Wednesday, November 5, 2014

Avigilon Corporation - AVO.t

Avigilon Corporation - AVO.t is a leader in the design, manufacturing and marketing of high definition, network-based video surveillance systems and equipment for the global security market.

The Avigilon high-definition surveillance system has been designed to provide high quality video capture, transmission, recording and playback.

On November 4, 2014 the company released Numbers

"Avigilon Corporation ("Avigilon" or the "Company") (TSX: AVO), a leading global provider of end-to-end security solutions, today reported financial results for the third quarter ended September 30, 2014. All figures are in Canadian dollars unless otherwise stated.

Third Quarter 2014 Financial Highlights
Record quarterly revenue, gross margin, net income, Adjusted EBITDA*, Adjusted Earnings* and Fully Diluted Adjusted Earnings Per Share*

Revenue was $71.0 million, an increase of 39% over Q3 2013 revenue of $51.2 million.
Gross margin percentage was 57%, up from 53% a year earlier.
Adjusted EBITDA was $15.7 million, a 27% increase over Q3 2013 Adjusted EBITDA of $12.4 million.
Net income was $11.6 million, a 35% increase over Q3 2013 net income of $8.6 million.
Adjusted Earnings were $11.2 million, a 20% increase over Q3 2013 Adjusted Earnings of $9.3 million.
Fully Diluted Adjusted Earnings Per Share of $0.24, compared with $0.22 in Q3 2013.

"Avigilon delivered another record sales quarter in Q3, underpinned by particularly strong growth in the U.S. and EMEA, as well as robust sales of new products," said Alexander Fernandes, founder, president, CEO and chairman of the Board of Avigilon. "Ongoing innovation remains a key pillar of our strategy to increase market share. In the third quarter we had several important new product introductions, including the low cost HD Video Appliance series, Avigilon Control Center 5.4, and the HD dome and bullet cameras with adaptive video analytics. Avigilon continues to make substantial investments in the business, with an eye on continued profitability, as we grow toward our goal of $500 million in run-rate revenue by the end of 2016."

Financial Review

Avigilon reported record Q3 2014 revenue of $71.0 million, an increase of 39%, or $19.8 million, compared to revenue of $51.2 million in Q3 2013. Revenue growth continues to reflect increased product sales worldwide, driven by greater customer adoption in existing markets, further penetration of new target regions and sales of new products. Revenue for Q3 2014 also benefited from foreign exchange gains.

Gross margin was $40.1 million in Q3 2014 (57% of revenue), compared with $27.2 million (53% of revenue) in Q3 2013. The year-over-year increase in gross margin percentage largely reflects the favourable impact of foreign exchange gains as well as the ongoing effects of greater purchasing power, economies of scale, product mix, and improved manufacturing efficiencies. The Company has historically experienced variability in quarter-to-quarter gross margin percentages.