The group delivered 17 Galaxy family systems, comprising 11 Meteor small stone machines, 5 Solaris machines and a Galaxy system, to customers in 1Q17, bringing the total installed base to 316 as of end March. Overall recurring income accounted for 42% of total revenue, with trade revenue derived from the polished diamond line of products and services representing about 2% of total revenue in 1Q17.
In line with increased revenue, gross profit rose 6% to US$11.1 million and gross profit margin remained stable at 68%. In order to support continued growth and the launch of new services, higher operating expenses were incurred in 1Q17. The increase in expenses was compounded by the 5% strengthening of the Shekel against the US dollar. As a result, profit from operations fell 14% to US$3.2 million in 1Q17 from US$3.7 million in 1Q16.
Shares of Sarine closed 2 cents higher at $1.94.
