Financials
TANDBERG Television (OSE:TAT) delivered revenues of MUSD 100.1 in
2Q06, up 40% compared to MUSD 71.2 in 2Q05. The gross margin was
58.2%, up from 55.1% in the same quarter in 2005. Operating profit was
MUSD 18.9 compared to MUSD 12.2 in the same quarter last year. Pre-tax
profit was MUSD 21.3, up from MUSD 12.2 in the same period in the
previous year.
The cash balance at the end of the quarter was MUSD 95.7 and
included net cash income from operations of MUSD 8.2 down from MUSD
13.0 in the same period in 2005. Net cash inflow in the quarter was
MUSD 6.3. Total assets for the group were MUSD 538.5, with an equity
ratio of 84% at 30 June 2006. Total shares outstanding at the end of
the quarter were 80,529,876.
Market & Products
2Q06 saw TANDBERG Television maintain its position as a clear
technology leader in the digital media infrastructure market.
During the quarter TANDBERG Television exhibited its integrated
compression, on-demand and interactive solutions and delivered
addresses at over 15 industry events in Asia, Europe and North
America. These included Broadcast Asia in Singapore, The ANGA Cable
show in Cologne and the National Association of Broadcasters (NAB)
convention in Las Vegas. TANDBERG Television made a major impact at
these important exhibitions with demonstrations of HD MPEG-4
compression, the launch of a new IP-based systems architecture and new
on-demand and interactive applications for digital television systems.
Our presence at these industry events under the newly integrated
TANDBERG Television brand met with a very positive market reaction as
the company continues to differentiate itself based on best in class
technology and an increasingly broad scope of supply. At the Broadband
World Forum in Hong Kong the International Engineering Consortium
(IEC) presented TANDBERG Television with an InfoVision Award for its
High Definition Intelligent Compression Engine (HD-ICE) for MPEG-4 AVC
and SMPTE VC-1.
TANDBERG Television delivered continued momentum in HDTV, IPTV and
digital television market with key contracts and deployments across
all regions:
-- In the Americas a further order from a leading satellite
digital television service provider valued at MUSD 5.9
-- In the EMEIA region, Estonia's Levira selected TANDBERG
Television for MPEG-4 AVC digital terrestrial roll-out and we
experienced a consumer-driven increase in HD encoding demand
in the run-up to the FIFA 2006 World Cup
-- In APAC a deal with Japan's NTT to expands its IPTV rollout in
Japan and the provision of HD MPEG-4 AVC encoding for CCTV to
deliver to FIFA 2006 World Cup across China
TANDBERG Television made a number of executive appointments in the
quarter, strengthening its existing team with proven industry leaders
in the sales and systems architecture functions.
Outlook
The Board continues to be encouraged by a further quarter of
top-line growth, solid gross margins and profitability. TANDBERG
Television has continued to develop its strong technology portfolio
and the Board supports the continued focus on successful integration
and execution of the operational plan.
Basis of Preparation
The interim consolidated, financial statements have been prepared
in accordance with International Financial Reporting Standards (IFRS)
and IFRIC interpretations issued and effective at the time of
preparing these statements.
The Board of Directors of TANDBERG Television ASA
Jan Chr. Opsahl, Chairman
Eric Cooney, CEO
About TANDBERG Television
Whether it's advanced compression systems, on-demand or
interactive television, TANDBERG Television (TAT.OL) delivers the
technology and expertise that is moving digital video forward. The
company's award-winning solutions are used by the world's leading
network operators, broadcasters and content owners to deliver new
viewer experiences and advertising opportunities. With a broad suite
of open, standards-based products, TANDBERG Television offers the
highest quality digital TV solutions including IPTV, HDTV,
video-on-demand, advertising on-demand, and interactive TV
applications to customers in the Americas, Asia Pacific, Europe,
Middle East and Africa. For more information, please visit
www.tandbergtv.com.
