We performed well in the first six months of 2008.Even though we are privately held, I have no problem disclosing some of our results. Below you will find a few key comparisons between Q2 ’07 and Q2 ’08 and comments where applicable.
Key financial results:
· Revenues up by 44%
· Inbound orders up by 22%
· Net income was down, but still positive. As part of our five year plan, 2008 is dedicated to the addition of new developers and technical personnel. These talented people are expensive, but important investments. Additionally, we spent approximately $60,000 more on our tradeshow presence at Infocomm this year compared to the previous year.
· DSO (Receivables) down by 26%
· COGS are up by 9%. I contribute this to the overall rising cost of PCs associated with our products. These devices are affected by broader economic influences.
Key Volume Indicators:
· Player unit volume up by more than 60%
· Server unit volume up by 22%. We are increasing the ratio of players to servers (larger deployments).
· Training sessions delivered up by 148%. This is a concerted effort to improve the quality and quantity of training we deliver.
· Implementations up by 92%. There is a direct correlation between the number of servers we ship and the number of implementations we support. Even though more than 96% of our systems are sold through a channel, an overwhelming number of partners rely on Visix to provide implementation services. The reliance stems from general networking complexities.
Technical Support Indicators:
· Total number of support tickets handled up by 38%. Again, there is a correlation between the number of systems we deploy and the number of trouble tickets we handle.
· Number of tickets resolved in less than 24 hours is up by more than 41%. We continue to refine our response processes and improve the time to resolution.
· Average WebEx support session is down by 33%. This reinforces the previous statement that we are both improving our time to resolution and improving the quality of our software releases.
We will continue our organic growth at these same rates through 2010 when we will evaluate alternative growth strategies.
I will keep you posted.