Wednesday, November 26, 2008

SeaChange sees slight uptick over last year’s Q3

By Mass High Tech Staff

SeaChange International Inc. reported its third-quarter 2008 revenues were up 6 percent over the same quarter last year. The Acton-based video software and hardware company also announced it paid $4.5 million to acquire all outstanding shares in Mobix Interactive Ltd., a U.K.-based company providing software and content for mobile phone operators.

SeaChange (Nasdaq: SEAC) will pay an additional $12.5 million over the next three years if Mobix meets “certain financial and commercial measures,” according to the company.

In its Q3, which ended Oct. 31, SeaChange reported $51.8 million in revenues. Last year’s Q3 revenue number was $49 million. Net income in Q3 2008 was $3.4 million, or 11 cents per share, compared with net income of $3.3 million, or 11 cents per share, in the same period last year.

In a conference call with investors held Tuesday, CFO Kevin Bisson attributed the year-over-year increase to the completion of a software subscription contract extension with the cable company Comcast Corp. (Nasdaq: CMCSA).

“By signing the contract extension in the third quarter, the company was able to report revenue for work performed for the first half of this year as well as the third quarter,” Bisson said.

So far in its 2009 fiscal year, Seachange has reported $5.2 million in net income. In fiscal 2008, the company registered a $2.9 million profit for the year.