- NINE MONTHS REVENUES UP 18%
- STRONG Q3 SOFTWARE SALES
- FURTHER RISE IN MULTI-YEAR CONTRACTS, SECURING MID TERM GROWTH
- MEDIUM TERM FINANCIAL OBJECTIVES CONFIRMED
|Revenue in € thousands||2018||2019||Variation|
|9 months at constant exchange rate||38,404||43,614||14%|
|Revenue in € thousands||9M 2018||9M 2019||Variation|
|USA / Canada||15,382||17,502||14%|
Q3 figures are unaudited. H1 figures underwent a limited review by auditors.
Paris, November 5, 2019 - ATEME (ISIN: FR0011992700), the emerging leader in video delivery infrastructure, generated revenues of €15.4 million for the Third Quarter of 2019, up by 1% on a reported basis and down by 2% at constant currency.
Revenues for the First Nine Months stood at €45.5 million, up by 18% reported and by 14% at constant currency. All regions excepting Asia Pacific demonstrated a double-digit rise:
- The USA/Canada region remained the first contributor to revenues, at 39% of the group total, with a 14% year-on-year increase (7% at constant currency);
- EMEA revenues now represent 34% of the group total with a 22% year-on-year increase (21% at constant currency);
- Revenues were up by 1% in Asia Pacific (-4 % at constant currency), reflecting a tough comparison basis, with revenues up 48% in the corresponding period in 2018;
- Revenues in Latin America rose by 48% (40% at constant currency), reflecting notably the deployment of TITAN in multiple countries by a couple of strategic clients.
Third Quarter revenue growth was below the rate at the end of the First Half, but with a more favorable product mix, which should have a positive impact on gross margin and profitability.
ATEME also secured further recurring revenues, including subscription-based agreements with new streaming platforms and several multi-year deployment contracts with Tier 1 content and service providers. ATEME expects to secure further commitments from key customers in the Fourth Quarter. The pursuit of such contracts is a key component of ATEME's development strategy, aimed at higher predictability in topline growth, and enhancing control over the pace of investments. We are in the process of defining and will communicate on a metric reflecting the level of backlog and recurring revenues in 2020.
Michel Artières, CEO and President of ATEME, commented: "The first nine months of 2019 have been very positive in increasing the level of recurring revenues, thereby cementing the growth foundations of the company. The increased contribution of higher-margin software sales in the Third Quarter, together with a seasonality in the industry which favors the Second Half, means we are confident of an improved result for the year as a whole.”
January 30, 2020: Full Year 2019 revenues
About ATEME: the emerging leader of video delivery infrastructure, servicing the world greatest content and service providers.
ATEME was founded in 1991 as a design house with a focus on video processing. In the 2000s, ATEME specialized in video compression and shortly afterwards introduced a complete video delivery solution. In 2014 ATEME announced its initial public offering at Euronext Paris.
ATEME has and will continue to transform video delivery. ATEME was the first to market with a 10-bit 4:2:2 solution, the first production ready HEVC & HDR, and recently, the first true video delivery NFV software solution, designed to lead and win the service providers transition to video datacenter. To complement our cutting-edge technology, ATEME has partnered with leaders such as Intel, Apple and Microsoft to create the best in class video delivery solutions.
ATEME is a leading member of forums, and organizations, such as the DVB and SMPTE. ATEME actively participated at the ITU in the standardization of HEVC in 2013. In June 2014 ATEME joined the Alliance for Open Media to help develop the AV1 open and royalty-free video codec.
ATEME headquarters are Vélizy-Paris, with worldwide support and R&D offices in Rennes, Denver, Sao-Paulo, Singapore and Sydney. With a commercial presence in 18 countries, ATEME is 274 employees strong (as of 2019/06/30), including 110 of the world finest R&D video experts. In 2018 ATEME served close to 400 clients worldwide with revenues of €56.5 million, 93% of which was from overseas.
Name: ATEME - ISIN Code: FR0011992700 - Ticker: ATEME - Compartment: C
|ATEME||INVESTOR RELATIONS||PRESS RELATIONS|
|Michel Artières |
President and CEO
|Caroline Lesage |
Tel: +33 (0)1 53 67 36 79
|Anne-Catherine Bonjour |
Tel: +33 (0)1 53 67 36 93
This press release does not constitute or form part of and should not be construed as any offer for sale of or solicitation of any offer to buy any securities of ATEME, nor should it, or any part of it, form the basis of or be relied on in connection with any contract or commitment whatsoever concerning ATEME's assets, activities or shares.
All statements other than historical facts included in this presentation, including without limitations, those regarding ATEMEs' position, business strategy, plans and objectives are forward-looking statements.
The forward-looking statements included herein are for illustrative purposes only and are based on management's current views and assumptions. Such forward-looking statements involve known and unknown risks. For illustrative purposes only, such risks include but are not limited to impact of external events on customers and suppliers; the effects of competing technologies competition generally in main markets; profitability of the expansion strategy; litigation; ability to establish and maintain strategic relationships in major businesses; and the effect of future acquisitions and investments.
ATEME expressly disclaims any obligation or undertaking to update or revise any projections, forecasts or estimates contained in this presentation to reflect any change in events, conditions, assumptions or circumstances on which any such statements are based, unless so required by applicable law. These materials are supplied to you solely for your information and may not be copied or distributed to any other person (whether in or outside your organization) or published, in whole or in part, for any purpose.