Dedicated Micros Further Freefall - 2013

By: John Honovich, Published on May 06, 2013

Dedicated Micros most recent 2012 financials continue the tough trend the company showed in 2011 and for the past few years. Now, the former DVR leader has discontinued multiple operations and recorded a significant loss to Norbain. Inside this note, we break down the revenue decline, margins impact, discontinued operations, cash position and their future.

Revenue Decline

Revenue dropped 18% from 40.1 million GBP to 32.8 (in USD, that's the rough equivalent of going from $62 million to $50 million). At its peak in the mid 200s, DM's revenue was ~$135 million USD, meaning an overall revenue drop of 60%+.

Margins Impact

Gross margins fell from ~56% in 2011 to ~50% in 2012. However, net margin improved from a loss of ~15% in 2011 to ~12% in 2012 as it appears overhead costs were cut.

Discontinued Operations

DM reported ceased chip production at Chipwrights, closed the manufacturing facility at Denard and closed their Aviation offering. They reported a one time loss of 5.7 million GBP for such exceptional items and discontinued activities.

Norbain Impact

DM reported 1 million GBP loss due to Norbain going into administration.

Cash Position

Get Notified of Video Surveillance Breaking News
Get Notified of Video Surveillance Breaking News

As for June 30, 2012, net cash balances totalled 0.2 million GBP overdrawn, down 1 million GBP year over year. However, in April 2013, DM reported a renegotiation of their financing facilities including an overdraft facility of 1 million GBP.

Things Looking Better?

DM reports 'trading performance' was 'significantly improved' in the second half of 2012. At some point, perhaps things bottom out.

From their financial report, however, the strategy discussed has stayed its course. DM's Director's Report led with Closed IPTV [link no longer available] and other ongoing initiatives. We are skeptical of the mass appeal of Closed IPTV given its proprietary nature.

That said, at some point, maybe things will bottom out. However, while DM's competitive strength was obvious in the past decade (DVRs), it is just not clear what DM's competitive strength is now nor will be.

The Report

You can access the report for $1.60 USD at UK's Companies House WebCheck database, searching for company number '03297192'.

Comments (2) : Members only. Login. or Join.

Related Reports

Dahua Revenue Plunges, 3 Execs Resign Q1 2020 on Apr 29, 2020
Dahua's sales dropped by 19.47% in the first quarter of 2020 amid the...
ADT Slides Back, Disappointing Results, Poor Commercial Performance on Aug 06, 2020
While ADT had an incredible start to the week, driven by the Google...
Infinova, March Networks and Swann H1 2020 Financials Examined on Sep 02, 2020
While Dahua and Hikvision, helped by fever camera sales, are recovering from...
Worsen: Integrators Hit Even Harder By Coronavirus on Mar 30, 2020
Integrator's problems have worsened over the past 2 weeks, according to new...
Sony Exits Branded Video Surveillance Business on Apr 15, 2020
After years of decreasing investment into video surveillance, Sony has now...
Dedicated Vs Converged Access Control Networks Statistics 2020 on Sep 10, 2020
Access control is a crucial system where the network used can impact life...
JCI / Tyco Drops Dahua on Sep 03, 2020
Johnson Controls (JCI) / Tyco Security has completely dropped Dahua OEMs from...
Worst Over But Integrators Still Dealing With Coronavirus Problems (June Statistics) on Jun 30, 2020
While numbers of integrators very impacted by Coronavirus continue to drop,...
Uniview H1 2020 Financials Examined on Sep 08, 2020
While Dahua and Hikvision, helped by fever camera sales, are recovering from...
Fever Camera Sales From Integrators Surveyed on Jun 01, 2020
Fever cameras are the hottest trend in video surveillance currently but how...
ASIS GSX Atlanta 2020 Canceled on Jun 22, 2020
Beset by the coronavirus pandemic and Atlanta protests, ASIS has announced...
Costar Technologies / Arecont H1 2020 Financials Examined on Sep 16, 2020
Costar's financial results have been hit by the coronavirus with the company...
Facial Recognition: Weak Sales, Anti Regulation, No Favorite, Says Security Integrators on Jul 07, 2020
While facial recognition has gained greater prominence, a new IPVM study of...
Mass Exhibitor Dropouts Threaten ISC West October 2020 on May 08, 2020
More than 50 big booths are now available / empty at the planned ISC West...
Pivot3 Mass Layoffs on Mar 27, 2020
Pivot3 has conducted mass layoffs, the culmination of grand hopes, a quarter...

Recent Reports

FLIR CEO: Many New Fever Entrants "Making Claims That The Science Just Won't Support" on Sep 22, 2020
FLIR's CEO joins a growing number calling out risks with fever / screening...
China Bems Temperature Measurement Terminal Tested on Sep 22, 2020
Guangzhou Bems (brand Benshi) is the manufacturer behind temperature...
Axis Exports To China Police Criticized By Amnesty International on Sep 21, 2020
Axis Communications and other EU surveillance providers are under fire from...
Milestone XProtect on AWS Tested on Sep 21, 2020
Milestone finally launched multiple cloud solutions in 2020, taking a...
Mobile Access Control Usage Statistics 2020 on Sep 21, 2020
Most smartphones can be used as access control credentials, but how...
Axis Compares Fever Camera Sellers to 9/11 on Sep 18, 2020
Axis Communications, the West's largest surveillance camera manufacturer, has...
Avigilon Elevated Temperature Detection Camera Tested on Sep 17, 2020
Avigilon has entered the temperature screening market with the release of...
Chilean Official Investigated for Motorola And Hikvision Contracts on Sep 17, 2020
A corruption investigation is underway in Chile after a crime prevention...
Huawei HiSilicon Production Shut Down on Sep 17, 2020
Huawei HiSilicon chips are no longer being manufactured or supplied to...
Virtual ISC West and GSX+ Exhibiting Contrasted on Sep 17, 2020
Both ISC West and ASIS GSX are going virtual this year, just weeks apart, but...
X.Labs Sues FLIR on Sep 16, 2020
X.Labs, the maker of Feevr, has sued FLIR, the publicly traded thermal...
Video Surveillance 101 September Course - Last Chance on Sep 16, 2020
Today is the last chance to sign up for the Fall Video Surveillance 101...
No Blackbody Mistake, Half Million Dollar, Hikvision Fever Camera System in Georgia on Sep 16, 2020
A Georgia school district touted buying Hikvision fever screening "about...
Costar Technologies / Arecont H1 2020 Financials Examined on Sep 16, 2020
Costar's financial results have been hit by the coronavirus with the company...
Startup Cawamo Presents Live Alerts With Edge AI and Cloud VMS on Sep 15, 2020
Cawamo, an Israeli edge-to-cloud analytics and VMS startup, presented its...