Market warms to ANT on improved 2H performance despite wider losses in 07
ANT plc (ANTP.L), a provider of advanced consumer device software solutions and services for digital TV, reported that its revenue for the year ended December was £2.9m, down 21%, while pre-tax losses increased 82% to £2.0m.
The results were inline with expectations, and the market liked the improvement in business seen in the second half of the year and the buoyant start to 2008.
ANT’s shares were up 71% to 26.5p in early trading, valuing the Cambridge-based company at around £6.5m
Chairman Royston Hoggarth (pictured) said : “2007 was a year of transition. After a difficult start, performance in the second half was much improved. We saw good growth in unit shipments demonstrating uptake from digital media subscribers and we expect to see further growth in 2008. Several of our licensees signed new deals with operators which they expect will commence shipment in the current year, and work to transition new and existing customers towards higher margin ANT Galio products is underway.
“In addition, we are uniquely positioned to benefit from the roll out of SA/Cisco's IPTV platform as their service platform and applications supplier of choice.
“We enter 2008 with our high gross margin maintained, a stable, relatively fixed cost base, and a strong cash position.
“The strategic review of our business carried out over the past six months has confirmed our belief in the value potential of our technology. The capability of our technology is not limited to IPTV; cable, satellite and terrestrial TV are also prime targets for our products. Our technology is also capable of enriching the user interfaces of a variety of other devices and we will selectively pursue new opportunities as they continue to present themselves.
The company said the IPTV market was starting to experience meaningful growth, and that its solution was increasingly seen as proven.
Unit shipments from licensees in 2007 increased 40% to 2.03m units, with unit royalty rates rising by 22%.
The company also said it had appointed Pauline Ingram as Finance Director. She has been with the group for three years in other finance roles.
28 February 2008
