Pareteum Corp (NASDAQ: TEUM) is making a run for the top in the market this morning, and for good reason. The comapny announced its financial results, showing strong growth and exciting investors. Today, we’ll talk about:
- The financial results;
- what we’re seeing from TEUM stock as a result; and
- what we’ll be watching for ahead.
TEUM Announces Financial Results
As mentioned above, Pareteum is having a great day in the market today after the company announced its financial results for the fourth quarter. Here’s what we saw from the report:
- Revenue – In terms of revenue, TEUM did overwhelmingly well. During the quarter, revenues came in at $14.3 million, representing growth of 256%. The strong revenue growth has a lot to do with the company’s Global Software Defined Cloud, generating 51% of the company’s total revenue in December.
- EBITDA – During the quarter, the company generated EBITDA in the amount of $2.34 million. That represents growth in the amount of 82%.
- Non-GAAP EPS – The company also said that it generated EPS in the amount of $0.02 per share on a non-GAAP basis.
- Contractual Revenue Backlog – The company also said that in the year 2019, it’s contractual revenue backlog quadrupled, and is now $615 million, up from $147 million in 2017.
In a statement, Hal Turner, Founder, Executive Chairman and Principal Executive Officer at TEUM, had the following to offer:
2018 was a record year for Pareteum, achieving over 139% year-over-year revenue growth driven by the effectiveness of our cloud-based platform, innovative product solutions, employee talent and leading customers. In fourth quarter of 2018, we reported 256% year-over-year revenue growth, which included the first full quarter of our accretive Artilium acquisition.
We are extremely pleased with Pareteum’s significant results in 2018 which are attributed to our TEUM’s laser focus on sales expansion and operational improvements. Looking ahead to 2019, we are very excited about the tremendous opportunities for Pareteum given the strong industry dynamics; our visibility into future revenue from our 36 Month Contractual Revenue Backlog; and, the augmented talent, product, services, network expansion and productivity improvements implicit from our strategic acquisitions.
What We’re Seeing From The Stock
One of the first lessons that we learn when we start to work in the market is that the news leads to moves. When it comes to Pareteum, the new sproved to be overwhelmingly positive.
After all, revenue is showing strong growth. Moreover, the growth in the contractual revenue backlog suggests that the company is going to continue in the right direction throughout 2019 and beyond.
Considering this, it’s not surprising to see that excited investors are pushing the stock on a run for the top. As is normally the case, our partners at Trade Ideas were the first to alert us to the gains. Currently (10:04), TEUM is trading at $4.70 per share after a gain of $0.79 per share or 20.08% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on TEUM. In particular, we’re interested in following the story surrounding the company’s continued work to expand value for investors through. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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