Pace Micro Set-Top Sales Soar in North America

1.2M Set-Tops Shipped in Region in Fiscal-Year 2007 vs. 200K in Prior Year

By Todd Spangler -- Multichannel News, 7/25/2007 4:33:00 PM

Digital set-top maker Pace Micro Technology saw annual revenues for North America increase more than tenfold, to about $442 million, for the year ended June 2 compared with the prior fiscal year.

The British company shipped 1.2 million set-tops in the Americas in fiscal 2007, versus 200,000 the year prior. Revenue for North America was £223.2 million ($442 million) for the year, compared with £18.8 million ($35 million) for the year ended June 3, 2006 (U.S. dollars calculated using period-end exchange rates).

Worldwide, the British company shipped 3.9 million set-tops for the most recent fiscal year, up 77% compared with 2.2 million the previous 12-month period. Pace, which is traded on the London stock exchange, reported its annual financial results Tuesday.

Pace said more than one-half of its revenues currently come from the North American market. The company has more than 30 cable-operator customers in the region, including Comcast, Time Warner Cable, Bright House Networks and Bresnan Communications.

For Comcast, Pace is delivering the standard-definition digital-video recorder, and the set-top maker said it has “committed orders in place” from the operator for the rest of 2007. DirecTV is also a customer, using Pace’s MPEG-4 high-definition DVR.

Overall, Pace’s revenues more than doubled to £386.5 million ($765 million) from £178.1 million ($333 million) in fiscal-year 2006. It posted a profit before tax and other charges of £6.1 million ($12 million) compared with a loss of £15.6 million ($29 million) for fiscal 2006.