NDS Sees Revenue, Profits Fall
[Satellite Today 10-24-08] NDS has seen a sharp decrease in operating profits as well as a fall in revenues in the 2009 first quarter, the company announced Oct. 23.
NDS, a supplier of conditional access and middleware solutions to satellite pay-TV operators, reported revenues of $182.2 million in the period that closed at the end of September, an 11 percent decrease compared to the corresponding quarter a year ago. NDS reported an operating profit of $25.9 million, a 56 percent decrease.
The declines were not a result of global economic uncertainty, Abe Peled, NDS CEO said. “NDS’s results this quarter reflect lower revenues from several large customers whose [conditional access] contracts have been renewed with certain volume discounts and new pricing to reflect different smart card change-over policies as well as smart card recycling by certain customers,” he said in a statement. “This is in line with our guidance for fiscal 2009. In addition, our results have been impacted by unusually large currency fluctuations during the period. At this point, the worldwide economic uncertainty has not been reflected in our operational results or outlook, however, we remain cautious and are monitoring the field results closely.”