Heavy rains in China beginning in May have triggered massive flooding and landslides across the country, causing widespread destruction and loss of life. In addition, on August 8, a devastating landslide struck Zhouqu county in northwest Gansu province and rescue and relief efforts remain ongoing.
We at Canon extend our heartfelt condolences to all those affected by these disasters and our thoughts go out to the victims and their families. Although the road to recovery will be challenging and take time, we hope that the region will soon be able to begin the rebuilding and healing process.
The Canon Group is aiding in the relief efforts for victims with a donation of RMB 2 million (approximately 25.4 million yen) to the Japanese Red Cross Society and other humanitarian aid organizations.
X-Rite, Incorporated today announced its financial results for the second quarter ended July 3, 2010.
Financial Highlights of today’s announcement:
- Second quarter net sales increased by 15.7 percent to $57.1 million compared to $49.4 million for the second quarter of fiscal 2009
- Second quarter Adjusted EBITDA increased $2.7 million, or 22.1 percent, to $14.9 million. Adjusted EBITDA was 26.1 percent of sales versus 24.8 percent of sales in the prior year second quarter
- Second quarter income from operations and net income improved by $5.7 million and $9.5 million to $8.2 million and $1.9 million, respectively, resulting in second quarter EPS of $0.02 per diluted share
- Strong year to date cash flow before financing of $18.6 million or 17.2 percent of sales
- Debt pay downs of $10.6 million for the quarter and $17 million to the end of the second quarter
Market Highlights of today’s announcement:
- Strong sales growth across all sectors and all regions
- New customer agreement signed with a leading North American Hardware Co-operative that is expected to increase iVue® market share and growth of the Retail sector.
- Introduced Pantone Matching Systems PLUS Series and the MA94 and MA96 Multi-Angle Spectrophotometer Industrial product lines
The Company’s strong sales growth was the result of recently launched product and marketing initiatives in combination with the global market recovery. Net earnings for the quarter were $1.9 million, or $0.02 per diluted share, compared to a net loss of $7.6 million, or $(0.10) per diluted share, for the same period of 2009.
Major new products introduced in the quarter were the new Pantone Matching Systems PLUS SERIES product lines and the MA94 and MA96 Multi-Angle Spectrophotometer. The new Pantone Matching Systems PLUS SERIES preserves all of the current colors of the Pantone Matching Systems, which it replaces, while adding a host of new colors, for greater design flexibility. The new Pantone Matching Systems PLUS SERIES product line incorporates X-Rite features such as the Color Checker Lighting Indicator, Color Checker Primer and Color Manager Software. The Multi-Angle products deliver cost effective reliable color measurement anywhere from the lab to the production line supporting formulation and quality control applications. The Company is receiving favorable customer acceptance of the new products.
The Company continued its organic product growth by announcing an agreement to install a minimum of 600 new color matching systems with a leading North American Hardware Co-operative over the next 12 months. This investment will replace an existing solution from an X-Rite competitor and supports the Co-Operative's paint department growth strategy.
"The positive momentum in our business this year continued into the second quarter with very solid growth in both sales and profitability," stated Thomas J. Vacchiano Jr., the Company's Chief Executive Officer. "This reflects the improving economic picture in many of our markets as well as success from our new sales, marketing, and product initiatives. One highlight here is the 26.1 percent growth of our Asia Pacific market. Furthering our commitment to the Asia Pacific region, the Company has recently announced Dr. Iris Mangelschots, a highly successful company sales and marketing leader, as President of X-Rite Asia Pacific region."
Through the Company's continued effective cost management and increased operating leverage, operating income for the second quarter increased to $8.2 million, or 14.4 percent of sales, in the period versus $2.5 million, or 5 percent of sales, in the prior year period. Supported by the combination of sales growth and the fiscal 2009 profit improvement actions, the Company reported Adjusted EBITDA for the second quarter of $14.9 million, or 26.1 percent of sales, an increase of $2.7 million or 22.1 percent over the second quarter of 2009.
