Mobile Tornado H1 Loss Narrows; Signs Deal With Alvarion Technologies

(RTTNews) - Mobile Tornado Group plc (MBT.L), an instant communications services provider for mobile devices, Friday reported that its first-half loss before tax was 1.35 million pounds, compared to last year's loss of 1.40 million pounds.

Loss after tax narrowed to 1.1 million pounds or 0.5 pence per share from loss of 1.3 million pounds or 0.7 pence per share a year ago.

Adjusted EBITDA, a key earnings metric, was a loss of 1.0 million pounds, wider than last year's 0.8 million pounds loss, reflecting continued investment in the business to provide scale for future growth.

Revenue declined to 1.0 million pounds from 1.4 million pounds last year, while recurring license fees went up 40 percent to 0.54 million pounds.

Subscriber numbers increased to 45,000 from 29,000 as of December 31 through Mobile Network Operator deployments.

Jeremy Fenn, Chief Executive Officer, said, "Current trading since the period end has remained in line with the Board's expectations for the full year."

Separately, Mobile Tornado said it has signed an exclusive strategic partnership with Alvarion Technologies (ALVR) to integrate its instant communication services into Alvarion's WiFi platform solution. The strategic partnership between Mobile Tornado and Alvarion offers both companies significant opportunities to address the evolution of "smart cities" and increased homeland security laws, the company noted.

Giora Levi, CEO of Alvarion said, "The Alvarion strategy is to deliver a full service solution to "smart cities" across our carrier class wifi platform. We see the Instant Communication suite of services developed by Mobile Tornado as a critical component of this service offering, particularly within an encrypted environment, and look forward to a mutually successful partnership." In London, Mobile Tornado shares were losing 0.66 percent, and trading at 11.30 pence.