Israel's MTI Wireless Edge nine-month revenue rises on strong demand across segments

Overview

• Israel technology group's nine-month revenue rose 9% yr/yr

• Profit before tax for nine months increased 10% yr/yr

• Company acquired Interspec, expanding direct presence in US market

Outlook

• Company expects ABS antenna sales to remain strong through year-end and into 2027

• Mottech division expected to deliver a strong result for 2026

• Company expects order backlog at MTI Summit to unwind in coming months as supply issues resolve

Result Drivers

• MOTTECH DEMAND - Strong demand for water management and irrigation solutions, with revenue up 22% and operating profit up 60% yr/yr, especially in Israel, Italy, South Africa and the Arabian Gulf

• DEFENCE CONTRACTS - Increased sales volumes from defence contracts in the Antenna division contributed to improved performance in Q3

• ORDER BACKLOG - Supply delays at a European supplier created a substantial order backlog at MTI Summit, which is expected to unwind as supplier issues are resolved

Company press release:

Key Details

Analyst Coverage

• Wall Street's median 12-month price target for MTI Wireless Edge Ltd is GBp97.50, about 58.5% above its November 6 closing price of GBp61.50

• The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 15 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)