RNS Number : 2844Z
14 March 2012
14 March 2012
("SerVision" or the "Company")
SerVision (AIM: SEV), the AIM listed leading developer and manufacturer of an award winning range of digital security systems, is pleased to provide an update on the Company's trading for the financial year ending 31 December 2011.
The Board of SerVision remain confident that for the year ending 31 December 2011 the Company's revenue and net profit from ordinary activities will be broadly in line with market expectations (after adjusting for the one off positive revaluation of $0.76 million reported in the Company's interim results).
On 17 November 2011 the Company announced that the Directors were confident that SerVision's financial performance for the financial year ended 31 December 2011 would be in line with market expectations, but that this would be dependent on the receipt of a purchase order from one of its distribution partners. This expected purchase order has still not been received by SerVision. However the shortfall from the Company not receiving this purchase order has been offset by SerVision receiving a further purchase order from AGS Transit Technologies Ltd ("AGS") at the end of 2011 which resulted in total fulfilled purchase orders from AGS of $690,000 in 2011 for the supply of certain of SerVision's products in India. Additionally the Company has fulfilled the majority of the further purchase orders from customers valued at $1.25 million which were detailed in the announcement made by the Company on 17 November 2011 and also secured other smaller purchase orders from customers in Turkey, USA and Brazil towards the end of 2011.
In May 2010 the Company announced a manufacturing rights agreement with Rich Wonder Technology Limited ("Rich Wonder") to manufacture all of SerVision's narrow band-width video gateway products to be sold in China and other authorised territories. As previously detailed $1.4m of the consideration payable was to be settled through the supply of 3,730 of SerVision's MVG 400 units. As at 7 March 2012 a total of 830 saleable MVG 400 units had been received from Rich Wonder, the majority of which have been sold.
For further information:
SerVision plc +972 2535 0015
Eitan Yanuv, Finance Director
Allenby Capital Limited (Nominated Adviser/
Broker) +44 (0)20 3328 5656
Nick Athanas / James Reeve
Leander (Financial PR) +44 (0)7795 168 157
This information is provided by RNS
The company news service from the London Stock Exchange