2007 Sales up 20.8% to 14.8m
Share:
International sales growth gathering pace: +39.7%
i2S is an international group with recognized leadership in digital vision, optronics and high value-added image processing. i2S was listed on the Alternext market on 24 October 2007 (ISIN: FR 0005854700/ Symbol: ALI2S).
Millions of euros 2007 2006 Change (%)
Sales to end-September 10.2 8.4 +21.5%
Fourth-quarter sales 4.6 3.9 +19.4%
Full-year sales 14.8 12.3 +20.8%
Sales growth reaches 20.8%
The past year was one of strong growth for i2S with sales advancing by 20.8% to 14.8m. This result was at the high end of the guidance range, thanks to dynamic business trends in Q4 2007 (sales up 19.4% to 4.6m).
The ever greater focus on large international accounts has lifted the share of sales generated outside France from 35% to 62% over three years, for a full-year total of 6.6m in 2007. The increase was 39.7% in 2007.
Fourth-quarter highlights
i2S signed a number of new contracts in the fourth quarter of 2007, while continuing to invest to prepare for the projects that will be operational in 2008.
The Linescan division, specializing in quality control and production optimization systems for flat materials with high value added, saw a particularly buoyant year end. Sales advanced by 30.4% (100% in the dollar zone) and accounted for 12.3% of the group total. Pursuing its strategy of winning market share worldwide, i2S LineScan is chiefly targeting large accounts in the US and the coated glass market:
i2S LineScan wins contract with world's leading solar panel manufacturer (thin film): the number one solar panel manufacturer selected i2S's Flawscan surface inspection system. The system will be used for online inspection to improve the panel manufacturing process and enhance photovoltaic output.
Outside France, i2S LineScan's US subsidiary i2S Inc. recorded a sharp 173% increase in sales compared with 2006: with orders totaling $1.698m, 2007 was a very promising year for the company. The subsidiary is already independent in terms of techniques and marketing, but additional resources will be transferred to enable it to acquire the industrial autonomy it needs for its future development.
The Digibook division, specializing in scanners for bound documents and archives, saw robust growth of 43.8% in 2007. It now accounts for 44.2% of total group sales:
i2S DigiBook selected by IECI and Siemens to digitize civil status records in Spain:
this project, baptized "RED.es", is part of a call for tenders launched by the Spanish ministry for industry and commerce for the digitization of the country's civil status records from 1950 onward. Informatica El Corte Ingles (IECI) and Siemens won two of three contracts (representing 86 million pages), and selected i2S DigiBook to provide 65 Copibook book scanners and to develop the related applications software.
i2S DigiBook agrees to sell two DL 3000 automatic scanners to the national libraries of Finland and Norway: after equipping the provider selected by the Bibliothèque Nationale de France (digital library), i2S DigiBook sold two high-end scanners, capable of processing 3,000 pages per hour, to Finland and Norway. These orders, worth more than 0.5m, will be shipped in 2008.
As of today, i2S DigiBook has an installed base of more than 1,000 scanners in national and university libraries and national and industrial archive centers, working through major European and American service providers.
The Vision division, which develops innovative digital vision solutions in France for the sports, media, biomedical and aeronautics industries, recorded a 2.1% increase in sales and contributed 43.5% of the group total for 2007. While business was relatively stable in 2007, there were also commercial developments that bode well for the coming months:
Sports & Media: i2S's "photo finish" technology to be used at the Beijing Olympic Games. This technology, which includes camera systems and image processing software, was selected to monitor all of the main speed events (running events, cycling, rowing, etc)
An order for 50 cameras is currently being shipped;
Biomedicine: a leading maker of testing and diagnostic equipment awards exclusive contract to i2S. I2S will provide the company with equipment to create its next generation of modules for interpreting biological tests. The contract could involve several hundred units a year in the long term;
"Plus" cooperation project: i2S Vision in technological partnership with Thales Avionics. As part of the "La route des Lasers" business cluster, i2S is helping to develop a next-generation pilot helmet. This research and development project will give i2S access to the latest on-board vision technologies (real-time tracking and 3D vision). i2S will be contributing its expertise and experience in the design and manufacture of complex digital vision systems.
Outlook for 2008: double-digit organic growth
i2S is on track to record double-digit organic growth again in 2008.
Substantial demand for digitization of written cultural heritage will continue to drive growth for Digibook, which is number one in this segment. For LineScan, new international distribution agreements should help bolster i2S's positions outside France, particularly in China and the United States, where the group has been stepping up its technical and marketing visibility. The commercial successes recorded in 2007 should begin to bear fruit this year for the Vision division, which will pursue its internationalization in 2008.
In keeping with the strategy announced by i2S at the time of the IPO, the group will continue to actively seek out acquisition opportunities this year.
Thanks to its internationally recognized technical expertise in high value-added application niches and a steadily growing international distribution network, i2S is reiterating its sales forecast of 30m for 2010, implying a threefold increase on the 2006 level.
Next financial event:
Release of 2007 earnings and Q1 2007 sales on Monday April 28, after the market closes
Contacts
Press:
Agnès MAULEON Marketing & Communications Manager i2S
Tel: +33 (0)557 266 902 E-mail: a.mauleon@i2s.fr
Investors:
Jean-Yves BARBARA ACTIFIN
Tel: +33 (0)1 56 88 11 11 E-mail: jybarbara@actifin.fr
