Shares of communications network solutions provider RiT Technologies Ltd. (RITT) rose as much as 47 percent from Monday’s closing price in morning trading on Tuesday. RITT touched a high of $4.75 on Tuesday morning, up from Monday’s closing price of $3.22.
On Tuesday, the Tel Aviv-based RiT Technologies announced that it appointed Peter Leonard to become its Country Sales Manager for South Africa. According to a December 6 press release, RiT’s has built momentum in the region over the past year, beginning with sales to Botswana Teclecommunications Corp. and Vodafone Ghana, and followed by the signing of distribution/marketing agreements with Kenya’s Adwest communications, Mart Network Solutions/Giganet Networking Solutions and Adcare.
RiT Technologies’ president and CEO, Eran Ayzik commented that Africa is a “land in transformation, and a key enabler of change is the ongoing overhaul of its communications and IT networks.”
The company has also increased its presence in China, opening a new office in Shanghai several months ago as part of its strategic focus on the Chinese market.
“The establishment of our second office in Chinademonstrates the success of our strategy to build our business in this rapidly-growing market with high potential for IIM sales,” Ayzik said in a September 13 press release. “Our unique approach to the market, including our partnership with superbly qualified, well-connected integrators and the offering of customized solutions, has started to pay off, and we believe thatChina will continue growing in importance as a driver of our future sales.”
For the third quarter ended September 30, RiT Technologies reported revenue of $3.7 million, a 38 percent increase over revenue of $2.7 million in the same period a year ago, and a 7 percent sequential increase over the second quarter. The company’s third quarter net loss increased 1 percent to $854,000 or 19 cents per share, compared to a net loss of $843,000 or 26 cents per share for the third quarter of 2010.
“Our third quarter results reflect continued strong momentum in the areas of product development, partnership building and marketing & sales, all of which are creating a solid platform for future growth,” Ayzik said in an October 26 press release. ” Our efforts to broaden our sales and marketing activities are raising RiT’s exposure in emerging markets and enabling us to better serve our customers. This was highlighted during the quarter by our opening of a second sales office in China. And we intend to duplicate this effort in other high growth, emerging regions.”Parallel to our marketing activities, we continue to develop our product portfolio, improve our supply chain and deepen our strategic partnerships in order to well-position the Company for further growth.”
Shares of RITT are down about 6 percent in the past three months.