By Sabela Ojea
TomTom NV said Wednesday that it swung to a net loss for the second quarter of 2020 and that its operational revenue is on track to recovery from the lows it experienced in April due to the coronavirus pandemic.
The Dutch navigational-technologies company, which sold its telematics unit last year to focus on location technology, posted a net loss of 62 million euros ($70.7 million) when stripping out the telematics unit. This compares with net profit of EUR742 million for the same period a year earlier.
Group revenue decreased by 41% to EUR124 million, the company noted.
"During these turbulent times, we are maintaining our investment level in research and development, laying the foundations for future success. We are making good progress on our 2020 priorities with further development of our connected navigation product and improvements to our Maps APIs [web services to create web and mobile applications]," Chief Executive Harold Goddijn said.
The company had net cash of EUR373 million at June 30.
Write to Sabela Ojea at email@example.com; @sabelaojeaguix