SINGAPORE (Mar 15): 8Telecom International Holdings, the manufacturer and supplier of telecommunications products, announced that it has narrowed its FY17 losses to $1.51 million compared to $27.4 million in FY16.
Revenue for the full year ended Dec 2017 saw a significant jump to $727,000 compared to $11,000 a year ago, due to the increased projects secured by the group’s subsidiary Arete M.
Other operating income also saw a notable increase to $128,000 from $10,000 last year.
Selling expenses dropped 67% to $57,000 compared to $177,000 in the previous year.
However, administrative expenses increased by 79% to $2.43 million from $1.35 million a year ago, as the holding company is currently exploring into new business opportunities and the group has invested in a new office, thus hiring more staff and engaging more professionals for advice. Also, Arete M’s business is expanding, incurring more admin expenses.
During FY17, the group did not incur other loss compared to $23.5 million which was recorded in FY16.
Looking forward, the group remains committed to assist Arete M in securing sufficient capital to support its future growth in the information-communication services industry. It will also explore for new business to increase revenue streams.
In the event that the group is unable to secure new financing to support Arete M’s growth plan so that it becomes profitable, the group may consider disposing it.
Shares in 8Telecom last traded at 1.8 cents on Wednesday.
