TOTAL Client Services (TCS) is eyeing growth from the delayed road traffic regulations, which would "enhance revenue and growth prospects", it said on Wednesday.
TCS’s technology products include road traffic equipment, which is required by municipalities to measure speed and traffic flow patterns and detect offender vehicles on the road.
The company said the Administration Adjudication of Road Traffic Offences Project (AARTO) had been delayed and a new date has not been announced. TCS had aligned its business strategy, products and services in accordance with the requirements of AARTO and "our systems are fully compliant", the company said.
TCS’s revenue for the six months to August improved 16% to R26m.
The headline loss per share reduced to 0.26c per share from a loss of 0.72c during the same period last year.
"Performance has improved over the period and the impact has been reflected in the financial results. TCS’s E-pay channel has been successful, resulting in more than R1.3m being collected via this payment channel," TCS said.
Given the losses reported in the prior year and the current year, TCS had a negative equity position of R15.9m at end of August.
The company said that during the six months to August it continued to "tackle the challenges at hand in order to take advantage of opportunities in the market".
Management’s focus during the period has been to continue to consolidate the existing contracts and improve the service offering. The company was awarded contracts in provinces such as North West, Gauteng and Western Cape.
TCS is being taken to court by a former landlord over alleged unpaid monies and a summons has been issued against the company for R1m. But TCS said it was defending the action and the matter had been set down for a hearing in April next year in the North Gauteng High Court in Pretoria.
"The board do not believe that any amounts are due to the former landlord and have not provided for this amount in the results," it said.