Megaport sees jumps in revenue and overall loss for FY19

Revenue increases 78% to AU$35 million as net loss widens from AU$24.5 million to AU$33.6 million.

Australian interconnection services provider Megaport has seen its revenue increase by 78% to AU$35 million for the full year ending June 30, however at the same time, its net loss widened by 37% from AU$24.5 million last year to AU$33.6 million.

Once network and operating costs were taken out of its revenue number, Megaport reported normalised earnings before interest tax depreciation and amortisation (EBITDA) of minus AU$24.7 million. For the year prior the company reported normalised EBITDA of minus AU$22.1 million. The company touted this as an improvement with the EBITDA loss representing 78% of revenue compared to 112% last year.

Looking at the revenue composition, Megaport now gets AU$3.6 million each month in recurring revenue, an 82% increase on last year. 

By region, North America more than doubled its contribution from AU$5.4 million to AU$13.6 million, APAC moved from AU$8.4 million to AU$13.3 million, and Europe increased from AU$6 million to AU$8.2 million.

Additional employees saw employee costs move from AU$19.6 million to AU$26 million for the full year.

"Expanding our presence in Europe and other key areas in Asia Pacific, the US, and Canada has enabled Megaport to reach a milestone of 20 countries, and 528 enabled locations including 300 installed data centres," CEO Vincent English said.

"This accelerated growth and reach empowers the company to continue unlocking major use cases for cloud connectivity and on-demand networking for customers across the globe."

For its third quarter, Megaport revealed APAC was the only geography making a positive EBITDA contribution, and it flowed through for the full year.

APAC had a net profit of AU$1.4 million for the full year, while North America experienced a net loss of AU$10.9 million and Europe added a further net loss of AU$3.89 million.

Megaport announced its fourth quarter results last month.

Related Coverage

Megaport ramps up revenue for FY19 but outgoings continue to outstrip

Total revenue sits at AU$35 million for the full year but there is AU$46 million in outgoings, leaving the company burning through cash.

Megaport says APAC has turned corner as overall revenue and net loss grows

Revenue is growing 72 percent year on year, as net loss slips by almost a quarter.

Megaport continues to burn through cash across FY18

Company is projecting cash outflow of AU$19.5 million in the next quarter, nearly matching half the AU$39.6 million outflow experienced over FY18.

Top 10 IT trends of the last 20 years (TechRepublic)

Two decades ago some people still used dial-up modems, and now the world is at our fingertips. Read on to get a sense of how much has changed in the IT office since 2000.

How to create an instance of S3 cloud storage in AWS (TechRepublic)

Off-premise storage is a primary application for cloud-based computing services. However, creating a storage instance requires users to make several important decisions.