Harris Broadcast Profits on DTV, Harris One, H-Class and Nexio

Harris Broadcast Communications reported operating income in the quarter ending Sept. 28 of $10.4 million, 18 percent higher than the same quarter a year ago, on a revenue increase of 5 percent, a gain the company partially attributed to cost-reductions completed over the past year.

The company reported double-digit growth in the first quarter of FY2008 in its video infrastructure and digital media business, which provides systems for routing, master control, networking, test and measurement, multi-image processing, servers and graphics.

Revenue in software systems was slightly higher than the prior-year quarter, while revenue in transmission systems declined, due to lower international transmitter sales and Harris’ exit from the radio resale business, the company said.

Sales of digital transmitters for television improved in anticipation of the February 2009 DTV transition.

Harris said it benefited from its Harris One initiative “to provide interoperable, end-to-end workflow solutions that span the entire broadcast delivery chain.”

Major orders in the quarter included its H-Class media software for Sony Entertainment Television; OSi-Traffic systems for Nexstar Broadcasting Group; Nexio video servers for the American Forces Network and PBS; a significant order for digital signage infrastructure from the Venetian Macao Resort Hotel; and an order from the Saudi Arabian Ministry of Culture and Information for products that span the company’s high-definition portfolio.

The $10.4 million in earnings on $145 million in revenue for the company’s broadcast segment is just a small part of the corporation’s overall picture. In all, Harris earned $100 million in the quarter—a jump from $83.9 million a year ago—on revenues of more than $1.2 billion. The company reported strength in its Defense Electronics, Government Communications and RF Communications segments, with big orders for its Falcon radio systems from the U.S. military and from other nations.