IndigoVision first-half sales down 3% due to margin pressures

AIM-listed video security systems provider IndigoVision said first-half sales fell 3% year-on-year to $21.8m with a healthy increase in camera volumes increased offset by lower camera product margins “arising from continued competitive market conditions”.

IndigoVision said gross margin remained broadly in line with 2015 as a whole and within the group's normal trading range.
The company said the impact of cuts in overheads made last year continued to flow through in the six month period.

“As a result, the group expects to report that last year's first half operating loss of $1.26m has been largely eradicated. Working capital management remains strong, with net cash of $4.6m at the period end,” it said.