The Company reported continued strong cash flows before financing activities of $18.6 million, or 17.2 percent of sales, for the six months ended July 3, 2010. Improved profitability and working capital metrics contributed to the Company's strong operating cash flows. As a result of the Company's operating cash flows an additional $10.6 million of first lien debt was paid in the quarter, for a total of $17.0 million in debt pay downs for the year. At quarter end net debt from secured credit facilities was reduced to $136.5 million.
Rajesh K. Shah, X-Rite's Chief Financial Officer, commented "I am pleased we are able to leverage the benefits of higher sales into significantly improved financial performance and cash flows. This has allowed the Company to continue to focus on accelerated debt pay downs while continuing to make the investments required to achieve our long-term growth plans. In addition to the $17.0 million in debt pay downs the Company achieved in the first six months I am also pleased to announce that we have already paid down an additional $9 million of first lien debt in the third quarter of 2010."
Vacchiano continued, "The Company is off to a good start this year. Our increased 2010 revenue and profitability reflect the strength and momentum of our product portfolio in a healthier global marketplace. This momentum should lead to double digit third quarter sales growth compared to the third quarter of last year. That said we continue to carefully monitor the economic climate, maintaining flexibility to manage our business opportunities accordingly."
ImTech announces new patent approval for thermally ejectable UV curable fluids
Years of development work led to the patent and resulted in ImTech providing three industry-leading, UV Curable inks for HP45 cartridges to the industrial printing market.
President and co-inventor, Bill Buskirk stated that "Our development was focused on a market opportunity: printing on non-porous substrates with thermal inkjet technology. Until recently, using thermal inkjet for many direct-part marking or package printing applications was not possible because inks were not available for these types of materials. Our products allow many of these applications to be addressed with the simplicity and low cost of thermal inkjet cartridges and printing technology."
Buskirk went on to state that "broadening the market addressable with thermal inkjet remains a top priority for our product development team.
“ImTech is releasing two new inks for HP45 cartridges demonstrating our capabilities with fast drying solvents for polyethylene and PVC based substrates," he added.
Specialty fluid development remains one of the core competencies of ImTech, a technology development and engineering company focused on the use and application of inkjet in the global industrial market.
ImTech provides specialty inks, printing systems and related consulting and engineering services for inkjet applications. Its products are available worldwide, ranging from piezo and thermal inkjet development and characterization tools to HP industrial coders, bulk systems and inks. As an OEM inkjet partner with HP’s Specialty Printing Systems Division, ImTech is licensed to fill new, original HP 45 cartridges with its own inks. The company’s ink solutions include UV-curable inks for use in TIJ products, as well as application-specific and custom inks.
ImTech’s engineers are recognized industry experts who were instrumental in developing thermal inkjet technology; collectively they have more than 250 years of inkjet and imaging experience and have more than 150 patent authorships. Recently, ImTech was named 40th on the 2010 Portland Business Journal’s fastest growing private businesses in Oregon list, marking ImTech’s third straight appearance.
Global Graphics SA, experts in developing electronic document and printing software and best known LFP market as the developers of the Jaws RIP engine, announces financial results for the second quarter and the first six months of the year ending 31 December 2010.
Global Graphics SA, experts in developing electronic document and printing software, announces financial results for the second quarter and the first six months of the year ending 31 December 2010.
Comparisons for the second quarter of 2010 with the second quarter of the previous year include:
- Sales of Euro 2.2 million this quarter, compared with Euro 2.6 million in Q2 2009;
- An operating loss of Euro 1.2 million this quarter compared with an operating loss of Euro 0.1 million in Q2 2009;
- An adjusted operating loss of Euro 0.7 million this quarter compared with an adjusted operating loss of Euro 0.2 million in Q2 2009;
- An adjusted pre-tax loss of Euro 0.8 million this quarter (or an adjusted pre-tax loss of Euro 0.08 per share) compared with an adjusted pre-tax loss of Euro 0.4 million in Q2 2009 (or an adjusted pre-tax loss of Euro 0.04 per share);
- A net loss of Euro 1.5 million this quarter (or a net loss of Euro 0.14 per share) compared with a net loss of Euro 0.5 million in Q2 2009 (or a net loss of Euro 0.05 per share); and
- An adjusted net loss of Euro 1.0 million this quarter (or an adjusted net loss of Euro 0.10 per share) compared with an adjusted net loss of Euro 0.6 million in Q2 2009 (or an adjusted net loss of Euro 0.06 per share).
