EVS 3Q Revenues Climb 70 Percent

LIEGE, BELGIUM: EVS Broadcast Equipment today reported third-quarter revenues of €33.2 million (US$44.8 million), up nearly 70 percent over the year-ago quarter. Net income was €12.4 million (US$16.7 million), up 120 percent.

“The IBC tradeshow in Amsterdam confirmed the slow but steady recovery of the broadcast industry,” said EVS chief Pierre L’Hoest. “Most of our clients are again looking at the future with more optimism. Advertising revenues are up year on year, production companies see the new technologies as drivers for their future growth. High definition is a strong driver for capturing new clients and new sales.”

EVS chief financial officer, Jacques Galloy, noted that the most recent quarter represented the seventh consecutive three-month period of growth.

“For 2010, we expect revenues to grow by more than 35 percent, while the EBIT margin should be around 50 percent, despite all the investment we have made in people, to prepare our future growth. The global order book of €29.8 million at the end of October makes us looking at 2011 with mixed expectations: this will be an odd year, without any major event--which represented more than €10 million of rentals in 2010)--benefiting from the industry recovery, while our company invests in innovation and expansion. Above all, 2011 has the Olympic year 2012 at the horizon.”

Global order book at €29.8 million (US$40.2 million) was up 23 percent excluding big event rentals. It included €8.4 million (US$11.3 million) to be invoiced in 2011 and beyond. A dividend of €1.16 is to be paid out at the end of November.

EVS finished the third quarter with €36.8 million (US$49.7 million) and financial long-term debt of €1.26 million (US$1.7 million). EVS shares were trading today on the Brussels Exchange at €47.97, up €0.37 from yesterday’s close.
-- Deborah D. McAdams