Archive for the ‘broadcast technology market research’ Category

Dalet Revenue Jumps 22 Percent in 2011, Reports Strong Backlog for 2012

broadcast technology market research, Broadcast technology vendor financials, Quarterly Results | Posted by Joe Zaller
Feb 06 2012

Dalet, a provider of media asset management solutions, reported that its consolidated 2011 revenue was €31.2m, an increase of 22% versus 2010.  Including the contribution from Italian subsidiary GruppoTNT, which Dalet acquired in July 2010, revenue was up 6% versus last year.

Gross margin for the year was €24.9m, or 80%, up from 73% in 2010 due to the strong decline of GruppoTNT ‘s traditional hardware integration business in its domestic market. Dalet says GruppoTNT is now almost fully aligned with the the company’s core software business model.

Fourth 2011 quarter revenue was €10m, down 4% from the same period a year ago. However the gross margins for the quarter were 84%, up 10% versus the same period a year ago due to the favorable evolution of the sales mix.

The company says its order backlog for 2012 stands currently at €21m, compared to a backlog of €19m at the same time period last year.

.

Related Content:

Press Release: Dalet Announces 2011 Revenue

Dalet 1H 2011 Revenue Jumps 13 Percent on Strong European Sales

Previous Year: Dalet 2010 Revenue Increases 32 Percent

.

.

© Devoncroft Partners. All Rights Reserved.

 

 

 

Activist Shareholder Names New Proposed Directors for Miranda Technologies

broadcast technology market research | Posted by Joe Zaller
Jan 11 2012

JEC Capital Partners (JEC), which in December 2011 requisitioned a meeting of the shareholders of Miranda to replace four of the seven existing directors of Miranda with four new independent directors, has announced the names of the director nominees it intends to put forward at Miranda’s upcoming annual meeting of shareholders.

Miranda has previously rejected JEC’s request as invalid under the Business Corporations Act (Québec), which says a requisition must be signed by a registered shareholder of the Corporation, and that neither JEC nor JMB is registered in the Corporation’s securities register.

Nevertheless, JEC is pushing ahead with a slate of nominees its says have a wide range of industry, merger and acquisition, and corporate finance experience: Claude Fontaine, Clifford Press, Tim Thorsteinson and K. Peter Heiland. Short biographies of each of these proposed directors can be found below.

 

Biographies of the proposed directors

Claude Fontaine is a corporate director and a retired attorney, having been a partner and then senior partner in a major Canadian law firm for over 40 years where he specialized in corporate and securities law, including financing, mergers and acquisitions, business dispositions and corporate governance. With respect to corporate governance, Mr. Fontaine has often been called upon to review the governance systems of major Canadian corporations and has regularly advised public companies and Crown corporations on various aspects of their governance. Mr. Fontaine became a Certified Director of the Institute of Corporate Directors (ICD) in 2006, and has since acted as an ICD certification examiner and in 2009 was named a Fellow of the ICD. Mr. Fontaine is a member of the Boards of Directors or of the Advisory Committees of a number of Canadian companies, including CEPSA Chimie Montréal, CEPSA Chimie Bécancour, Optimum West Insurance Company and ProSep inc. (TSX:PRP). In the past, Mr. Fontaine has served as a director of Petro-Canada, Canadair Inc., Domtar Inc., and Optimum General Inc.

Tim Thorsteinson is the Chief Executive Officer of Enablence Technologies (TSX:ENA), where he was appointed to the Board of Directors in November 2009 and joined the management team as President and Chief Operating Officer and subsequently CEO in April 2010. Mr. Thorsteinson has successfully transformed several challenging businesses to growing, profitable, high-margin market companies delivering high rates of shareholder return. He recently served as President of the Broadcast Division at Harris Corporation with $650 million in revenue, and also served as a Harris Corporate Officer and was a member of the Harris Executive Committee. Prior to joining Harris Corporation, Mr. Thorsteinson was President and CEO at Leitch Technology where he oversaw the execution of a two-year turnaround plan that rebuilt value and positioned the company for a profitable sale.

Clifford Press is a managing member, partner and cofounder of Oliver Press Partners, an investment firm that invest in companies that are believed to be undervalued and which offer significant opportunity for appreciation through corporate transactions. Mr. Press began his professional career at Morgan Stanley in the firm’s mergers and acquisitions department and left in 1986 to form Hyde Park Holdings, a company which engaged in a number of investment and acquisition activities including the acquisition of High Voltage Engineering Corporation and the Detroit & Canada Tunnel Corporation, and is currently a director of GoldMoney Network, Ltd. and SeaBright Holdings Inc. (NYSE:SBX).

