Sangoma Reports 60 Percent Net Income Growth for Fiscal '08

Despite reported losses among some other IT companies, a Canadian provider of PC-based hardware and software for proprietary and open source-based data and telephony transport solutions says its net income grew 60 percent in the last fiscal year.

 

Officials at Markham, Ontario-based Sangoma Technologies (News - Alert) Corporation say sales of $12.3 million fueled a net income increase of $2.9 million for the 12-month period that ended June 30.

 

According to the company’s president and chief executive officer, David Mandelstam (News - Alert), Sangoma saw eight consecutive quarters of record growth.

 

“The challenge for the coming quarters is to meet and exceed past performance in a deteriorating economic climate,” Mandelstam said.

 

IT companies are adjusting to that climate.

 

As TMCnet reported, Texas Instruments (News - Alert) said this week that net earnings of $563 million, or 43 cents per share, in the third quarter, are down 27 percent from $776 million, or 54 cents per share, in the year-ago quarter.

 

Yet, TI Chairman, President and Chief Executive Officer Rich Templeton said that, despite recessionary conditions, the company’s revenue from its analog business was steady, and that its embedded processing business grew 9 percent year-over-year.

 

“Although not immune to near-term economic pressures, these are two of the best long-term opportunities in our industry,” Templeton said. “We are a leader in each and expect to strengthen our position even in this period of economic weakness.”

 

Sangoma says its voice optimized hardware fuels the open source PBX (News - Alert) market. Company officials say they’ve raised the bar in TDM voice communications with on-board, Telco-grade, hardware echo canceller DSPs available on all Sangoma voice cards and the most optimized, scalable, cross-platform device drivers available. The company’s 2 - 24 Port Expandable Analog FXO/FXS card is pictured below.

Eyeing its strategy for the coming fiscal year, Mandelstam said, Sangoma is looking to its recent acquisition of a Montreal-based IP connectivity software company, Paraxip Technologies.

 

“Our recent acquisition of Paraxip Technologies will open up new markets that will help us achieve these goals,” Mandelstam said.

 

In the last fiscal year, Sangoma met and exceeded goals, according to figures the company released earlier this month.

 

Sales in fiscal year 2008 of $12.3 million marked a 50 percent rise from the prior year’s tally of $8.2 million. The company also saw its net earnings per share rise 54 percent, from 7 cents to 10 cents, over the same period.

 

The company set all-time records in sales and net earnings, and also finished the financial year with working capital of about $9 million, compared to $5.3 million in the prior year, an increase of 69 percent.