Pace says a good performance in 2013 means its full-year results will be ahead of the board’s previous guidance.
In a preliminary statement the set-top developer said it expected full-year revenues to be up 2.4% at $2,460 million. EBITDA is also on the rise with an anticipated $190m, 20% ahead of 2012.
Commenting on today’s announcement, Mike Pulli, CEO, said: “Pace has performed above expectations in 2013. We continue to lead the market in innovation with great products and services, demand from our customers has remained strong and we continue to win new business. The Company has made further good progress in the execution of our Strategic Plan and Pace continues to become a more profitable and cash generative company”.
Pace says it has maintained market leadership in set-top boxes, media services and gateways, while making progress in IPTV, and in the European market where it had begun to fall back.
Banker JP Morgan gave a cautious welcome to the figures: “Global demand for set-top boxes (STBs) has been resilient through recent difficult economic conditions. The evolution of technology towards hybrid devices and media servers is a development of which Pace is at the forefront. In our opinion, valuation metrics are not stretched if Pace successfully delivers steady improvement in profitability over the medium-term,” the company said in a note.
The acquisition of Aurora Networks closed on January 6th.
