Excluding a contribution of €1m from AmberFin, which Dalet acquired in April 2014, the company’s revenue in the second quarter of 2014 was €9.7m, up 23% versus the same period a year ago, and up 27.6% versus the previous quarter.
Dalet published the table below to show the difference impact of the AmberFin acquisition.
Gross margins for the second quarter of 2014 were 82%, down from 89% last year, and up from 79% last quarter. This is the second consecutive drop in gross margins comparted to the previous year. The company attributed the lower y/y margin performance to due to a less favorable sales mix in the quarter.
On a product basis:
- Asset management revenue was €5.35m, or 50% of total revenue in the quarter
- TV Newsroom systems revenue was €2.89m, or 27% of total revenue in the quarter
- Sport solutions revenue was €535,000, or 5% of total revenue in the quarter
- Radio solutions revenue was €1.6m, or 15% of total revenue in the quarter
- Integration revenue was €321,000, or 3% of total revenue in the quarter
In terms of sales mix, license revenues decreased from 33% of sales in H1-2013 to 28% in H1-2014, associated professional services evolved from 30% to 23%, resale of hardware increased from 16% to 23%, recurring support revenues increased from 22% to 26% of revenues.
The company said that sales in the Americas increased by 21%, and the region now accounts for 40% of consolidated revenue. The increase in Americas revenue may be due in its win at Fox Sports 1, which is using Dalet’s “Sports Factory” as the end-to-end production and MAM system. Fox Sports 1 launches on August 17, 2013.
Europe accounted for 48% of revenue, while MEA and Asia-Pacific accounted for 8% and 4% respectively.
The company did not disclose any other financial metrics, including profitability.
Results for the First Half of 2014:
For the first six months of 2014, the company’s consolidated revenue was €18.4m, up 20% versus the first half of 2013. Excluding AmberFin, the company’s revenue for the first six months of 2014 is up 13% versus the same period in 2013.
Gross margins for the first half of 2014 were €14.9m, or 81%, down on a percentage basis from 87% for the first six months of 2013.
Dalet ended the second quarter of 2014 with €6.5 in cash, down from€7.7m on December 31, 2013.
Debt on June 30, 2014 stood at €5.6m, up from €2m on December 31, 2013, following the €3.4 million loan taken to finance AmberFin`s acquisition.
Press Release: Dalet Revenues for First Six Months of 2014: €18.4 million
Previous Quarter: Dalet Revenue Grows 3 Percent in Q1 2014
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