Open Insight #16
Net Insight Achieves Strong Q1 2023 results on the back of significant media deals and strong new product launches in both media and 5G synchronization
Welcome to the sixteenth edition of Open Insight, our blog for investors. This is where you can find out more about our offering and market position, our progress, our challenges and our growth.
During the quarter, we saw a currency-adjusted growth of 6,1%. Revenue for the first quarter amounted to 126,6 MSEK, which is an increase of 15,4% compared to the same period last year (currency-adjusted 6,1%). Although the macroeconomic challenges still create some uncertainty, our business benefits from several long-term growth forces. The biggest one is the transformation towards IP and cloud-based services that the media industry is undergoing. Our media solutions remain well-positioned in this transformation, especially in live sports and remote production, which has helped us to gain strength and growth. At the start of the year, we see large orders in the media industry and a continued positive trend for our cloud-based Edge offering. We have secured three strong new customer wins for our cloud native Nimbra Edge platform in the quarter. The first with the large US operator Lumen, the second with CBS Sports for their newly launched 24/7 soccer channel Golazio and finally with the global media service provider Globecast. Globecast also upgraded their media network to the powerful Nimbra 1060 for higher capacity. These new orders demonstrate our ability to provide high-quality cloud-based solutions to a diverse range of prestigious customers, and we expect this trend to continue in the future.
Additionally, a strong contributing factor to the quarterly result is the APAC region, which has shown steady growth over the last three quarters. Besides a quarterly stable growth, they recently managed to secure a larger and prestigious order for a nationwide live sports contribution network, which interconnects 20 arenas for a major sports league using JPEG XS compression, the 680-series as well as 1060s. Over the past year, we have established a prominent position in this region in both live sports events, contribution and remote production.
In this edition of Open Insight, we will highlight our continuous and steady progress in 5G synchronization, provide a more in-depth review of our strategic partnerships with both customers and collaborative partners and how these have and will help us expand in the media value chain, pursue development in our media growth pockets, and create more value for our customers. We will also highlight how we have responded to the latest trends presented at this year’s NAB show in Las Vegas, with new joint partner solutions and product launches, which were showcased and well received. Finally, we will delve deeper into the details of our key media deals during the quarter and share some thoughts on the evolving trends and changes taking place in the media market.