K. Peter Heiland is a Managing Director of JEC Capital Partners, LLC, a technology focused investment fund. Mr. Heiland also currently serves on the board of directors of SAM Technologies GmbH and the GSI Group, Inc. (NASDAQ:GSIG). Prior to founding JEC Capital Partners, Mr. Heiland was the founder, owner, and CEO of Integrated Dynamics Engineering, a technology leader that serves a number of large customers, including Nikon, CANON, ASML, Applied Materials, KLA Tencor, and Hitachi. In January of 2008, IDE was acquired by Aalberts Industries.

.

.

Related Content:

JEC Press Release: JEC Capital Names Proposed Directors of Miranda Technologies Inc.

Miranda Rejects Activist Shareholder Request as Invalid

JEC Press Release: Miranda Technologies Calls Early Shareholders Meeting After Pressure From JEC and Other Concerned Shareholders

Activist Shareholder Remains Convinced That Miranda Technologies is Undervalued

Miranda Responds to Activist Shareholders

Activist Shareholders Seek To Replace Four Board Seats at Miranda Technologies

 

.

© Devoncroft Partners. All Rights Reserved.

.

 

Activist Shareholder Remains Convinced That Miranda Technologies is Undervalued

broadcast technology market research | Posted by Joe Zaller
Dec 24 2011

JEC Capital Partners (JEC), which along with JMB Capital Partners recently requisitioned a meeting of the shareholders of Miranda to replace four of the existing seven directors of Miranda Technologies with four new independent directors, said today that despite a statement from Miranda, it remains convinced that Miranda is significantly undervalued.

JEC Managing Partner Peter Heiland said in a press release that Miranda’s board has “failed to date to successfully push forward proper initiatives to maximize shareholder value.”

“We are one of Miranda’s largest shareholders and are well-informed, long-term investors,” said Heiland. “We were surprised and disappointed by the inaccurate and misleading characterization of our prior interaction with the Board made by the Chairman of the Company. On December 1 of this year, JEC requested the simple opportunity to exchange directly and informally with the directors on issues of value creation and necessary change at Miranda. We told Miranda that other large shareholders, like JEC, believe the share price will continue to languish well below its potential unless concrete steps to maximize value creation are taken, beginning with changes at the Board. Rather than accept JEC’s invitation for dialogue directly, the Board chose to communicate only through its third-party advisors.

“We provided Miranda’s Board with the names and biographies of three (3) independent director candidates and one (1) shareholder representative director candidate, all of whom are highly qualified and would make exceptional directors for Miranda. We encouraged the Company to either expand the current Board to accommodate at least two new directors or replace at least two existing directors with new, more qualified nominees.

“The Board’s refusal to discuss these issues directly reinforces JEC’s belief that Miranda’s current Board, which holds less than 0.3% of the outstanding shares of the Company, and its Chairman will continue to ignore the genuine interests of the concerned shareholders of Miranda and their desire for meaningful change.

“The current Board’s out of touch view that it has strong support among shareholders is shocking. We shared our opinions on the Company and our strategy for maximizing value with large shareholders prior to requisitioning a shareholder meeting. We believe that we have the support of several of the Company’s largest shareholders. Given the current Board’s stated confidence in shareholder support of its position, we urge Miranda to proceed with a shareholders’ meeting as quickly as possible and by no later than the end of January. Any delay in holding the meeting will signal that the Board knows that it does not have the shareholder support that it professes to have and is entrenching itself.”

.

.

Related Content:

JEC Press Release: JCE Responds to Miranda Technologies

Activist Shareholders Seek To Replace Four Board Seats at Miranda Technologies

Miranda Responds to Activist Shareholders

.

© Devoncroft Partners.  All Rights Reserved.

.

More Broadcast Vendor M&A: Private Equity Firm Acquires Telestream

broadcast technology market research, Broadcast Vendor M&A | Posted by Joe Zaller
Dec 21 2011

Transcoding technology provider Telestream announced that it has entered into a definitive agreement to sell the company to Thoma Bravo, a private equity firm. Terms of the deal were not disclosed.

The company said the deal will facilitate further growth of Telestream’s core businesses and provide additional capital for further market expansion and acquisition

Telestream is not a stranger to M&A having previously self-financed three acquisitions: compression specialist Popwire in 2006; live webcasting and screencasting provider Vara Software Ltd. in 2008; and Anystream, a leading provider of automated multi-platform media publishing solutions in 2010.

Telestream will continue to operate as an independent entity with existing management teams continuing their current roles. Headquarters will remain in Nevada City, California with offices in Virginia, Sweden and Germany.