Commenting on performance, Gary Fry, Chief Executive Officer, said: "Clearly, the effect of the reorganization that took place in April hit our numbers in the second quarter and the first six months of 2010. This reorganization was successful and has left us with a lower cost base that is manageable on current revenues from existing customers. I have been very proud of how the company and our partners have embraced this change and I believe that we are stronger and more agile going forward.
"Traditionally we enjoy a major bulk order in the second quarter. This customer still has inventory for another quarter and therefore did not need to buy from us during Q2. The lack of this bulk order is the main reason for the drop in sales made in the eDocument segment of the Company's business over those made in the second quarter of 2009.
"I was very pleased to conclude and announce a new five-year partnership deal with HP in May. HP has been a great partner for Global Graphics for many years and our relationship has never been better. We also saw sustained growth from Jaws RIP customers in the wide format segment.
"During the quarter, we launched version 2.5 of gDoc Fusion which has significant enhancements that our early adopter customers had requested. Web sales are still low but are increasing month on month. Corporate sales are progressing, with signed corporate license plans with customers like the United States General Services Administration (the US federal procurement agency), with the UK Home Office via Fujitsu, and several others. We have also started some bundling offers with Mindjet and Quark that we introduced late in the quarter."
Second quarter 2010 performance
Sales for the second quarter 2010 amounted to Euro 2.2 million compared with Euro 2.6 million in the second quarter 2009, or a sequential decrease of 17.4% at current exchange rates, and of 23.1% at constant exchange rates.
Total operating expenses amounted to Euro 3.3 million this quarter compared with Euro 2.6 million in the same period of 2009 and Euro 3.0 million in Q1 2010. Non-recurring expenses for the second quarter 2010 amounted to Euro 0.5 million, and included expenses of Euro 0.4 million with regards to the reorganization plan of the Company which was implemented in April 2010, and another Euro 0.1 million with respect of allowances for certain doubtful accounts.
The Company reported an operating loss of Euro 1.2 million for this quarter (or a loss equivalent to 54.6% of Q2 2010 sales), compared with an operating loss of Euro 0.1 million in Q2 2009 (or a loss equivalent to 2.6% of Q2 2009 sales).
The Company reported an adjusted operating loss (as defined in the accompanying table) of Euro 0.7 million for this quarter (or a loss equivalent to 33.4% of Q2 2010 sales), compared with an adjusted operating loss of Euro 0.2 million, equivalent to 8.1% of Q2 2009 sales.
The Company reported an adjusted pre-tax loss (as defined in the accompanying table) of Euro 0.8 million for this quarter, compared with an adjusted pre-tax loss of Euro 0.4 million in Q2 2009. Accordingly adjusted pre-tax EPS was a loss of Euro 0.08 this quarter compared with an adjusted pre-tax loss of Euro 0.04 per share in Q2 2009.
The Company reported a net loss of Euro 1.5 million for this quarter (or a net loss of Euro 0.14 per share), compared with a net loss of Euro 0.5 million in Q2 2009 (or a net loss of Euro 0.05 per share).
The Company reported an adjusted net loss (as defined in the accompanying table) of Euro 1.0 million for this quarter, compared with an adjusted net loss of Euro 0.6 million in Q2 2009. Accordingly, adjusted net EPS was a loss of Euro 0.10 this quarter, compared with an adjusted net loss of Euro 0.06 per share in Q2 2009.
First six months performance
Sales for the first six months of 2010 amounted to Euro 4.2 million compared with Euro 5.3 million for the same period of 2009, or a sequential decrease of 21.2% at current exchange rates, and 22.2% at constant exchange rates.
