MTI Wireless Edge : November 19, 2018-Q3 2018_Financial_results

Dissemination of a Regulatory Announcement that contains inside information according to REGULATION (EU) No 596/2014 (MAR)

19 November 2018

MTI Wireless Edge Ltd

("MTI" or the "Company")

Financial results for the nine months ended 30 September 2018

MTI Wireless Edge Ltd. (AIM: MWE), the technology group focused on comprehensive communication and radio frequency solutions across multiple sectors, today announces its unaudited results for the nine months ended 30 September 2018.

The merger (the "Merger") between the Company and MTI Computers and Software Services (1982) Ltd. ("MTIC") completed on 20 August 2018. Therefore, the Company is presenting its financial results as if the Merger was in effect throughout the entire reporting period and has also provided comparative financial information in respect of both the pre and post-Merger results for the nine month period ended 30 September 2017.

Highlights for the nine month period ended 30 September 2018:

•  Revenues increased by 32% year-on-year to $25.9m due to the Merger and 2% organically (nine months ended 30 September 2017: $19.6m* and $25.5m** respectively)

•  Operating profit increased 66% year-on-year to $1.9m due to the Merger and 7% organically (nine months ended 30 September 2017: $1.15m* and $1.8m** respectively)

•  Net profit increased 67% year-on-year to $1.57m due to the Merger and 7% organically (nine months ended 30 September 2017: $0.94m* and $1.48m respectively**)

•  Earnings per share increased 8% year-on-year to 1.81 US cents due to the Merger and 10% organically (nine months ended 30 September 2017: 1.67 US cents* and 1.65 US cents** respectively)

•  Shareholder's equity grew during the period to $19.9m (31 December 2017: $19.6m), equivalent to 17.8 pence per share (converted at 1.285 US dollar/1 British Pound).

* These figures represent the relevant financial results of the Company (only) for the nine months ended 30 September 2017.

** These figures represent the relevant financial results of the Company for the nine months ended 30 September 2017.aggregated with that of MTIC for the same period.

Zvi Borovitz, Chairman of MTI Wireless, commented:

"We are very pleased to have completed the Merger, which we feel has immediately demonstrated a benefit to the Company, by increasing its range of solution offerings, revenue and profits - in the third quarter of this year we had a 100% increase in EPS over the third quarter of 2017, while operating profit increased by 58%. As explained in the announcements made during the Merger process, we believed that the Merger would lead to costs savings and efficiencies and we are happy to have achieved enhanced profits from the Merger, including at the earning per share level. We remain excited about the opportunities for the enlarged group, as we continue to see good progress in meeting our internal goals in all areas of the business".

For further information please contact:

MTI Wireless Edge Ltd Dov Feiner, CEO

[phone]

Moni Borovitz, Financial Director

Allenby Capital Limited (Nomad and Joint Broker) Nick Naylor

[phone]

Alex Brearley

Peterhouse Capital Limited (Joint Broker) Lucy Williams

[phone]

Eran Zucker

About MTI Wireless Edge

Headquartered in Israel, MTI is a multi-faceted Group offering comprehensive technology solutions through four core divisions:

Antennas Division

MTI Wireless Edge is a world leader in the design, development and production of high quality, state-of-the-art, and cost effective antenna solutions including Smart Antennas, MIMO Antennas and Dual Polarity Antennas for wireless applications. MTI supplies antennas for both military and commercial markets from 100 KHz to 90 GHz.

Internationally recognized as a producer of commercial off-the-Shelf and custom-developed antenna solutions in a broad frequency range, MTI Wireless Edge addresses both commercial and military applications.

MTI supplies directional and omnidirectional antennas for outdoor and indoor deployments, including smart antennas for WiMAX, Broadband access, public safety, RFID, base stations and terminals for the utility market.

Military applications include a wide range of broadband, tactical and specialized communication antennas, antenna systems and DF arrays installed on numerous airborne, ground and naval, including submarine platforms worldwide.

Aerostat Operation Division

Via its system engineering division, the Group offers design and integration of aerostat operation systems along with the ongoing operation of Platform subsystems, SIGINT, RADAR, communication and observation systems.

Water Control & Management Division

Via its subsidiary, Mottech Water Solutions Ltd ("Mottech"), the Group provides high-end remote control solutions for water and irrigation applications based on Motorola's IRRInet state-of-the-art control, monitoring and communication technologies.

As Motorola's global prime-distributor Mottech serves its customers worldwide through its international subsidiaries and a global network of local distributors and representatives. With over 25 years of experience in providing customers with irrigation remote control and management, Mottech solutions ensure constant, reliable and accurate water usage, while reducing operational and maintenance costs. Mottech activities are focused in the market segments of agriculture, water distribution, municipal and commercial landscape as well as wastewater and storm-water reuse.

RF and Microwave Representative and Consultation Division

Via its subsidiary, MTI Summit Electronics Ltd. the group offers representative and expert consultation services specializing in RF and Microwave solutions and applications. It provides its services to international electronics suppliers operating in Israel, Eastern Europe, and Russia.