Pace plc Post Period End Update
January 8 2009
Pace plc, the leading independent developer of digital TV technologies for the global payTV industry, is pleased to report that the Company is on target to meet expectations for the year to 31 December 2008, after a year of record shipments, revenues and customer numbers.
Neil Gaydon, Chief Executive Officer commented: “2008 was a strong year for the Group, as we captured solid growth in the payTV market, which was driven by operator and consumer adoption of high definition and standard definition digital TV services, in addition to analogue switch-off in many countries. During the year Pace more than doubled in size and significantly grew its global customer base through organic development in our main markets of Europe, the Americas and Australasia; and through the acquisition of Philips set-top box and connectivity solutions business. We are pleased to have delivered this excellent performance against the macro environment that prevailed in 2008.”
The Company has continued its careful management of the balance sheet, closing the year with a positive net cash balance of over £36m. Pace is already starting to benefit from the measures to manage costs and mitigate foreign exchange risk that were outlined in its Interim Management Statement on 5th November 2008. Furthermore, the business secured a £35m revolving credit facility with the Royal Bank of Scotland, replacing a previous facility with Landsbanki.
Given current global economic uncertainties, the Board continues to take a prudent view of the market in 2009, however with strong ongoing demand from the Group’s diverse customer base and with its current visibility, the Board remains confident in Pace’s ability to deliver on expectations for 2009.
Pace will announce its preliminary financial results for the twelve months ending 31 December 2008 on Tuesday 3rd March.