Telestream says it has been profitable since 2001, and anticipates ending 2011 with thirteen straight years of record sales growth.

“This acquisition recognizes Telestream’s history of market leadership, double-digit growth and profitability,” said Dan Castles, Telestream’s co-founder and CEO. “That growth would not be possible without our original investors and dedicated team of employees who have demonstrated a strong commitment to our customers. We look forward to our next phase of growth and expansion with Thoma Bravo as we continue to play a leadership role in the digital media industry.”

“Thoma Bravo is excited to partner with Telestream’s existing management team to continue to expand the company’s market leadership position,” said Holden Spaht, partner at Thoma Bravo.  ”We look forward to building on the company’s impressive reputation for product innovation, strategic acquisitions, and world-class customer service.”

“The video ecosystem continues to grow and expand as customers require increasingly complex tools to manage their end-to-end video workflows,” said A.J. Rohde, vice president at Thoma Bravo. “Thoma Bravo sees significant opportunity in the digital media market, and Telestream is well positioned as a strong platform for increased investment in the industry.”

.

.

Related Content:

Press Release: Thoma Bravo to Acquire Telestream to Accelerate Business Growth

.

.

.

© Devoncroft Partners. All Rights Reserved.

 

.

 

Ranking Broadcast Technology Vendors Part 6 – The 2011 BBS Broadcast Technology Vendor Reliability League Table

broadcast technology market research | Posted by Joe Zaller
Dec 01 2011

This is the ninth in a series of articles about some of the findings from the 2011 Big Broadcast Survey (BBS), a global study of broadcast industry trends, technology purchasing plans, and benchmarking of broadcast technology vendor brands.  More than 8,000 people in 100+ countries took part in the 2011 BBS, making it the largest and most comprehensive market study ever done in the broadcast industry.

Each year, as part of the Big Broadcast Survey (BBS), we ask broadcast professionals worldwide to rank a variety of technology vendor brands on a wide range of metrics.  We use this information to create a series of reports, which through benchmarking and industry “league tables” enable each vendors to understand its position in the market relative to their the industry as a whole as well as their direct competitors.

In previous articles we wrote about the 2011 BBS Overall Brand Opinion League Table, the 2011 BBS Net Change in Overall Opinion League Table, the 2011 BBS Brand Opinion Leaders League Table, 2011 BBS Broadcast Technology Vendor Innovation League Table, and the 2011 BBS Broadcast Technology Vendor Quality League Table.

.

.

This post continues follows on from the 2011 BBS Broadcast Technology Vendor Innovation League Table, by focusing on one of the most important metrics for any technology company – reliability.

Broadcast technology products are purchased by discerning customers for what are often mission-critical applications.  Thus the reliability of products is a paramount concern for buyers of these products.

 

To measure the rankings of the reliability of vendors, respondents were asked to rank broadcast technology vendor brands for “Reliability” on a scale of 1-10 – with 10 being best in the market, and 1 being worst in the market.  The top 30 ranked brands for Reliability are shown below for the global sample of all respondents.

 

In all cases, these results are shown in alphabetical order, NOT in the order in which they are ranked in the 2011 BBS market study. 

.

The 2011 BBS Broadcast Technology Vendor Reliability League Table

 

.

As with previously published rankings, this list contains a broad mix of vendors including large and small firms; single product and multi-product firms; global and regional players; and audio and video technology providers.

In order to better understand what drives the perception of reliability in the broadcast technology industry, let’s look deeper at the vendors on this list, beginning with the type of products produced by each vendor on this list.

.

Frequency of Product Category – Hardware Products Dominate Rankings

What about the product categories themselves?  Are some product categories inherently perceived as having higher reliability?  If so are these products evaluated differently than others types of products by customers who are evaluating them for purchase?

As shown in the chart below, there are a very broad range of product categories included in the 2011 BBS Broadcast Technology Vendor Reliability League Table – indeed vendors that make products in 22 of the 26 product categories that were covered in the study.

However, when you look at the frequency of the product categories produced by these vendors, it’s immediately apparent that the top categories are hardware-oriented products.

.

2011 BBS Reliability League Table — Frequency of Product Categories:

.

As with the previously published quality rankings, the top two products categories for reliability are both from the audio side of the business – with microphones and audio consoles.  This is an interesting data point, especially when one considers that out of 26 product categories covered in the 2011 BBS, only 5 were in the audio space. Camera lenses, signal processing and video editing are next with three appearances each.

As mentioned previously, this list is dominated by hardware-oriented products.  Video editing is the only software product in the top 10 rankings on this list.

.

