Amino Technologies Period-end Trading UpdateTuesday, June 8th, 2010
Amino Technologies plc (“Amino” or the “Company”; stock code: AMO), the Cambridge-based leader in digital entertainment solutions for IPTV, Internet TV and in-home multimedia distribution, provides the following update for the half-year ended 31 May 2010.
Continuing on from the strong order intake in the second half of the last financial year, the Company is pleased to report record first half revenues and unit sales booked in the period and a healthy order backlog at 31 May 2010. Gross margins are expected to be lower than in previous years as a result of foreign exchange rate movements, higher component prices and increased sales to higher volume Tier 2 customers. The Company also expects to report a ‘mark to market’ loss of approximately £0.5m on the remaining foreign exchange contracts. However, after these items, the Company expects to report a significantly reduced loss (FY09: loss of £3.1m).
Amino’s strategic and financial position remains robust and at 31 May 2010, the Company’s cash balance stood at £13.0m (30 Nov 2009: £9.0m).
The improved sales performance has been driven by the core IPTV business, where the Company has successfully transitioned its technologies to MPEG-4 and secured important contracts with Tier 2 operators including Romtelecom announced today. North America continues to show steady growth and the Company is encouraged by the strengthening demand in Eastern Europe and further contract wins in the growing Latin American market.
In the new OTT/hybrid market, Amino is pleased to confirm that it has already shipped products to its Tier 1 customer. The new Intel-based platform on which this box is based is attracting further strong interest.
Improvements in supply chain management remain a focus to improve the gross margin.
The Company will announce its interim results on 26 July 2010.
Commenting on the announcement, Keith Todd, Non-Executive Chairman said: “This has been an encouraging first half for Amino as we have built on the momentum towards the end of last year. The introduction of new products and the improving sales environment are resulting in a healthy backlog and provide confidence that we are in line with management forecasts for the full year. “