www.imgtec.com
Imagination Technologies Group plc is principally engaged in the design, development and marketing of multimedia technology, and products incorporating this technology.
Imagination Technologies has a range of application-focused open standards-based intellectual property (IP) cores, including multimedia accelerators for graphics, video and audio; multi-standard communications engines, and system-on-chip (SoC) processing solutions.
Imagination Technology on track to hit targets in 2010 and 2011 as markets recover
Imagination Technologies Group (LSE: IMG), a maker of processors for mobile devices and consumer electronics, said it was on track to hit its performance targets, expecting to ship 120 million units this year and meet the guidance of 200 million shipments in the next financial year.
Imagination Tech said interest in its technologies across many partners and markets has been on the rise as the group has concluded a number of several licensing agreements and is currently progressing more “sizeable agreements” with both existing and new partners. The business performance was helped by a recovery in the semiconductor design activities over the recent months, which boosted small and medium sized companies after only top tier businesses were able to maintain R&D (research and development) spending.
Business engagements have stepped up in the current year, leading to a build-up of what the group called “healthy and active pipeline of prospects” and a number of licensing agreements that are in advanced negotiation and contractual stage.
“However, as always, it remains difficult to predict the precise timing of deal closure, particularly as the decision making process of some companies is still influenced by the economic environment, albeit to a lesser extent than last year,” Imagination Tech said in the statement.
The ramp-up of volumes of existing and new end-user products has grown and is expected to improve further due to increased wins in the group’s established markets such as mobile phone, PMP, TV/STB, PND/navigation, and the growing and developing markets for netbooks, tablets, gaming devices and in-car electronics dashboards.
This is expected to help Imagination Tech hit its target of 200 million product shipments in the 2010/11 financial year and achieve 120 million shipments in the current year.
The group added that its PURE business continued making significant progress with revenues in the run-up to and during Christmas.