2011 BBS Reliability League Table — Number of 2011 BBS Product Categories per Brand:

When considering what drives the perception of reliability, one question to consider is which type of vendor appears more often in the above ranking – those that are focused on a single type of product, or large multi-product vendors.

While our research does not evaluate each product produced by every vendor, we do we put vendors into categories based on their product lines.  This gives a good representation of whether a particular vendor has a narrow or broad product-line-up.

The table below shows the number of 2011 BBS product categories produced by each brand (as defined by the segmentation used in the 2011 BBS).

.

As with previously published rankings, the majority (22/30) of the brands on the above list provide products in just one of the product categories we measured as part of the 2011 BBS study.

Please note that this is not a measure of company size, but rather a measure of how many product categories each of the above vendors was included in the 2011 BBS. For example some of the “single product category companies” on the above list — such as Adobe, Apple and Dolby – are quite large.

Yet with 22 out of 30 vendors on this list producing a product in only one 2011 BBS category (out of 26 measured) it appears that that focused, specialized companies are regarded as reliability leaders in the eyes of the market. Nevertheless it’s also worth pointing out that many multi-product companies are well regarded for reliability. For example, in the 2011 BBS and Evertz and Snell are covered in five product categories; Sony is in 4 product categories; EVS is covered in three categories; and Canon, Cisco and Rohde & Schwarz appear two times each.

.

Please keep in mind when reviewing this information that all data these charts are presented in alphabetical order, not in the order brands were ranked by respondents to the 2011 BBS.  Also, the charts in this posting measure the responses of all non-vendor participants in the 2011 BBS respondents, regardless of their company type, company size, geographic location, job title and budget for broadcast technology products.  Finally please note that this study evaluated a total of 118 brands.

 .

In order to get full value from this data, it is necessary to evaluate these results on a granular basis.  If you would like more information, please contact Devoncroft Partners.

 .

.

This article is based on the findings from the 2011 Big Broadcast Survey (BBS), a global study of industry trends, technology purchasing behavior and the opinion of vendor brands.  With more than 8,000 people in 100+ countries participating, the 2011 BBS is the largest and most comprehensive market study ever done in the broadcast industry.

.

Devoncroft Partners has published a variety of reports from 2011 BBS data.  For more information, please get in touch.

.

.

Related Content:

Ranking Broadcast Technology Vendors Part 5 – The 2011 BBS Broadcast Technology Vendor Quality League Table

Ranking Broadcast Technology Vendors Part 4 – the 2011 BBS Broadcast Technology Vendor Innovation League Table

Ranking Broadcast Technology Vendors Part 3 – the 2011 BBS Brand Opinion Leaders League Table

Ranking Broadcast Technology Vendors Part 2 – the 2011 BBS Net Change in Overall Brand Opinion League Table

Ranking Broadcast Technology Vendors Part 1 – the 2011 BBS Overall Brand Opinion League Table

Where is Money Being Spent in the Broadcast Industry in 2011? The 2011 BBS Broadcast Industry Global Project Index

Tracking Changes in Broadcast Industry Trends — 2011 Versus 2010

Broadcast Industry’s Most Comprehensive Market Study Reveals Top Trends  of 2011

More Information About the 2011 Big Broadcast Survey from Devoncroft Partners

.

.

EVS Reports Q3 2011 Results, Issues Strong Guidance

broadcast technology market research, Broadcast technology vendor financials, Quarterly Results | Posted by Joe Zaller
Nov 10 2011

Production and playout video server specialist EVS reported that its revenue for the third quarter of 2011 was €29.8m, a decline of 10.2% versus the same period a year ago, and an increase of 27% versus the previous quarter.   Excluding currency fluctuations and big event rentals, which are a major revenue driver for EVS, the company said its revenue decreased just 1.6% versus the same period a year ago.

Gross margins for the quarter were 81.0% for 3Q11, slightly lower than 3Q10, , but up from 76.9%, last quarter. The company attributed the dip in gross margins to lower sales absorbing fixed assembling and support costs.

Operating expenses increased by 11.4% in 3Q11, partially as a result of the increased number of new employees at EVS. Due to lower sales and higher opex, the operating (EBIT) margin fell to 46.6% of revenue, compared to 55.0% in during the same period last year, and 35% last quarter.

On a segment basis, studio represented 38.7% of revenue, with outside broadcast making up the remainder. Studio revenue was €11.53m, up 1.3% from €11.4m last year and up 20% versus last quarter.  Outside broadcast revenue was €18.3m, down 16.3% versus last year, and up 33% versus last quarter. Revenues in 3Q10 included €2.3m of rentals relating to the World Cup and the Youth Olympic Games.

