Actusnews Wire - Professional broadcaster of corporate and regulated information, authorised by the AMF and the CSSF.

  DALET company press release from 17/09/2018

  17/09/2018 - 19:45

FINANCIAL RESULTS FIRST SEMESTER 2018: Revenue growth - Significant decrease in seasonal losses - 2018 Objectives confirmed


Paris, 17 September 2018

FINANCIAL RESULTS FIRST SEMESTER 2018:

Revenue growth

Significant decrease in seasonal losses

2018 Objectives confirmed

In € millions H1 2017 H1 2018 Variation
Revenues 22.7 25.2 +11%
Cost of goods and third-party services resold 2.7 3.0 +9%
Commercial gross profit 20.0 22.2 +11%
Other cost of revenues 7.9 9.0 +13%
Gross profit 12.0 13.2 +10%
Gross margin 53% 52% -
Research and development 6.0 6.4 +7%
Selling and marketing 4.9 4.8 -1%
General and administrative 2.6 2.7 +3%
Current operating income (1.4) (0.7) +49%
Operating income (1.4) (0.7) +48%
Net income, Group share (1.9) (0.9) +56%

 

DALET, a leading provider of software solutions for the creation, management and distribution of multimedia content for broadcasters, operators and content producers, has published its financial results for its first half-year ended June 30, 2018.

Total revenues for the semester were up by 11% at €25.2 million as compared to the first half of 2017. Gross profit, which includes the cost of services, increased at a rate similar to revenues, to €13.2 million.

The group continued to increase its investments in Research and development at a slightly lower rate than the growth of revenues (25% of revenues vs. 26% for the previous year). Selling and Marketing expenses were stable, General and Administrative expenses rose slightly.

The resulting current operating loss decreased significantly by 49% to -€0.7 million, as compared to
-€1.4 million for the first half of 2017. It is noted that Dalet's business experiences significant seasonality, with higher revenues in the second semester compared to the first semester, while expenses are almost fixed.

After financial expenses and tax, net income for the semester amounted to a loss of €0.9 million as compared to a loss of €1.9 million for the first semester of 2017.

Solid financial position

Cash flows linked to operations amounted to €0.6 million, as compared to €2.3 for the first semester last year, due to an exceptional increase in working capital. On 30 June 2018, net cash (cash + restricted cash - short and long term debt) stood at €0.7 million.

Perspectives

Dalet confirms its targets for 2018 for high single-digit revenue growth and of a current operating margin of 5 to 6%.

While the market still exhibits some lag in the customer decision-making cycle, Dalet expects to boost order intake in the upcoming months thanks to the introduction of its latest technology innovations which have been well received at the recent IBC show in Amsterdam.

Next publication

Q3 revenues on 6 November 2018 after the close of trading

About Dalet Digital Media Systems

Dalet solutions enable broadcasters and media professionals to create, manage and distribute content to both traditional and new media channels, including interactive TV, the Web and mobile networks. Dalet combines into a single system a robust and proven Asset Management platform with advanced metadata capabilities; a configurable workflow engine, and a comprehensive set of purpose-built creative and production tools. This integrated and open environment enables end-to-end management of the entire News and Sport and Program content chain, and allows users to significantly improve efficiency, and to maximize the use and value of their assets. Dalet's solutions are delivered through a dedicated Professional and Integration Services Department to ensure the highest possible standards.

Dalet systems are used around the world by many thousands of individual users at hundreds of TV and Radio content producers, including public broadcasters (ABS-CBN, BBC, CBC, DR, France TV, RAI, RFI, Russia Today, RT Malaysia, VOA), commercial networks and operators (Canal+, FOX, eTV, Mediaset, NBC Universal, Time Warner Cable, Warner Bros., SiriusXM) and government organizations (UK Parliament, NATO, United Nations, Veterans Affairs, NASA).

