Vehicle monitoring and tracking group Trakm8 (LON:TRAK) forecast annual profits above hopes after a strong first half.
Trakm8 said contract wins and a stronger-than-budgeted start to the year meant it was likely to top market expectations modestly for the year.
The group said adjusted pre-tax profit rose 89% to £1.48mln on a 38% increase in revenue to £11.7mln in the six months to September 30.
Orders received increased by 29% and like-for-like orders were up 21%.
The company, which already has customers such as the AA (LON:AA.), St Gobain, E.ON, Direct Line (LON:DLG) & Young Marmalade, won orders and contract extensions including a deal with road haulier Bibby Distribution.
It said its installed base of devices reporting to its servers continued to increase, with 135,000 at the end of the first half against 77,000 a year ago.
In June, Trakm8 bought the business and assets of DCS Systems, which designs and distributes camera systems for the automotive, bicycle and security markets.
DCS is cashing in on demand for forward-facing vehicle cameras allowing people to record driving incidents and mitigate the risk from accidents.
Sales of products, excluding DCS camera sales of £600,000, were £400,000 down on last year due to the elimination of a number of lower value-added manufacturing service customers and a focus on core telematics device shipments.
Executive chairman John Watkins said: "Trakm8 has had another strong period of growth from existing and new customers leading to today's results being ahead of our previous expectations.
"The installed base of devices reporting to our servers continues to increase rapidly and these recurring revenues are the core of Trakm8's business model and financial security."
Watkins said Trakm8 was well-placed to expand the group through investment and acquisitions.
"Recent contract wins and the stronger than budgeted start to the year mean we now believe we will modestly exceed the current market expectations for the year as a whole," he said.
Shares were up a penny at 267.5p in early London trading.