It has been a good year for Subex, and they will finish it on a high after winning a USD3M deal to deploy their ROC fraud management, revenue assurance and data integrity platform for an unnamed Asian operator. You can read the press release here. Earlier this month Subex announced the deployment of the ROC FMS and RA system in West Africa’s Atlantique Telecom.
Recent interviews with Subex boss Subash Menon reveal that he expects his business to post even better results in 2011. He predicted EBITDA would improve from 32% in 2010 to 35-36% in 2011, and that revenues would grow by 15%; see here. Some of this improvement will be driven by larger contracts that include managed services, and because managed services will contribute a larger share of overall revenues. Menon predicted managed services will grow from representing 15% of revenues this year to providing 25-30% of revenues within a couple of years; see here. That would be particularly good news for investors, as managed services deliver more reliable ongoing revenues than one-off implementation projects.
