Focused on the bottom line
ecomsa, an Information and Communications Technology (ICT) company, is reshaping its product-mix and re-focusing its market target, in order to better adapt to the drastic changes in the economy. The, CEO of Tecomsa, said they plan to open a branch in the USA and have expanded their office in Cyprus which they established in 2016 in order to access the European market. Tecomsa also has a sister company in Germany. Diab said that the share of their exports in total output has increased from 60 percent to 70 percent. The company sells its services and software in the USA, Iraq, and Africa in addition to European countries such as the UK, Germany, France, Switzerland, and Italy. Diab said they are now relying on software development and other services for profit generation while they continue to sell hardware on a smaller scale because payments are made in cash and they support their cash flow. Their hardware sales have plummeted 60 percent due to the slump in local demand but they were offset by a growth of an equivalent rate in software and services. Overall turnover has decreased but their profit margin has improved from ten percent to 17-19 percent. The company has increased its workforce by 10-15 percent mainly in order to cope with the growth of its software development and digital marketing businesses, according to Diab. Tecomsa develops software systems for various businesses and institutions such as schools, clinics, laundries, and supermarkets. It is also involved in e-commerce and digital marketing and provides telecom services to mobile operators abroad such as voice and SMS services. Digital marketing was established a year ago and it is still in its early stages but it is a promising business, Diab said.
