Net Insight reports steady 2011
Editor ©RapidTVNews | 20-02-2012
Growth may not have been as strong as it anticipated, but for financial 2011Net Insight has reported significant expansion, with a much broadened product portfolio in an increased territory footprint.
The provider of transport solution for broadcast and IP media, digital terrestrial TV, mobile TV and IPTV/CATV says that its recently reported fourth quarter was the second best quarter from a revenue perspective, even though at 80.3 MSEK it was 8.9% lower than the same quarter in the previous year.
The company's operating margin increased to 20% to 17.9 MSEK and operating earnings reached 16.1 MSEK (15.7%). For the full year, the company posted revenues of 294.5 MSEK (287.7), a growth of 2.4% on a year on year basis.
Operating earnings were 42.8 MSEK (43.1) producing an operating margin of 14.5 % (15). Net Insight attributed the decrease in fourth quarter revenues to several factors mainly to timing factors rather than a lasting decline. These included what it called a significant decline in the business in Western Europe and lower volumes than expected DTT volumes.
Looking forward Net Insight says that the media and broadcast market is undergoing major changes driven by the digitisation of media and the migration to IP. This changes the way we produce, distribute and consume video. The production of video is changing towards IT based workflows and is real-time critical requiring media networks It adds that the consumption of video from over-the-top sources has massively increased in the last year and expects increasing amounts of consumers to demand live and higher quality content delivered over-the-top.