Dalet is traded on the NYSE-EURONEXT stock exchange (Eurolist C): ISIN: FR0011026749, Bloomberg DLT:FP, Reuters: DALE.PA. For more information on Dalet, visit www.dalet.com

Contacts

Actus Finance & Communication :

Investors: Théo Martin +331 53 67 36 75

 Press-Media : Vivien Ferran +331 53 67 36 34

APPENDIX: DETAILED FINANCIAL INFORMATION H1 2018

INCOME STATEMENT BY FUNCTION 30 june 2017 30 june 2018
(in € thousands) 6 months 6 months
     
Revenues 22 694 25 166
Cost of revenues - 10 657 - 11 965
Gross Profit 12 037 13 201
Research and development - 5 992 - 6 423
Selling and marketing - 4 890 -4 839
General and administrative - 2 600 - 2674
Current operating income - 1 445 - 734
Other income and expenses from operations 76 16
Operating income -1 369 - 718
Net financial income (expense) - 325 110
Pre-tax income - 1 694 -608
Income tax -246 -246
Net consolidated income - 1 940 -854
Net income, Group share -1 940 - 854

 

BALANCE SHEET 31 dec 2017 30 june 2018
(in euro thousand)    
     
Goodwill 5 476 5 481
Intangible assets 5 034 5 009
Property, plant and equipment 1 286 1 197
Long-term financial assets 349 389
Long-term restricted cash 417 409
Other non-current assets 2 343 2 695
Deferred tax assets 58 57
NON-CURRENT ASSETS 14 963 15 236
Inventories 353 302
Trade receivables 1 7823 18 459
Sundry debtors 1 288 2 115
Cash and cash equivalents 6 528 4 522
Current tax assets 412 365
CURRENT ASSETS 26 404 25 764
TOTAL ASSETS 41 366 41 000
     
Capital 7 189 7 189
Premiums 9 682 9 682
Consolidated reserves -3 904 -3187
Consolidated income, Group share 727 -854
Translation reserves 1 495 1 450
Shareholder's equity (attributable to the Group) 15 189 14 279
Non-controlling interests 9 9
SHAREHOLDER'S EQUITY 15 198 14 289
Long-term financial debt 2 550 2 700
Long-term provisions 733 711
Deferred tax liabilities 548 671
Other non-current liabilities 811 863
NON-CURRENT LIABILITIES 4 641 4 946
Short-term provisions 609 154
Short-term financial debt 1 789 1 487
Current tax liabilities 101 36
Suppliers 3 077 3 475
Tax and social security liabilities 4 583 4 856
Other creditors 11 369 11 757
CURRENT LIABILITIES 21 527 21 765
TOTAL LIABILITIES 41 366 41 000

 

STATEMENT OF NET CASH FLOWS 30 june 2017 31 dec 2017 30 june 2018
(in € thousand) 6 months 12 months 6 months
Consolidated net income (including non-controlling interests) - 1940 728  -854
+/- Depreciation, amortisation and provisions (except on current assets) 1 764 4 397 1 619
+/- Impairment losses – Long term assets      
+/- Income and expense linked to stock options and similar 42 72 29
-/+ Other income and expense      
-/+ Gains and losses on disposals 2 6 -8
Cash flow after cost of net financial debt and tax -132 5 202 786
+ Cost of net financial debt 32 7 -68
+/- Tax expense (including deferred taxes) 246 754 246
Cash flow before cost of net financial debt and tax (A) 146 5 963 964
- Tax paid (B) - 247 - 480 - 236
+/- Change in working capital requirement from operating activities (including liabilities for employee benefits) (C) 2 447 -449 -102
= NET CASH FLOW FROM OPERATING ACTIVITIES (D) = (A + B + C) 2 345 5 035 626
       
- Cash outflow for acquisitions of property, plant and equipment and intangible assets - 1 764 -3 602 -2 000
+ Cash from disposals of property, plant and equipment and intangible assets 76 83 28
+/- Impact of changes of scope      
+/- Change in loans and advances made -72 -10 -30
= NET CASH FLOW FROM INVESTMENT ACTIVITIES (E) - 1 761 -3 509 -2 002
       
-/+ Repurchase and resale of treasury shares -9 -1 -28
+ Cash from new borrowings 423 1 020 800
- Loan repayments (including finance leases) -649 -1 411 -614
- Net financial interest paid (including finance leases) -24 6 67
+/- Other cash flows from financing activities -712 -727 -904
= NET CASH FLOW FROM FINANCING ACTIVITIES (F) -971 -1 114 -679
       
+/- Impact of changes in exchanges rates (G) - 225 -357 -28
       
= CHANGE IN NET CASH POSITION (D + E + F + G) -612 55 -2 083
       
Cash at end of period      
Cash and cash equivalents – Bank overdrafts 5 701 6 367 4 284
       
Cash at opening      
Cash and cash equivalents – Bank overdrafts 6 313 6 313  6 367