RE:RE:Vecima is a company for the futureMaybe this should convince me?
Expected multi year up cycle
Vecima Expects Record-Breaking Q2 Revenue of $43 to $44 Million
Business WireJan 6, 2022 7:00 AM EST
Rapidly Accelerating Demand for Entra DAA and MediaScaleX IPTV Solutions Drives Record High Sales Pace and Sales Growth
After initial reviews of its second quarter fiscal 2022 performance, Vecima Networks Inc. (TSX: VCM), (“Vecima” or the “Company”) announces today that it expects record-breaking sales in the range of $43 to $44 million for the three-month period ended December 31, 2021. This is the highest quarterly revenue in Vecima’s entire 33-year history, representing year-over-year quarterly organic growth of between 43% to 45%, and sequential quarter-over-quarter organic growth of between 33% to 35%.
“Swiftly growing demand for our Entra Distributed Access Architecture (DAA) solutions has propelled Vecima’s sales to new heights in Q2,” said Sumit Kumar, Vecima’s President and Chief Executive Officer. “With the cable industry’s transition to gigabit speeds via distributed access architecture now underway, customers worldwide are choosing Vecima’s DAA solutions to underpin their network infrastructure buildouts. The rapid pace of Entra adoption, paired with strong supply chain management, are driving us to record quarterly sales increases and into the next phase of corporate growth.”
“And while this investment cycle is being deployed leveraging existing technology standards, our DAA solutions will support new standards as they evolve,” added Mr. Kumar. “For instance, as previously announced, Vecima and Charter Communications recently demonstrated greater than 8.5 Gbps downstream and 6 Gbps upstream on hybrid fiber-coaxial (HFC) cable plant, using next-generation DOCSIS 4.0 System-on-a-Chips for the Remote MACPHY Device and cable modem solutions. The HFC plant remains a huge asset for cable operators, and our recent testing validates the performance and viability of DOCSIS 4.0 and the inherent multi-gig symmetrical capacity of the cable plant.”
“Our pace of growth was additionally accelerated by exceptional performance in our Content Delivery and Storage segment,” added Mr. Kumar, “with robust demand across the balance of the MediaScaleX product family and a segment record in quarterly sales helping to fuel our momentum.”
“While both our revenue results and rate of growth are the best in Vecima’s history, Vecima believes this is only the start of an expected multi-year investment cycle, with the market still in the early innings of the broader industry’s transformative shift to Distributed Access Architecture and IPTV. Vecima is already firmly established as a global industry leader on both technology fronts with winning, market-leading product portfolios. We anticipate a continued acceleration of demand momentum going forward,” said Mr. Kumar.
Vecima plans to release its second quarter fiscal 2022 financial statements and management’s discussion and analysis pre-market on Thursday, February 10, 2022. The Company will host a conference call at 10 a.m. Eastern Time on the same day to review the results, provide an operational update and discuss recent milestones.