On a geographic basis:

  • Revenue from the EMEA region was €16.8m, down 3.9% versus last year and up 77% compared to last quarter.  The company said that the UK, Eastern Europe and the Middle East are clear drivers of the business in 2011. For the first 9 months of 2011, EMEA sales were €40.2m, down 9.8% versus the same period in 2010.

 

  • Revenue from the Americas region was €6.8m, down 17.9% versus last year and down 16% versus the previous quarter. The company said that US market continues to be driven by upgrades of existing to HD, and the building of new OB vans. For the first nine months
    of the year, the company’s revenue in the Americas was €19.5m, down 21.9% versus the same period last year.

 

  • APAC revenue for the quarter was €6.2m, a decrease of 6.6% versus last year, and up slightly versus last quarter.  For the first nine months of the year, APAC revenue increased by 9.9% to €16.3m.

 

.

Year-to-date Results

For the first nine months of the year, EVS revenue was €75.9 million, down 9.9% versus last year, but up 1% excluding the impact of big event rentals and currency fluctuations.  YTD gross margins were 78.6% for versus 80.6% last year.  Operating margins for the first nine months of 2011 were 41.0%, down from 51.9% last year due mainly to lower sales.

.

EVS CFO Jacques Galloy said: “In 3Q11, sales amounted to €29.8m, leading to slightly higher sales in the first nine months of 2011 at constant exchange rate and excluding the big event rentals. As anticipated, the operating margin improved sequentially to 46.6%, mainly thanks to higher revenues and despite our investment in innovation as our operating expenses increased by +11.4% in 3Q11 vs.3Q10. Recently, we confirmed the largest deal in the history of EVS, with more than €10 million for the equipment of 12 OB vans in Russia. We also signed the rental contract for the Olympic Games in London next year. The Board confirms 2011 sales to near 2010 record before a stronger 2012.”

.

.

Related Content:

Press Release: EVS  REPORTS REVENUE AND RESULTS FOR 3Q11

EVS Q3  2011 earnings presentation to equity analysts

EVS CEO Pierre L’Hoest Steps Down

Previous Quarter: EVS Reports Q2 2011 Results

Previous Year: EVS Q3 2010 Revenue up 69.4%, Delivers 55% Operating Margins

.

.

Despite Record Revenue, DG Reports $4.1m Loss for Q3 2011 Due to Acquisition Related Expenses

broadcast technology market research, Broadcast technology vendor financials, Quarterly Results | Posted by Joe Zaller
Nov 10 2011

DG reported that its revenue for the third quarter of 2011 was $84.6m, up 52% versus the same period a year ago, and up 25% versus the previous quarter.  HD advertising revenue during the quarter increased 28% to $31.7m versus the same period a year ago.

Third quarter Adjusted EBITDA (a non-GAAP measure) increased 18% to $30.7 million compared to $26.1 million for the same period of 2010.

The company posted a GAAP net loss of $4.1m for the quarter, compared to GAAP net income of $9.9m last year, and GAAP net income of $10.2m last quarter.

The company said that its third quarter DG’s third quarter operating income was impacted by expenses of $10.6m related to the acquisition and integration of MediaMind and EyeWonder, which closed  July 26, 2011 and September 1, 2011, respectively.

On a segment basis, television generated revenue of $60.6m, an increase of 17% from the year earlier period. The Online Segment generated revenue of $24.0m, an increase of 490% from the year earlier period, due primarily to DG’s acquisition of MediaMind and EyeWonder.

“We continue to make good progress executing the integration of the acquisitions and repositioning DG as a global platform,” said Neil Nguyen, President and COO. “Our Online Segment showed solid growth, increasing the number of platform customers and revenue from data-driven products, while we began to invest in the development of cross platform products to address the demand for on-line video advertising and advanced TV solutions. In the TV Segment, we were pleased with the performance of our MIJO business unit in Canada and overall the ongoing adoption of HD by both advertisers and broadcasters. Our HD penetration also grew significantly to 17%.”

.

.

Related Content:

Press Release: DG® Reports Record Third Quarter 2011 Results

Previous Quarter: DG Fastchannel Q2 Revenue Increases 17 Percent, Misses Estimates

Previous Year: DG Fastchannel Q3 2010 Revenue Increases 18%, Driven by Strong Demand for HD

.

.

Vislink Reports Q3 2011 Results, Outlines Plans to Double Revenue Over Next Three Years

broadcast technology market research, Broadcast technology vendor financials, Quarterly Results | Posted by Joe Zaller
Nov 08 2011

UK-based Vislink plc, which owns the Advent, Link, MRC and Gigawave brands, issued a statement that provides an update on its Q3 2011 results, and outlines its strategy to double its revenue over the next three years.