Total operating expenses amounted to Euro 6.3 million for the first six months of 2010, compared with Euro 5.3 million for the same period of 2009. Non-recurring expenses for the first six months of 2010 amounted to Euro 0.5 million, and included expenses of Euro 0.4 million with regards to the reorganization plan of the Company which was implemented in April 2010, and another Euro 0.1 million with respect of allowances for certain doubtful accounts.
The Company reported an operating loss of Euro 2.3 million for the first six months of 2010 (or a loss equivalent to 54.6% of the period's sales), compared with an operating loss of Euro 0.2 million for the same period of 2009 (or a loss equivalent to 3.7% of that period's sales).
The Company reported an adjusted operating loss (as defined in the accompanying table) of Euro 1.8 million for the first six months of 2010 (or a loss equivalent to 43.0% of the period's sales), compared with an adjusted operating loss for the same period of 2009 of Euro 0.5 million (or a loss equivalent to 8.7% of that period's sales).
The Company reported an adjusted pre-tax loss (as defined in the accompanying table) of Euro 2.1 million for the first six months of 2010 (or an adjusted pre-tax loss of Euro 0.20 per share), compared with an adjusted pre-tax loss of Euro 0.6 million for the same period of 2009 (or an adjusted pre-tax loss of Euro 0.06 per share).
The Company reported a net loss of Euro 2.7 million for the first six months of 2010 (or a net loss of Euro 0.26 per share), compared with a net loss of Euro 0.6 million for the same period of 2009 (or a net loss of Euro 0.06 per share).
The Company reported an adjusted net loss (defined in the accompanying table) of Euro 2.2 million for the first six months of 2010, compared with an adjusted net loss of Euro 0.8 million for the same period of 2009. Accordingly, adjusted net EPS was a loss of Euro 0.22 per share for the first six months of 2010, compared with an adjusted net loss of Euro 0.08 per share for the same period of 2009.
Commentary on the remainder of 2010
Gary Fry continued: "Our strategy is clear: we will win and grow in the market segments that we have committed to work in, namely production printing, office printing and knowledge worker applications. We have reorganized the Company to be financially sensitive to market conditions and to ensure the correct balance of skills required in all areas. We have also recruited some top talent that will enable us to execute on this strategy. Clearly, overall macro-economic conditions have not been kind to us over the past twelve months, and we have now made the changes to adapt to this.
"We are seeing very positive signs of adoption in the new segments and recovery in the traditional segment. We have worked tirelessly to make sure that our OEMs remain at the leading edge and therefore competitive, and will continue to do so. We have some exciting partnerships that will allow greater and faster adoption of both embedded printing and gDoc applications. I expect to see some positive trends during the next two quarters."
Second quarter 2010 conference call details
Global Graphics will hold a conference call today at 10.00 CET about its results for the second quarter and the first six months of the year ending 31 December 2010.
Callers should dial +44 (0)207 162 0177 and quote "reference number 871834, Global Graphics quarterly results conference call" to the operator. The call will be available for replay for 7 working days by dialing +44 (0)207 031 4064 (freephone number UK only: 0800 358 1860), access code 871834.
Third quarter 2010 results announcement
Global Graphics expects to announce its financial results for the quarter and the nine-month period ending 30 September 2010 on Wednesday 20 October 2010 before market opening.
Digital signage streamed through TV screens of all sizes is coming, and it will undoubtedly impact on businesses that use large format print to provide out-of-home visual stimulation and advertising.
In a nutshell, more digital signage surely means less printed signage?
Assuming that is true, how do you, the guy that prints sign and display graphics, replace this lost revenue stream? Can you make money from digital signage systems?
We asked ourselves that very question, and recently visited the Screen Media Expo at Earls Court to see if we could find answers, or spot any potential opportunities - frankly we came away largely unimpressed. I'm going to play devil’s advocate here and concentrate on the negatives…
The distinct impression we took on board overall is that, currently, this is a very disjointed and unfocused market. This was compounded by the fact that we heard from some very good sources that no-one is actually making any money yet, not even the big players.
