Increased loss for security firm
Weak sterling and euro hit IndigoVision
Volumes increased, but at lower selling prices as the Edinburgh-based company reported an operating loss for the six months ended 30 June of $0.7m (2016: $0.3m).
The loss after tax was $0.7m (2016: $0.3m), representing a loss per share of 9.2 cents (2016: 4.1 cents). The company will not pay an interim dividend this year.
The Group is now in the latter stages of appointing an experienced Global Senior Vice President of Sales. A further announcement is expected to be made shortly.
Chairman George Elliott, giving his maiden speech after the retirement of Hamish Grossart, said: “The group’s sales profile and hence full year results continue to be heavily weighted towards the second half, this year somewhat more than last.
“However, the strength of the current sales pipeline means the Board continues to anticipate an improved operating result in 2017, broadly in line with expectations.”
Marcus Kneen, chief executive (pictured), commented: “During the first half of 2017, IndigoVision has been executing on our strategic objectives to grow North American revenues and, through innovation, differentiate our product offering.
“Our North American sales and support team has been restructured and expanded, providing a robust platform for future growth. Innovative, patent protected new products such as CyberVigilant®, provide a cost effective means to make systems using IndigoVision or third party cameras more safe from external threats, giving customers even more reason to choose IndigoVision”.
· Revenue $20.4m (2016: $21.8m), with increased volumes
· Gross margin 51.1% (2016: 52.1%)
· Overheads reduced by 6% to $11.2m (2016: $11.9m) despite $0.9m of investment in US expansion
· Operating loss $0.7m (2016: $0.3m)
· Net cash at 30 June 2017 $4.9m (2016: $4.6m) reflecting strong focus on working capital
· Major new project wins:
o Several casinos in North America
o A number of safe city projects in Latin America
o Major upgrades of airports across EMEA
· Product developments included:
o CyberVigilant®, IndigoVision’s patented technology providing anomaly detection and monitoring within video networks
o Advanced analytics using artificial intelligence, powered by BriefCam