.

Trading Update

Vislink’s revenue for the quarter ended 30 September 2011 was £14.8m, an increase of 24% versus the same period a year ago, and in line with management’s expectations.  Excluding the contribution from Gigawave, which was acquired by Vislink in June of 2011, the company’s revenue was up 6% to £12.6m.

Order intake during the quarter was £14.4m, an increase of 11% versus the same period a year ago.

Year-to-date order intake is  £36.2, up 9% versus the same period a year ago.  Including the contribution from Gigawave, year-to-date order intake at the end of the quarter was £39.5m. At the end of the quarter the company’s order book stood at £15.0m. The company said it has seen increased demand for its broadcast products in the Middle East and South America.

.

Company Strategy

Vislink says that following a full review of the business including an assessment of growth opportunities and technology drivers, it will:

  • continue to exploit the strengths of its established brands – Advent, Gigawave, Link, MRC and PMR

 

  • maintain investment through its core product development program particularly in IT based technologies such as IP transport over 3G/4G and WiFi infrastructures

 

  • exploit the continuing growth of video content contribution both in its traditional broadcast markets and also in other vertical markets

 

  • use partnerships to extend the use of its video technologies into semi-professional and prosumer markets

 

  • use partnerships to leverage its technologies into the surveillance markets beyond existing law enforcement and public safety customers

 

  • pursue applications for its products in defence, mining and utility verticals that provide incremental revenue opportunities beyond the core broadcast and surveillance business

 

  • create a software and services culture in order to build recurring revenues into the business model

 

  • seek “bolt on” acquisitions to strengthen its software and services capabilities exploiting the growth of cloud based IP transport technologies and content tagging

.

Based on the above strategy, the company believes that it can double its revenue to £80m within three years, while delivering an adjusted operating margin of 10%.

.

Company chairman John Hawkins said: “The improved order intake for the Group provided us with an order book of circa £15.0 million at the start of the fourth quarter. We remain optimistic that the final quarter of 2011 will show further improvement in trading; our key performance metrics are continuing to move us forward in a positive direction. The Group has strengthened the Board with the addition of two new non-executive directors, John Varney and Andrew Sleigh, both of whom provide an in depth knowledge of the broadcast and surveillance markets. They have already contributed to the formation of our strategy review and three year plan. The Group is returning to profit and has net cash. We have a realistic strategy which will provide long term growth and generate positive shareholder value.”

.

.

 

Related Content:

Vislink Interim Management Statement and Strategy Update November 2011

Vislink plc – Interim results for the six months ended 30 June 2011

More Broadcast Vendor M&A: Vislink Completes Acquisition of Gigawave for £3.75 Million

Vislink Interim Management Statement for 1H 2011

Vislink Says Orders Up in Q1, Expects to Post Smaller Loss for First Half of 2011

.

.

 

Chyron Posts Net Loss in Q3 2011 Despite Growing Revenue Nine Percent

broadcast technology market research, Broadcast technology vendor financials, Quarterly Results | Posted by Joe Zaller
Nov 04 2011

Broadcast graphics specialist Chyron announced that its revenue for the third quarter of 2011 was $7.47m, an increase of 9% versus the same period a year ago, but down 21% versus the previous quarter.

After posting its first positive net income in two and a half years last quarter, Chyron recorded a net loss of $3.5m during the third quarter of 2011, significantly worse than the net loss of $480,000 during the same period a year ago.  The company had net income of $84,000 last quarter.

Gross margins for the quarter were 69%, the same as for the third quarter of 2010.

Operating expenses were $6.02m for the third quarter of 2011, up 11% versus last year due to increased sales and marketing headcount, which in turn led to higher compensation and travel costs.  The company’s operating loss for the third quarter of 2011 was $870,000, compared to an operating loss of $670,000 last year.

Product revenue in the quarter was $5.36m, up 1% versus the same period a year ago, but down 28% versus the previous quarter.

Service revenue in the quarter was $2.11m, up 34% versus the same period a year ago, and up 6% versus the previous quarter. Service revenue contributed 28% of total revenue, versus 23% last year, and 21% of total revenue last quarter.

.

Year-to-date Results

For the nine months ended September 30, 2011, Chyron’s revenue was $23.5 million, an increase of 13% versus the first nine months of 2010. Year-to-date net losses are $3.85m, versus a net loss of $1.85m for the first nine months of 2010.