As said, there is little doubt that electronic displays will have an impact on the digital print market, but I just can't see where ‘we’, being those who supply products and services to the wide-format printing market, can make money from digital signage.
Can we profit from the hardware? I doubt that very much; the underlying ‘display’ technology is based on commodity consumer goods, and these can be purchased at a few dollars above cost on eBay.
What about software? Maybe some people will create niche applications, but our feeling is that any significant developments will quickly be bought up by the big brands. And they’re the companies which, ultimately, will own this market. Let’s face it – the software itself isn’t particularly innovative or clever; it’s simply content streams that already exist in mature forms in other markets.
Then there’s the content… again, I don't think so. Ultimately the content for this market, certainly as it matures, will be created by existing creative agencies and production companies that already produce for TV.
Finally, there’s the underlying network. The only value we see in this market for an entrepreneurial move is in building a niche network where you can corner a market. From here you can build a network structure where customers are paying for usage, bandwidth and views. However many of these niche markets are already tied up – good examples are London cabs, buses, train stations and shopping centres. Many of these contracts, and others like them have already been taken, and you, me or Joe the sign maker won’t get a sniff.
If you can corner a niche market, and create a digital network for it, then maybe, just maybe, you'll make some money. But this will happen probably through being acquired in the future by Google, Amazon, BBC, Sky or any of the other kings of Internet and Broadcast that will ultimately own this market in its entirety.
These are the companies which will have to own it, because they are the only people with the commercial nous to monetise it. That’s because the money will only ever come from big brand advertisers and, for the most part, they will not be dealing with the likes of you and me.
The exception to this is with existing media owners like Clear Channel and JC Decaux, who have installations that they can convert to encompass digital.
So, in summary, it’s an interesting market which undoubtedly will impact on print. But it’s a market where we feel that our skills as printers play no part and can add little value.
No doubt some will try. But, ultimately, I predict a lot of wasted time, effort and money, chasing a dream which doesn't actually exist.
Having said all of that, I very much look forward to someone proving that my negativity is ill-founded and incorrect.
GMG, developer and supplier of high-end color management and proofing solutions, is pleased to announce that the company has been awarded the HP Graphics Solutions Partner Gold level. The enhanced partnership with HP is a testimony of the outstanding proofing and color management solutions of GMG for the digital and wide-format printing segments.
With GMG ColorServer and GMG SmartProfiler GMG offers end-to-end color management for the HP Scitex large-format printers and HP Indigo digital presses to improve color accuracy and consistency in daily production dramatically. Now, it is possible for GMG and HP customers to achieve in an automated process a visual match with offset printing, as an ISO Coated V2 appearance can be produced with their digital or large-format devices.
The wizard driven GMG SmartProfiler and a corresponding measuring device enable users to quickly create individual profiles for the great variety of different substrates used for wide-format applications. Also the regular calibration of a wide range of large-format printers can be done easily with the help of GMG SmartProfiler.
Based on GMG's DeviceLink technology, the GMG ColorServer automatically converts any kind of colors, including spot colors, to the color spaces of the various output devices.
"We are excited about the expansion of our long-lasting relationship with HP in the field of high-end proofing with printers of the HP Z-series, which was the first result of our close technological cooperation", says Paul Willems, CEO of GMG GmbH & Co. KG. "The GMG ColorServer/SmartProfiler color management solution creates additional value to our customers, putting service providers in a position to offer print products with an identical color appearance, regardless of which printing process, press and substrate used. The HP Gold partner status clearly demonstrates the high quality standards the GMG brand stands for and will certainly help to enhance the visibility of our joint solutions and their benefits for printing companies", adds Willems.
Large Format Review provides daily breaking news on digital printer technology as used for commercial production of print for wide-format sign and display, dye-sublimation textile and fabric printing, packaging and industrial applications. We also cover 3D print and additive manufacturing.