24 Nov 2017 07:00
IndigoVision Group plc ("IndigoVision", the "Group")
Trading update and Board changes
There are several important trading weeks before the end of the Group's financial year on 31 December, but it is now clear that management's expectations will not be achieved and that a full year operating loss will be reported. The management and sales team changes in the US are showing continued signs of delivery, with further growth in the sales pipeline, but the Middle East has experienced more difficult trading conditions, with unforeseen delays in securing a number of large contracts.
Current expectations are that revenue for the year will be in the region of $41m to $43m. Gross margins for the year are likely to be a little ahead of those achieved last year and total overheads are expected to be around 5% higher than last year, due principally to the investment in the US described within the Interim Results statement. The financial position of the Group remains strong, with current cash balances of $2.5m and bank facilities of $4.0m which remain undrawn.
Marcus Kneen has resigned from the Board and has ceased to be Chief Executive Officer with immediate effect. The Board would like to thank Marcus for his contribution to IndigoVision over the last 14 years.
Pedro Simoes, who was appointed as Senior Vice President - Global Sales on 2 October 2017, has been appointed as Interim Chief Executive Officer and will join the Board as an executive director as soon as practicable, subject to the completion, by N+1 Singer, of the necessary regulatory due diligence. A further announcement confirming Pedro Simoes' appointment to the Board, including the necessary regulatory disclosures, will be made as and when appropriate.
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014.
For further information please contact:
IndigoVision Group plc
George Elliott, Chairman
Chris Lea, CFO +44 131 475 7200
N+1 Singer, Nominated Adviser
Sandy Fraser +44 207 496 3000
Media Enquiries:
Charlotte Street Partners
Malcolm Robertson +44 7788 567680
About Indigovision
IndigoVision is a leader in the design and supply of high performance, highly-intelligent video security systems for security installations of differing sizes and complexity. From video capture and transmission to analysis and storage, IndigoVision's networked video security systems provide the best quality and most secure video evidence, using market leading compression technology to minimise bandwidth and reduce storage costs.
IndigoVision's technology is ideally suited for use in mission critical facilities such as government, oil and gas, transport, cities, industry, education, police, prisons and casinos to improve public safety, protect assets, develop organisations' operational efficiency and support law enforcement.
IndigoVision has sales and support teams in 23 countries and operates through 18 regional centres, in Edinburgh, London, Paris, Amsterdam, Dusseldorf, Johannesburg, Dubai, Mumbai, Singapore, Macau, Shanghai, Sydney, Mexico City, Toronto, Bogotá, New Jersey, Buenos Aires and Sao Paulo.
IndigoVision partners with a network of some 1,000 trained and authorised IndigoVision resellers to provide local system design, installation and servicing to IndigoVision's system users.