24th Sep 2013 08:06
LONDON (Alliance News) - DDD Group PLC Tuesday said it swung to a loss in the first half, despite signing a number of major deals.
The 3D solutions firm posted pretax losses of USD1.1 million for the period ended 30 June, after recording a USD663,000 profit a year earlier.
Revenue declined to USD2.4 million from USD4.0 million, which DDD blamed on continued contraction in the PC market.
Total technology revenue, including licensing, royalties and software sales, decreased by 42% to USD2.4 million, from USD4.0 million last year, representing 99.7% of total revenues.
During the period the company signed a number of important deals including the extension of a television technology licence agreement with Samsung until December 2015 and two licences for next-generation glasses-free 3D tablets computers.
The company lamented a decline of shipments of its TriDef 3D software, which allows users to play games in 3D, in the PC market as the global PC market continues to shrink.
"Whilst the extent of the decline in PC shipments is disappointing, we continue to see growth in shipments of our TriDef 2D to 3D conversion solutions in the TV market which is the single largest global market for 3D consumer devices," Chief Executive, Chris Yewdall, said in a statement.
"We are also seeing emerging demand for our 3D solutions in the continually expanding tablet market. As a consequence of the slowdown in PC shipments. However, we are downgrading our forecast for the full year," he added.
DDD said net cash stood at USD2.9 million, up from USD2.5 million, and it has no debt.
The stock was trading at 7.61 pence Tuesday, down 0.89 pence, or 10%.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
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