Image source: © 2025 Krish Capital Pty. Ltd.

Highlights

  • Revenue increased to USD 60.4 million (£47.2 million) in H1 2025, compared with USD 58.9 million (£46.0 million) in H1 2024.

  • BATM Networks achieved a return to growth, supported by new carrier ethernet product launches and expanded partnerships.

  • BATM Cyber delivered its first commercial encryption platform units, while BATM Diagnostics recorded higher sales of proprietary and third-party products.

BATM Advanced Communications (LSE:BVC; TASE:BVC), a global provider of advanced network infrastructure, cybersecurity and diagnostic technologies, announced its interim financial results for the six months ended 30 June 2025.

Financial Performance

Revenue for the first half of 2025 stood at USD 60.4 million (£47.2 million), up from USD 58.9 million (£46.0 million) in the same period last year. Gross profit increased to USD 19.8 million (£15.5 million) from USD 18.7 million (£14.6 million), with gross margin improving to 32.7% compared with 31.7% in H1 2024.

Adjusted operating profit was USD 2.0 million (£1.6 million), down from USD 3.6 million (£2.8 million), while adjusted EBITDA was USD 4.0 million (£3.1 million), compared with USD 5.7 million (£4.5 million) in the prior period. Adjusted profit before tax declined to USD 1.6 million (£1.3 million) from USD 3.0 million (£2.3 million).

At 30 June 2025, BATM held cash and short-term investments of USD 27.0 million (£21.1 million), compared with USD 31.6 million (£24.7 million) at 31 December 2024.

Operational Overview

The Group reported that its strategy to streamline operations and focus on its three core divisions—BATM Networks, BATM Cyber and BATM Diagnostics—continued to deliver results. Three non-core businesses were sold during the reporting period, reducing costs and enabling greater focus on core areas.

BATM Networks

The Networks division returned to growth, driven by higher sales in both carrier ethernet and Edgility. Four new carrier ethernet products were introduced within the X-series portfolio, including an order from a Tier 1 communications service provider in Mexico. New channel partners were signed in all target regions, and a customer partner portal was launched. Edgility was also selected by Brazilian telecom company Telebras for a proof-of-concept project with an end customer.

BATM Cyber

A key milestone was achieved with the delivery of the first commercial units of the Group’s customised encryption platform. In addition, the division continued to supply long-standing government clients, securing a new USD 1.5 million (£1.2 million) order, which was later increased to USD 2.1 million (£1.6 million).

BATM Diagnostics

Diagnostics reported increased sales of both proprietary and third-party products following the rollout of its updated strategy prioritising reagents. The division expanded into Italy with its MDXlab product and secured several projects, including multi-year reagent and consumable contracts.

Strategic Progress and Outlook

BATM advanced joint product development and marketing initiatives across its core divisions, while also launching a new unified brand identity. The Group stated that it will continue to explore opportunities for acquisitions to boost core capabilities, alongside further divestment of non-core activities.

Looking ahead, BATM expects revenue and adjusted EBITDA for FY 2025 to exceed FY 2024 levels. Growth is anticipated in BATM Networks from increased carrier ethernet and Edgility sales, while BATM Cyber and BATM Diagnostics continue to progress in line with management expectations.