Amino declares improvement in revenues and profits, but to close Swedish lab
Editor | 04-12-2012
An ongoing focus on operational performance and “continued success” in delivering gross margin improvements will likely see Amino Technologies deliver a profit for the yea,r but going forward the company is to consolidate its R&D capabilities.
In an update of trading to 30 November 2012, the UK-based provider of IPTV, OTT and in-home multimedia distribution solutions says that it expects to deliver a profit for the year “in line with market expectations” on the back of revenues in the region of £41 million as management continued on its previously announced strategy of focusing on high margin, cash generative business.
An increase in revenues is a turnaround for Amino which, for the first half of 2012, released mixed results where gross profit was up 19% to £7.1 million, while headline revenue fell by a similar percentage to £20.1 million.
Yet despite this, and in what it says is a bid to “further improve operational efficiency”, Amino further revealed that it is to consolidate its technical research and development capabilities at its Cambridge headquarters, closing its Swedish office early in 2013. From single-site working, the company hopes to not only achieve net cost savings but also productivity improvements.
Commenting on the performance, Keith Todd CBE, non-executive chairman, said: "Amino's focus on profitable growth has delivered good results. The company's strong cash conversion and cash position underpins the announced multi-year progressive dividend policy. This improved performance is testimony to the focused hard work of the new management team, which has created a strong platform for additional contract wins and profitable growth in the coming year."