Peter Leparulo, CEO of the San Diego, California-based company, said it planned eight new products in 2005 and will more than double its addressable market.
With the increasing availability of 3G, wireless modem cards are facing huge demand and this is reflected in Novatel’s figures. In the fourth quarter to December 31, net income was $5.2m, up from a loss of $1.8m on revenue 215.6% higher at $103.7m. For the year, net income was $13.7m, up from a loss of $11.6m on revenue 206.8% higher at $103.7m.
Novatel is growing at twice the rate of its main competitor Sierra Wireless, which increased its full year revenue by 107.7% to $211.2m. The main European contender, Leuven, Belgium-based Option NV reports its full year figures this week but in the first nine months of 2004, its revenue had increased 66.6% to 70.6m euros ($90.8m).
While growth prospect are enormous, revenues can be lumpy as wireless carrier switch their support from one maker to another and both Sierra and Novatel have upset the markets by turning in figures not quite as large as expected.
