Seeing Machines Ltd (AIM:SEE, OTC:SEEMF) said revenue is in line with market expectations despite supply chain issues causing a delay in deliveries.
In a trading update for the year ended June 30 2022, the company that provides safety technology to the transportation industry expects to report revenue of A$54.2mln, in line with market consensus and up 15% from the previous year.
This is despite “global supply chain issues” which have impacted costs of its Guardian accident prevention technology as well as the Australian-based company’s ability to “secure an adequate supply of hardware to meet demand”, according to a statement.
As a result, over 2,000 Guardian units went undelivered, meaning the group has around A$3.5mln worth of forward orders to complete in 2023.
Seeing Machines said supply chain issues have been resolved with its manufacturer, and that it should return to “satisfactory levels of stock” by the end of the first half of 2023.
The company said there are more than 447,000 cars on the road, spanning 24 vehicle models across five original equipment makers, with Seeing Machines' driver monitoring system (DMS) technology installed, an increase of 246% year-on-year.
Its cumulative automotive order book now stands at A$395mln, it noted.
The group reported a 20% increase in annualised recurring revenues to A$20.7mln.
Its cash position at end-June is expected to be around A$59.3mln, 29% above market consensus.
"Our success in new business across all of our transport sectors, and notably in Automotive driven by our unique systems approach, is expected to continue as we work closely with our ecosystem to deliver our industry leading driver and occupant monitoring technology into the market,” said chief executive officer Paul McGlone.