WebTech Wireless Inc. shed workers last year but that did not keep the company from racking up steeper losses.
The fleet management device and software maker increased revenue 52% (to $41.4 million), but its losses grew 14% to $9.6 million, according to its March 23 2010 earnings report.
“We’ve made some cuts across the organization in the last 12 months,” CEO Scott Edmonds told Business in Vancouver.
Indeed, the Vancouver-based company (TSX:WEW) chopped expenses 21%.
WebTech increased its purchasing power by buying Grey Island Systems International Inc. in 2009. It also reduced sales costs on hardware and services by changing the way customers use its software.
Edmonds believes his sector is growing by up to 15% per year and the sector is ripe for consolidation.
“We’ve proven that we know how to buy companies and extract value for them and you see us doing more of that in 2011,” he said.
WebTech makes devices used in fleet management that send and receive information, including GPS tracking, location and diagnostics, to and from vehicles (see “Developers see new opportunity in fledgling wireless-communication market” – issue 1067; April 6-12, 2010).