Rising prices and broad-based inflation have forced Megaport to lay off 35 staff, with the telco infrastructure company cutting enough to turn earnings positive in the fourth quarter.
to lay off 35 staff, with the telco infrastructure company cutting enough to turn earnings positive in the fourth quarter, and narrow its overall losses.
Megaport said its revenue rose 40 per cent to $109.7 million in financial 2022 from $78.3 million a year earlier; Monthly recurring revenue rose 43 per cent to $10.7 million in June, with most new customers coming from the United States.The tech stock narrowed its full-year net loss by 12 per cent to $48.5 million from the year-earlier $55 million. Earnings before interest, taxes, depreciation, and amortisation fell 23 per cent to $10.2 million, but turned positive in the fourth quarter.
Megaport, which facilitates the communication of data between various cloud ports, reported an 8 per cent bump in direct network costs, thanks to 26 new data centres plugging into the network over the year as well as capacity upgrades on intra-regional routes.Advertisementand partnered with big-name clients Cisco and VM-Ware, which are selling the service to thousands of their customers.