LONDON (SHARECAST) – The California-based, London-listed DDD, which designs 3D conversion software, has risen sharply after revealing growing turnover and reduced losses.
DDD makes money by selling software licences which can turn 2D content into 3D. The offering is available across mobile, PC and TV platforms.
Revenue for the year ended December 31st was $5.53m (2010: $2.01m, an increase of 176%.
The increase was driven by growth in shipments of televisions, Blu-ray players, PCs and smartphones incorporating the group’s technology.
Substantial growth came from the PC market as most major manufacturers introduced 3D monitors and PCs. DDD announced 10 new licence agreements during 2011, including one with South Korean outfit LG for a smartphone that began shipping in the second half of the year.
Royalty revenues and “per unit” revenues from direct-to-consumer software licensing increased to $4.69m (2010: $1.65m) as shipments across TV, PC and mobile grew from 2.6m to 9.1m units.
Revenues from licence fees increased to $0.43m (2010: $0.09m). This was primarily driven by revenue from two TV chip makers and growth in licence fees from a Japan-based 2D to 3D conversion business that licences DDD’s technologies.
Adjusted profit before tax, before share-based incentive costs, was $0.53m (2010: loss $1.02m). The reported pre-tax loss was $0.10m (2010: loss $1.20m).
DDD’s Chief Executive, Chris Yewdall said of the results: “We have firmly established our position of leadership for 2D to 3D conversion, with more than 12 million units of TriDef 3D technology shipped worldwide in key 3D consumer markets. DDD is now operating cash generative and moved into profitability in the second half of 2011.”
Shares in the group had risen 2.6% by 08:09. Since the beginning of the year the stock is still down 10.4%.