The current poor advertising climate in the North American market pulled down SeaChange International’s revenues from its Advertising Insertion and Broadcast Software Business.
The decline comes at a time when SeaChange and other providers are looking to extend the concept of advertising insertion into Europe. In the case of SeaChange, the company has been able to offset the losses through higher VOD software subscription and VOD maintenance revenue. It has also extended its VOD software subscription agreement with the US MSO Comcast through 2009 and secured a further contract with another unnamed operator.
Revenues from the Software segment declined by $2.5 million to $30.1 million in the quarter ending July 31, 2009. Total revenues of $46.5 million were $4.2 million lower than in the fiscal year 2009.
The net loss of $0.4 million included the $0.5 million purchase of eventIS, announced yesterday.