Mirada PLC Pre Close Trading Update

 
TIDMMIRA 
 
29 September 2015 
 
                                  mirada plc 
 
                                  (AIM: MIRA) 
 
                          ("mirada" or "the Company") 
 
                           Pre Close Trading Update 
 
mirada plc, (AIM: MIRA) the audio-visual interaction specialist, announces a 
pre close trading update for the period ending 30 September 2015. 
 
During the first half of the current financial year, the Company continued to 
develop its Tier One and Tier Two customer opportunities. The focus during the 
period was on the commercialization of the Company's multiscreen product, Iris, 
for Cablevisión Monterrey (TVI) ("Cablevisión") in Mexico, part of the Televisa 
Group, which commenced in February 2015. This initial deployment for 
Cablevisión of around 500,000 subscribers is the smallest of the planned 
roll-outs for the Company's inaugural Tier One contract, which now incorporates 
a total of five cable network deployments, and the Board is happy to report 
that following the successful launch, Mirada's technology has performed without 
fault and the deployment is running ahead of management expectations. In 
addition, the Board was delighted to announce in August that the Iris inspire 
user interface was being used by Movistar+, the digital TV service from 
Telefónica Spain. 
 
The next two networks within the original Tier One contract which the Company 
is working on are on a larger scale than the first deployment. Having 
anticipated that the roll out would commence during this calendar year, the 
Board can now report that owing to the customer's own internal reasons, 
deployment for these two networks has been delayed to the end of the last 
quarter of the current financial year ending 31 March 2016 ("FY16"). As such 
the Board anticipates that there will be limited revenues from licence fees 
being recognized from these two networks during FY16, instead with revenues 
being deferred into financial year ending 31 March 2017. 
 
In the meantime, the Company has been engaged with providing additional 
development work for the Tier One contract for which professional services fees 
are being earned. Broadly, these are expected to replace postponed license fee 
revenues, albeit at a lower margin. Notwithstanding these additional 
professional services fees, owing to the delays deferring licence fees revenues 
as described above, coupled with the Board's anticipation of earnings for the 
first half of FY16 being broadly similar to last year, the Board expects 
earnings for FY16 to be materially behind market expectations, but still ahead 
of last year. 
 
As a consequence of the Company's exposure to these types of delays, and 
following rising levels of demand from Tier Two and Tier Three customers, the 
Board is pleased to announce it will be launching an advanced cloud-based 
proposition for these smaller customers, named "mirada as a service" ("maaS"). 
MaaS is intended to address the needs of a wide range of potential customers 
with a bundle of products and services that the Board believes will speed up 
the deployment and continuous upgrade of these customers' Digital TV services. 
The Board expects maaS to generate a new source of recurrent revenues for 
mirada, providing a hedge to Tier One customer exposure.  Further announcements 
on the timing of maaS launch will follow in due course. 
 
Commenting, Jose Luis Vazquez, Chief Executive Officer, said: 
 
"The Company's primary focus remains to grow its pipeline with the aim of 
further commercial roll-outs to new customers. We were delighted by the 
successful adoption by Movistar+ of the Iris inspire user experience and 
negotiations are continuing with prospects for a number of potential customers 
in Latin America and Europe" 
 
Enquiries: 
 
mirada plc                                 [phone] 
José Luis Vázquez, Chief Executive Officer 
 
Walbrook PR                                [phone] 
Nick Rome/Sam Allen 
[e-mail] 
 
Arden Partners plc (Nomad and Broker)      [phone] 
James Felix (Corporate Finance) 
Kam Bansil (Corporate Broking) 
 
 
 
END 
 

(END) Dow Jones Newswires

September 29, 2015 02:37 ET (06:37 GMT)