LONDON (ShareCast) - (Sharecast News) - Water Intelligence on Monday said third quarter revenue beat expectations after strong growth, while profits were comfortably in line.

The leak detection specialist recorded $24.7m for the three month period ended 30 September, which was 34% higher than in the third quarter of 2018, as turnover from US corporate-operated locations grew by 47% to $10.7m.

Meanwhile, revenue grew by 27% to $2.8m at international corporate-owned locations, franchise sales jumped by 45% to $6.1m and franchise royalties from the American Leak Detection business increased by 4% to $5.1m.

Net cash stood at $2.7m at the end of the period, up from $2.2m at 30 June.

In the coming months, the company's American and British teams will collaborate to launch a municipal leak detection business in US, a proprietary sewer and wastewater diagnostic product will roll out in the fourth quarter.

Elsewhere, third quarter investment in Entertainment AI and the acquisition of e-commerce and video search technology will enable Water Intelligence to sell consumer water-related products.

The AIM traded company said it was confident that investment in technology would help to sustain its growth trajectory in 2020 and beyond, as Water Intelligence continues to seek a leadership role in providing solutions for the critical problems of water loss and contamination.

Executive chairman Patrick DeSouza said: "Global market demand for solutions to water loss from leakage is strong and continues to grow. We are accelerating our growth plan by building on our base of customers and adding more business lines such as municipal sewer and wastewater diagnostics and consumer sales of water / home services-related products and services via e-commerce.

"We are confident and have produced another strong set of numbers for both franchise and corporate-run operations across all of our key performance indicators."

Water Intelligence shares were up by 5.45% at 280.50p at 1023 GMT.

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