Last checked at 4 Apr 2014 07:00
4 April 2014
Digital Barriers plc
("Digital Barriers" or the "Company")
Contract awards and trading update
- Significant contracts secured across international markets -
- Initial sales of new TVI products secured across multiple customers -
The Board of Digital Barriers plc, the specialist provider of advanced surveillance technologies to the security and defence sectors, provides an update on recent contract awards and trading for the financial year ended 31 March 2014.
The Company expects to report revenues in the region of £19 million for the year, subject to audit, largely attributable to declining revenues within non-core areas. However, during the year, international product sales grew by over 40% and the Company's newly launched product lines have achieved a number of significant sales late in the year, as outlined below.
Since the last trading update made on 27 February 2014, in which the Company announced a £2.0 million contract which relates to a major UK event in summer 2014, the Company has performed well and has achieved a number of additional notable sales successes which underpin trading for the current financial year, ending 31 March 2015. In particular, the Company is pleased to announce the award of two important contracts by overseas customers.
The first, valued at more than £1.8 million, delivered over the financial years ended 31 March 2014 and 2015, is with a major US federal government agency and existing customer, and includes the first enterprise sale of the Company's TVI video surveillance technology, for use on multiple thousands of mobile smartphone devices. The Company has now sold its world-class video surveillance technology to major customers in more than thirty-five countries around the world and has established a strong entry position with US federal government customers across multiple agencies.
The second, which is expected to reach a value of over £2.0 million over the next twelve months is via a partner of the Company selling into government and law enforcement agencies within a major country within the Middle East, is for ThruVision, the Company's world-class personnel screening solution for the standoff detection of weapons, explosives and contraband. The Company's ThruVision technology has been significantly upgraded over the previous twelve months and is now generating materially increased customer interest around the world.
In addition, the Company is pleased to announce the first sales of its newly launched TVI products to flagship customers around the world. These include:
· the rapid-deployment Minicam, the first 50 of which have been sold to the Company's UK telecoms partner;
· the first 150 entry-level IP100, which allows material savings on network costs without compromising existing surveillance capability, to a US federal agency; and
· several small sales into the UK, Europe and Japan of the breakthrough high definition TVI product, the HDS600, which is the world's first high-definition video streaming product which can operate reliably over 3G and 4G networks.
Tom Black, Executive Chairman of Digital Barriers commented:
"These are extremely significant contracts for Digital Barriers. We are now seeing the tangible evidence of major customer take-up of the compelling and highly differentiated products we have been developing for the past twelve months, based on the Group's world-class IP. Our sale of enterprise-wide smartphone software into a major US federal agency is particularly noteworthy as it is the first sale we have made of its kind and represents a major new opportunity for the Group. We have consistently demonstrated to customers all around the world that we have the world's best performing video surveillance technology and this is further evidence of that.
The sale of the latest generation of ThruVision products into the Middle East is equally significant. We have invested time and resource to fulfil the potential of this genuinely unique technology and we're now seeing much more significant customer interest than ever before. This is true both in the UK and overseas.
These contract announcements illustrate the scale of the opportunity available to us. We now have a unique product set and we are seeing increasing sales traction. The Board remains optimistic about the Company's longer-term prospects and reiterates its aspiration to move towards break-even in the current financial year."
For further information, please contact:
Digital Barriers plc | Tel: 020 7940 4740 |
Tom Black, Executive Chairman | |
Colin Evans, Executive Director Zak Doffman, Executive Director | |
Investec Investment Banking | Tel: 020 7597 5970 |
Andrew Pinder/ Dominic Emery / Patrick Robb | |
FTI Consulting | Tel: 020 7831 3113 |
Edward Bridges/ Matt Dixon/ Elodie Castagna | |
About Digital Barriers
Digital Barriers provides advanced surveillance technologies to the international homeland security and defence markets, specialising in 'edge-intelligent' solutions that are designed for remote, hostile or complex operating environments. We work with governments, multinational corporations and system integrators in the defence, law enforcement, critical infrastructure, transportation and natural resources sectors. Our surveillance technologies have been successfully proven on some of the most demanding operational and environmental deployments around the world.
www.digitalbarriers.com