Product revenues for the first nine months of the year were $17.82m, an increase of 11%, compared to the comparable prior year period. Service revenues were $5.66m for the nine months of the year, up 22% versus the same period a year ago.  Year-to-date, service has contributed 24% of total revenue.

.

 

Chyron CEO Michael Wellesley-Wesley said that the company’s results for the third quarter of 2011 “displayed improvement given the current uncertain economic conditions in the U.S. and Europe with our top line showing modest growth over last year’s third quarter. Our services revenues increased 34% in the third quarter of 2011 over the same period in 2010 as we remain focused on expanding our Axis World Graphics platform. Operating expenses in the third quarter of this year showed a slight increase as we continue to invest in the future growth of the Company by making strategic hires for key sales positions. Going forward, we anticipate further improvements in 2012, especially in the domestic market owing to factors associated with the 2012 Olympics and the upcoming Presidential election. Internationally, we are looking for an increased contribution from our EMEA and Latin America operations as a result of the increased headcount in the sales department that have been put in place this year.”

.

.

Related Content:

Press Release: Chyron Reports Financial Results for the Third Quarter and First Nine Months of 2011

Previous Quarter: Chyron  Turns First Profit Since 2008 As Second Quarter 2011 Sales Jump 36 Percent

Previous Year: Chyron Grows Revenue 8% in Q3, Achieves EBITDA Breakeven as Losses Continue to Narrow

.

.

Ranking Broadcast Technology Vendors Part 5 – The 2011 BBS Broadcast Technology Vendor Quality League Table

broadcast industry technology trends, broadcast industry trends, broadcast technology market research, Broadcast Vendor Brand Research, market research, technology trends, Top Broadcast Vendor Brands | Posted by Joe Zaller
Nov 01 2011

This is the eighth in a series of articles about some of the findings from the 2011 Big Broadcast Survey (BBS), a global study of broadcast industry trends, technology purchasing plans, and benchmarking of broadcast technology vendor brands.  More than 8,000 people in 100+ countries took part in the 2011 BBS, making it the largest and most comprehensive market study ever done in the broadcast industry.

Each year, as part of the Big Broadcast Survey (BBS), we ask broadcast professionals worldwide to rank a variety of technology vendor brands on a wide range of metrics.  We use this information to create a series of reports, which through benchmarking and industry “league tables” enable each vendor to understand its position in the market relative to the the industry as a whole as well as their company’s direct competitors.

In previous articles we wrote about the 2011 BBS Overall Brand Opinion League Table, the 2011 BBS Net Change in Overall Opinion League Table, the 2011 BBS Brand Opinion Leaders League Table, and 2011 BBS Broadcast Technology Vendor Innovation League Table.

.

This post follows on from the 2011 BBS Broadcast Technology Vendor Innovation League Table, by focusing on one of the most important metrics for any technology company – quality.

In an industry that prides itself on the fidelity of its sound and images, the perception of quality is a very important metric for broadcast technology vendors.  Many vendors use quality as one of the key components of their market positioning, and customers often use technical performance and quality as a part of their procurement strategies.

To determine the market’s perception of the quality of broadcast technology vendors, respondents were asked to rank broadcast technology vendor brands for “Quality” on a scale of 1-10 – with 10 being best in the market, and 1 being worst in the market.

The top 30 ranked brands for overall opinion are shown below for the global sample of all respondents.

In all cases, these results are shown in alphabetical order, NOT in the order in which they were ranked in the study.

.

The 2011 BBS Broadcast Technology Vendor Quality League Table

.

As with previously published rankings, this list contains a broad mix of vendors including large and small firms; single product and multi-product firms; global and regional players; and audio and video technology providers.

In order to better understand what drives the perception of quality in the broadcast technology industry, let’s look deeper at the vendors on this list, beginning with the type of products produced by each vendor.

 .

Frequency of Product Category – Audio Takes 4 of Top 7 Spots

What about the product categories themselves?  Are some product categories inherently perceived as having higher quality?  If so are these products judged differently than other types of products by customers who are evaluating them for purchase?

As shown in the chart below, there is a very broad range of product categories included in the 2011 BBS Broadcast Technology Vendor Quality League Table – vendors that make products in 23 of the 26 product categories that were covered in the study.

However, when one looks at the frequency of the product categories produced by these vendors, it’s immediately apparent that the top categories are audio products.

.

2011 BBS Quality League Table — Frequency of Product Categories:

 

.

The top two products categories for quality are both from the audio side of the business – microphones and audio consoles.  In fact, four of the top seven product categories in this ranking are audio related, with only highly complex video products — video editing, camera lenses and ENG cameras — being included in this group.  This is an interesting data point, especially when one considers that out of 26 product categories covered in the 2011 BBS, only five were in the audio space.

