RE: I Design1 Dec 2011 07:48
[IDG]
i-design is the developer and supplier of leading customer engagement software (joono) and advertising services (atmAd) that enables banks and ATM owners to communicate with their customers through self-service channels. It also allows them to run both their own targeted marketing campaigns and third party advertising.
Key Points
· Maiden profit achieved earlier than forecast
- aided by major contract wins and improved advertising sales
· Revenues rose 62% to £3.52 million (2010: £2.17 million)
· Operating profit of £101,000 (2010: operating loss of £966,000)
· Profit before tax of £105,000 (2010: loss before tax of £962,000)
- includes £74,000 of R&D costs capitalised as an intangible asset
· Profit after tax of £151,000 (2010: loss after tax of £723,000)
· Basic profit per share 1.1p (2010: loss per share 5.1p)
· Net cash and cash equivalents of £0.94 million at 30 September 2011 (2010: £0.75 million)
· Two major new ATM networks secured, including overseas:
- Barclays Bank plc in May 2011, entire UK ATM & kiosk estate of c.4,000 machines
- YourCash Limited in October 2010, 500 ATMs (in the UK and the Netherlands)
· Next generation marketing software solution, 'joono', launched in June 2011
- represents a major upgrade, with enhanced capabilities and features
- Cardtronics to incorporate joono into its ATM offering globally, agreed July
· Post period, in November, first contract secured in Canada (via IBM)
· Growth prospects remain encouraging
James Faulds, Chairman of i-design, commented,
"These are excellent results and i-design's breakthrough into profitability is ahead of original market expectations of a loss for the year. It reflects strong progress on a number of fronts. Income from third party advertising is up 66% over the year and we also signed two major contracts, with Barclays and YourCash Limited, who bought licences to use our unique marketing software solution for their ATM estates. These wins confirm the dominance of our solution in the UK ATM market, where it is now deployed across six major ATM networks. The win with YourCash Limited, Europe's largest independent provider of ATMs, also demonstrates the appeal of our offering in overseas markets, where we are seeing increasing interest.
The year was also notable for the launch of 'joono', the next generation of our marketing software solution. joono is an important development in the continued technological advance of our offering to ATM network owners. It opens up advanced customer engagement features as well as additional digital communications channels.
Looking ahead, while the current economic backdrop creates uncertainties, we believe that growth prospects for the Group are attractive. i-design is well placed financially and operationally to continue its expansion and we will provide a further update on trading in January at our Annual General Meeting."