2009-11-06
114 percent EasyConnect revenue growth
(Oslo, November 6, 2009) Birdstep Technology ASA reported an EBITDA of NOK -3,5 million in the third quarter of 2009 (-11,1), while revenues grew to NOK 25,6 million (20,2). EasyConnect continued its positive development and reported revenues of NOK 12,0 million, representing a growth of 114 percent.
- Birdstep had a satisfactory development towards profitability in the third quarter. Our key business segment, EasyConnenct, delivered a solid performance with 114 percent growth in revenues and a record high number of customers activating their USB modems with EasyConnect software, says Torbjörn Sandberg, President and CEO of Birdstep Technology.
Birdstep Technology’s third quarter 2009 revenues were NOK 25,6 million (20,2), with an EBITDA of NOK -3,5 million (-11,1). Cash flow from operations was NOK 0,3 million whilst net cash flow ended at -2,3 million, bringing cash and cash equivalents at the end of the quarter to NOK 56,7 million (68,4). The company regards the cash balance as satisfactorily as the profitability gradually is improving.
EasyConnect experienced a revenue growth of 114 percent in the third quarter, from NOK 5,6 million last year to NOK 12,0 million, in addition to a sequential growth from NOK 10,3 million in the second quarter this year. EasyConnect reported 566 013 new customers activating their USB modems with EasyConnect software in the third quarter, compared to 264 303 activations in the third quarter of 2008, driven by the underlying growth in the USB modem market.
- We expect that EasyConnect will continue to deliver activation and revenue growth for the rest of 2009 and moving forward. To increase the focus on regional opportunities, EasyConnect has expanded its sales and technical support presence in both Latin America and Middle East, says Sandberg.
Orbyte had revenues of NOK 4,8 million (6,3), while Raimas third quarter revenues grew to NOK 4,5 million (4,1). SafeMove reported revenues of NOK 4,3 million (4,1). Despite a challenging year for SafeMove. Birdstep Technology considers the growing and fragmented international market for seamless and secure mobility solutions as interesting.
- Birdstep Technology expects Orbyte to have a steady development for the latter part of 2009. The short term growth opportunities for SafeMove in Finland are limited, but Birdstep is committed to gradually execute the internationalization strategy of Safemove, says Sandberg.
For further information, please contact:
Torbjörn Sandberg
President and CEO of Birdstep Technology ASA
+46 70 5170964
Torbjorn.Sandberg@birdstep.com
Alex Gundersen
CFO of Birdstep Technology ASA
+47 41 474107
Alex.Gundersen@birdstep.com
About Birdstep (www.birdstep.com)
Birdstep Technology ASA is a software vendor listed on the Oslo Stock Exchange (OSE) under the ticker `BIRD`. The company has four business segments, located in Norway, Sweden, Finland and the United States: EasyConnect offers connection and service management clients for network operators and laptop manufacturers, Orbyte allows network operators to rapidly deploy and manage large networks with advanced features, SafeMove provides seamless and safe connectivity to business data for OEM-providers and corporations, while Raima provides enterprises with high-performance embedded databases for in-memory database usage and persistent storage devices. The company has 100 employees and is headquartered in Oslo.
