Tandberg Reports Q3

Reports revenue of $210.3M and operating profit of $45.3M in 3Q08

October 15, 2008

2 Min Read

OSLO, Norway and NEW YORK -- TANDBERG® (OSLO:TAA.OL - News), today announced unaudited financial results for the third quarter ended September 30, 2008.

Overview of 3Q08:

  • Revenue of 210.3 MUSD with volume of 17,487 units

  • Operating profit of 45.3 MUSD and pre-tax profit of 55.0 MUSD

  • Cash flow from operations of 53.4 MUSD

  • Launched full standards-compliant telepresence portfolio

  • Expanded relationship with HP


Third quarter revenues were 210.3 MUSD compared with 165.3 MUSD in the same quarter last year, representing 27% year-over-year growth. Gross margin for the quarter was 65.9%, compared with 65.5% in the same quarter last year. Selling, general & administrative (SG&A) expenses for 3Q08 totaled 81.7 MUSD, compared with 62.9 MUSD in the same quarter last year. Operating profit was 45.3 MUSD compared with 38.7 MUSD in the same quarter last year. Earnings per share (after tax) were 0.35 USD in 3Q08 compared with 0.22 USD in the same quarter last year.

The Company generated cash flow from operations of 53.4 MUSD in the quarter, which after a net cash outflow from investments of 14.0 MUSD, gave a total cash inflow of 39.4 MUSD. As of September 30, the Company had a cash balance of 93.6 MUSD and an equity ratio of 66.1%.


Reviewing third quarter results, Fredrik Halvorsen, Chief Executive Officer, stated, “During challenging economic times, our customers are turning to video to help them reduce costs and stay competitive. Video has the potential to significantly reduce costs and offer a defendable Return on Investment, contingent on three conditions being met. First, there must be a complete portfolio for enterprise-wide deployment. Second, the ability to seamlessly integrate video conferencing and telepresence is required to maximize the benefits and usage of the deployment. Third, a global service and delivery capability will ease implementation and protect the investment. TANDBERG delivered on these three imperatives in the third quarter, strengthening its competitive positioning.”

Launch of an industry-defining telepresence portfolio. Expanding the market, TANDBERG introduced a telepresence portfolio that includes the standards-compliant immersive TANDBERG Telepresence T3 system, a new telepresence server and a new package of TANDBERG-certified services that complete the telepresence experience. According to Tim Cureton, group head of telecommunications at HSBC, ‘The TANDBERG T3 will take our use of collaborative global telepresence meetings to a new level, in addition to adding to our portfolio of green technologies that reduce unnecessary travel expense and maintain our status as a carbon-neutral company.’

Tandberg ASA (OSE: TAA)

Subscribe and receive the latest news from the industry.
Join 62,000+ members. Yes it's completely free.

You May Also Like