft.
The company has strong board and executive team, with combined industry experience of 930 years total.
Why did the Aerometrex share price rise 5%?
Investors were buying Aerometrex's shares following the release of its half year results.
For the six months ended December 31, the company posted a 44.3% increase in revenue over the prior corresponding period to $10.1 million.
Growing even quicker was the company's normalised EBITDA. That increased by an impressive 64.5% to $2.2 million during the first half.
Another positive was that despite its investment in growth and IPO costs, Aerometrex still achieved positive operating cashflow over the six months.
Managing director, Mark Deuter, was pleased with the release of the company's first set of results since listing on the ASX boards at the end of 2019 at $1.00 per share.
Mr Deuter said: "The decision to pursue an ASX listing was a result of the significant growth opportunities for the business. This half saw a large increase in revenue growth as the business continues to gain market share in an industry with strong tailwinds. It is was particularly pleasing to see the company's strategic initiatives already starting to deliver positive financial outcomes."
"With IPO funds received at the end of the reporting period, we are in a strong position to capitalise on the high level of demand for imagery and mapping services across our operating segments. This is the first result for Aerometrex as a listed business and we look forward to an exciting journey ahead in a rapidly expanding market," he added.
Outlook.
The company advised that it expects to see growth trends continuing, noting the historical skew of revenue to the second half.
Its Metromap offering remains a strategic focus, with management expecting to continue to grow its recurring revenue. Especially given the benefit of additional sales and marketing staff to expand its subscription service.
Overall, management believes the short and medium term outlook for the industry looks very strong and Aerometrex has started to see the benefit from an increased profile as a listed entity.