The other product categories that appear multiple times are clustered in the live production and studio environments, and include camera lenses, studio cameras, production switchers, production servers, test and measurement and video transport.  Interestingly these products tend to be high ticket items that are produced by the industry’s larger vendors.

Since the industry’s largest vendors tend to operate in the most product categories, let’s evaluate the number of times each vendor appears in the 2011 BBS Broadcast Technology Vendor Quality League Table to see if there is a correlation between size of vendor / product range and the market’s perception of quality.

.

2011 BBS Quality League Table — Number of 2011 BBS Product Categories per Brand:

When considering what drives the perception of quality, one question to consider is which type of vendor appears more often in the above ranking – those that are focused on a single type of product, or large multi-product vendors.

While our research does not evaluate each product produced by every vendor, we do put vendors into categories based on their product lines.  This gives a good representation of whether a particular vendor has a narrow or broad product-line-up.

The table below shows the number of 2011 BBS product categories produced by each brand (as defined by the segmentation used in the 2011 BBS).

 

.

As shown above, the vast majority of the companies in the 2011 BBS Broadcast Technology Vendor Quality League Table provide products in just one of the product categories we measured as part of the study.

Please note that this is not a measure of company size, but rather a measure of how many product categories each of the above vendors was included in for the 2011 BBS. For example some of the “single product category companies” on the above list — such as Adobe, Dolby and Shure – are quite large.

Yet with 21 out of 30 vendors on this list producing a product in only one 2011 BBS category (out of 26 measured) it appears that that focused, specialized companies are regarded as quality leaders in the eyes of the market.  Nevertheless it’s also worth pointing out that large companies can also be considered industry innovators. For example, in the 2011 BBS study, Avid is covered in seven product categories, Snell is covered in five product categories, Sony is covered in four product categories and EVS appears three times.

To further illustrate this point, the chart below shows the number of 2011 BBS product categories per vendor in the 2011 BBS Broadcast Technology Vendor Quality League Table.

.

Number of products per vendor – Single Product Companies Dominate Quality Rankings

A breakdown of how many product categories are produced by each vendor in the 2011 BBS Broadcast Technology Vendor Quality League Table is shown below:

.

With more than two-thirds of the vendors in the 2011 BBS Broadcast Technology Vendor Quality League Table producing a product in just one 2011 BBS product category, this table clearly suggests that focused companies who apply their efforts to specialist product areas are often able to generate a higher perception of quality in the eyes of the market.

Of course, companies are listed here based on how many 2011 BBS product categories they produce, which is not an absolute measure of the products produced be each vendor. There are some very large companies on the list above who appear in just one 2011 BBS category. In total, the 2011 BBS looked at 118 vendors in 26 separate product categories (based on the IABM’s industry model), but even so, it did not necessarily cover the entire product range of all vendors.

Please keep in mind when reviewing this information that all data in these charts is presented in alphabetical order, not in the order brands were ranked by respondents to the 2011 BBS.  Also, the charts in this posting measure the responses of all non-vendor participants in the 2011 BBS respondents, regardless of their company type, company size, geographic location, job title and budget for broadcast technology products.  Finally please note that this study evaluated a total of 118 brands.

 .

In order to get full value from this data, it is necessary to evaluate these results on a granular basis.  If you would like more information, please contact Devoncroft Partners.

 .

.

This article is based on the findings from the 2011 Big Broadcast Survey (BBS), a global study of industry trends, technology purchasing behavior and the opinion of vendor brands.  With more than 8,000 people in 100+ countries participating, the 2011 BBS is the largest and most comprehensive market study ever done in the broadcast industry.

.

Devoncroft Partners has published a variety of reports from 2011 BBS data.  For more information, please get in touch.

.

.

Related Content:

Ranking Broadcast Technology Vendors Part 4 – the 2011 BBS Broadcast Technology Vendor Innovation League Table

Ranking Broadcast Technology Vendors Part 3 – the 2011 BBS Brand Opinion Leaders League Table

Ranking Broadcast Technology Vendors Part 2 – the 2011 BBS Net Change in Overall Brand Opinion League Table

Ranking Broadcast Technology Vendors Part 1 – the 2011 BBS Overall Brand Opinion League Table

Where is Money Being Spent in the Broadcast Industry in 2011? The 2011 BBS Broadcast Industry Global Project Index

Tracking Changes in Broadcast Industry Trends — 2011 Versus 2010 Broadcast Industry’s Most Comprehensive Market Study Reveals Top Trends of 2011

More Information About the 2011 Big Broadcast Survey from Devoncroft Partners

.

.