Bridgewater Systems, the mobile personalisation specialist, today announced financial results for the three and twelve months ended December 31, 2009.
"Bridgewater delivered solid financial performance in 2009," said Ed Ogonek, CEO of Bridgewater Systems. "This reflects continued robust demand for our technology to support mobile broadband growth, combined with successful operational execution across the company, highlighted by significant new customer wins and key product launches."
"Global mobile data traffic grew significantly in 2009, and this is fuelling demand for our solutions as operators implement network and bandwidth management strategies to reduce costs, while also introducing flexible and dynamic pricing models to better align data revenues with network costs," added Mr. Ogonek. "We are well positioned to capitalize on these trends, and in 2010 are focused on growing our core business, increasing revenue from new products and solutions for 3G and 4G networks, and increasing sales outside North America."
Bridgewater reported revenue of CAN$66.7 million for fiscal 2009 increased 51%, compared with $44.2 million for fiscal 2008. The year-over-year increase mainly reflects contribution from new products such as the Home Subscriber Server and Policy Controller, license revenue from existing customers, as well as revenue from the delivery of integrated solutions. Q4 2009 revenue was $20.7 million, 53% higher than revenue in the same period last year, while the 2009 gross margin was $45.7 million (69% of revenue) versus $34.0 million (77% of revenue) in 2008, reflecting increases in direct product costs associated with the deployment of integrated systems and planned investments in operations support infrastructure, as well as internal and subcontracting costs incurred to support the increase in professional services engagements.
In 2009, Bridgewater says it continued to successfully penetrate the 3G and 4G markets globally. In Q4, the company announced that MetroPCS selected Bridgewater for its 4G LTE network. The multi-million dollarorder includes the Bridgewater Home Subscriber Server and Policy Controller. Bell Canada also selected the Bridgewater Service Controller for its new national 3G HSPA network in the quarter. During 2009, the company expanded 3G deployments with several existing customers and expanded customer engagements including new engagements with Cox and Mobily.
Bridgewater says it continued to increase its international customer base in 2009, adding new customers in Taiwan, the Middle East, Europe, and China.
With the results, Bridgewater presented its guidance for 2010. For 2010, the Company is expecting: Revenues of $82 to $92 million and net net earnings of $13 to $16 million.
Factors said to support Bridgewater's annual outlook include: high revenue visibility due to significant contracts with Tier 1 customers; a large installed customer base in existing and emerging markets; the long-term industry trends of growth in mobile data services and applications; and continued evolution of its business model for delivering products and services to address higher transaction capacity needs.