SeaChange sees revenues rise 12% in fiscal 2009

US firm SeaChange International, a provider of software and hardware solutions for VOD television, saw total revenues for its fiscal year 2009 (ended January 31, 2009) reach US$ 201.8mn, up 12% from the previous fiscal year, while net income rose from US$ 2.9mn to US$ 10mn by the same comparison.

Revenues for the fourth quarter of its fiscal 2009 meanwhile reached US$ 54mn, up 13% from the US$ 47.8mn posted for the same period of fiscal 2008. The Servers and Storage segment generated revenues of US$ 17.7mn in the fourth quarter of fiscal 2009, up 49% year-on-year. The increase in Servers and Storage revenue was attributed primarily to "substantially" higher shipments of VOD flash memory servers to North American-based cable television customers during the fourth quarter of fiscal 2009, as well as increased maintenance revenue due to a higher installed base of VOD servers.

Total revenues from the Software segment in the fourth quarter of fiscal 2009 reached US$ 32mn, up 4% from the previous year’s fourth quarter, with the increase attributed primarily to increased VOD software licensing revenue and higher maintenance and installation services revenue. The Media Services segment generated revenues of US$ 4.2mn for the fourth quarter of fiscal 2009, down US$ 0.8mn year-on-year, with revenues from new contracts with customers in Greece and Turkey being more than offset by the depreciation of the UK pound compared to the US dollar since the fourth quarter of fiscal 2008.

“Our fourth quarter financial performance capped a very successful year for SeaChange,” commented Bill Styslinger, President and CEO of SeaChange International. “For fiscal 2009, we generated record revenue of US$ 202mn, record gross margins of 51%, four quarters of increasing profitability and increased cash flow during the year excluding cash used for stock repurchases, an acquisition and a facility purchase. In addition, we strengthened our relationships with our largest customers during the year by executing multi-year purchase agreements with our two largest customers, as well as signing a multi-year VOD and Advertising purchase agreement with our largest telecommunications customer last month.”