Orbit's profit in the second quarter amounts to $ 755,000

rbit, which operates in the field of satellite communications, tracking systems and communications and audio systems in airplanes, is showing in the second quarter of 2018 growth in all parameters compared with the corresponding quarter last year. 

Orbit's revenues for the second quarter of 2018 were $ 10.2 million, an increase of 11% compared to revenues of $ 9.1 million in the second quarter of 2017. The increase in revenues stems from an increase in sales of the Company's products. Revenues for the first half of 2018 were $ 20.3 million, an increase of 24.5% compared to $ 16.3 million in the same period last year.

Gross profit for the second quarter of 2018 was $ 3.3 million (32.4% of revenues), an increase of 18% compared to gross profit of $ 2.8 million (30.5% of total revenues) in the corresponding quarter last year. Gross profit for the first half of 2018 was $ 5.9 million (29% of revenues), an increase of 23% compared to gross profit of $ 4.8 million (29% of total revenues) in the corresponding period last year. The increase in gross profit and gross profit derives from an increase in revenues and a mix of sales between sale of products, execution of work and provision of service.

Operating profit for the second quarter of 2018 was $ 627,000, compared with an operating loss of $ 528 thousand in the second quarter of 2017. The transition to operating profit is mainly due to an increase in the company's revenues. Operating profit in the first half of 2018 was $ 120,000, compared to an operating loss of $ 2 million in the same period last year. The improvement in operating profit and profitability derives from an increase in revenues and efficiency measures taken by the Company in the areas of development and sales.

EBITDA in the second quarter of 2018 amounted to $ 1.25 million, an increase of 658% compared with a negative EBITDA of $ 224 thousand in the corresponding quarter last year. EBITDA in the first half of 2018 amounted to $ 1.37 million, compared with a negative EBITDA of $ 1.32 million in the same period last year.

Orbit's net profit in the second quarter of the year was $ 755,000, compared with a net loss of $ 910,000 in the second quarter last year. The transition to net profit derives mainly from an increase in the Company's revenues, an improvement in operating income and income from exchange rate differentials.

The backlog at the end of the second quarter was $ 55.6 million, an increase of 21% compared with $ 46 million at the end of the parallel quarter in 2017. Cash and cash equivalents at the end of the second quarter of 2018 amounted to NIS 11.4 million compared to NIS 4.6 million at the end of the second quarter of 2017.

Equity in the Balance Sheet In the second quarter of 2018, the Company's shareholders' equity amounted to $ 22.4 million, or 47% of the balance sheet, compared to $ 13.8 million, or 37% of the balance sheet, in the corresponding quarter last year.

Orbit CEO Eitan Livne said, "Orbit is in a state of business as reflected in its financial results in the first half of 2018. The company is able to leverage its technological advantages and business ties with its customers both in the civilian and defense markets, Term strategic plans, with an emphasis on the field of international aviation. This trend continues also in the third quarter of the year, with the recent announcement of the signing of a strategic agreement with the US Air Force to upgrade, service and maintain critical mission systems, and to receive a first execution order. "