French connected home technology specialist Netgem has seen first half revenues from its international business increase 58% year-on-year.
The company reported first half revenues of 19.5 million, compared with Â12.3 million a year earlier. In France, revenues more than halved to Â23.7 million from Â62 million in 2010. However, last yearÂs figures included a one-off payment from telco SFR for a software licence. In June 2011, Netgem renewed its contract with SFR for three years, evolving it towards a more service and software oriented business model with more recurring revenue. As a consequence, Netgem said its set-top-box revenue, starting this quarter, will be lower than those set out in the previous contract but SFR’s projected contributions to Netgem’s gross margin in value for the year will be higher.
ÂNetgem achieved numerous successes in France and abroad during the first half of 2011, the effects of which should boost 2011 FYE revenue and fully impact 2012,Â the company said in a statement.