SRT in the News

19th February 2010 - Financial Times

New wavelength

It's not often that a UK company finds itself in a dominant position in an emerging market but that is where Software Radio Technology finds itself.

The Bath-based company is one of the few making maritime identification systems based on a standard called AIS, which was mandated by the International Maritime Organisation in 2002 on most vessels of more than 300 tonnes.

AIS acts as an internet-based tracker. As Simon Tucker, chief executive, says: "Radar tells you that something is out there. AIS tells you exactly what it is."

As such it is used daily by port operators and authorities. But national security threats have led many governments to consider it for vessels of much smaller sizes in national waters.

SRT sells low-cost versions of AIS to equipment makers such as Raymarine and L3. The company has seen a slew of orders in recent months and expects to improve on interim results to September 30, when turnover more than doubled and pre-tax losses narrowed from £402,000 to £31,000.

However, Mr Tucker will have to manage the cash to navigate rough patches. While SRT now has cash of £705,000, that had been £3.5m only in March 2008. Furthermore, in the coming years it will have to develop recurring revenue streams as profits are dependent on unit sales. Nevertheless, it will be fascinating to track.