On a quarterly basis, Q1 2016 had revenue €7.4 million, a 12.2% increase over Q1 2015. Revenues for the second quarter of 2016 were €7.5 million, a 32.3% year-over-year improvement.
Management cited the renewed confidence of media clients as a market driver along with an accelerating adoption of 4K / UHD. Several examples of 4K / UHD were given including TF1 and M6 broadcasting eight soccer matches from the 2016 European Football Championship and the broadcasting of the semifinals rounds of the French Open Tennis tournament.
ATEME highlighted its first major orders for the Company’s next-generation compression solution, TITAN (launched in early 2016). Those major orders were with DirecTV and an unnamed Tier1 cable operator in the US, along with Arcana (Malaysian satellite operator) and FPT Telecom (Vietnam).
Revenue by Geography:
- Revenues for the EMEA region during the first half of 2016 were €8.1 million, a 19.8% increase over 1H 2015. As a percentage of total sales, EMEA was 54% of revenue during 1H 2016, which compares to 55% during 1H 2015.
- The USA / Canada region contributed revenue of €4.1 million, a 47.4% rise over the year-earlier period. USA / Canada was 27.3% percent of total sales in the period versus 22.8% during 1H 2015.
- Latin America was responsible for €1.47 million of revenue during the first half, a slight decline of -0.7% versus 1H 2015. For 1H 2016, Latin America accounted for 9.8% of total sales, compared to 12.0% during 1H 2015.
- Asia Pacific accounted for €1.23 million of revenue, a decline of -1.1% versus the first half of 2015. The Asia Pacific region contributed 8.2% of total sales during 1H 2016, versus 10.0% during 1H 2015.
The strong growth in the EMEA and USA / Canada regions was attributed to investments made in prior periods including the opening of a new office in Denver.
The revenue results were announced in a press release. The full operating results will publish in late September. In the press release ATEME expressed an expectation of reducing operating loss during 1H 2016 from the €2.5 million loss recorded in the first half of 2015.
Commenting on the first half results, ATEME President Michel Artieres stated, “”The first half of 2016 marked an important stage in our commercial development in the United States where activity increased by almost 50%. The contracts secured during this period confirm the potential of our new TITAN software with major operators in both the US and Europe; sales of TITAN will further underpin growth over the second half in a market driven by the rise in video consumption around the world and the increasing penetration of Ultra High Definition (UHD). As such, we are confident in our ability to continue to improve our operating performance.”
Press Release: Ateme 1H 2016 Results
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