IndigoVision Sales Fall 29%
2015 is shaping up to be a tough year for video surveillance manufacturers.
Early IP leader IndigoVision has been hit the hardest of any publicly trade surveillance manufacturer, reporting a 29% drop in sales for H1 2015.
In this note, we examine the results, IV's future and why we see them as a high quality buyout target.
Financial *******
******* ******* [**** ** ****** *********] from $**.* ******* ** ** **** to ~$**.* ******* ** ** ****, a **** ** **%.
****, *** ******* *** ** ********* loss ** **** $* *******, ******* cost ******* ****** *** ***** ********* to *&*.
************ ***** ******** ******** ** **** Pacific *** ***** *******, **** *** UK ***** ****, ******* **%.
**** ** *** ********* *** ************ is **** **** ** ***** ******* comes **** ****** *****, ** ** is **** **** ******* * *** deals ******* ** ****** ****************** ********* the *******'* ***** *****. *******, * drop ** $* ******* **** * months, *** * ******* ***** **** cannot ****** ** ********* ** *** luck ** *** ******.
** **********, ** ******* *** ********** market ** ******* *******, ** *** combination ** ** ***** ********** *** commoditizing *** ****** ****** ******* ********* to ******* ****** *** **** ****** ********** deals.
**** *****
** *** **** ** ******, ************ went **** ~$* ******* **** ** just $***,*** ** **** ********* $* million ** *** *** **** ** 2015. **** **** *** * **** overdraft ** $***,***.
Stock *****
** *** **** ****, *** ***** price ** **** **** **** **% and ** ** ****** ******* ** where ** *** ** ***** ***. Below ** * ***** ** *** stock ***** ***** ************ **** ******:
** *** ***** ***** ********, ************ was *** ** *** ***** ******* in *** ***** ** ** ***** but *** ******* *** *** **** pace.
*** ****** ************** ***** ** ~$** million ***, ***** ** *** **** than ** *****, *** ** ***** poor ********** (** ***** ** *****, 3x ** ** ** ****** *** higher ******, ****** ****** ********* - Axis, ********, *********, ***.)
Buyout ******
******* *** **********, ** ***** ************ is ** ********** ****** ******.
**** ***********, **** **** * ***** enterprise *** *** ***** ****** *** not **** ** **** *** **** are ******* ***** *** ***** ** *****. Combine **** **** ******* ****** ***** at *** $** ******* *** *****, and *** ******* ****** ********* ** worth $**+ ******* ** * ****** company **** ***** / ***** * VMS ******** (*.*., *** ****** ****** manufacturers ******* ***** *** ********** *** platform).
***** *** ******** ** *** ** video ****** *** ************'* ***** ********, we ** *** *** *** ****** they *** ** **** **** ************* but ** ** ******* **** *** attractive ** ** ***********.