Seeing Machines' expectations in sight as sales revenue more-than doubles

Computer vision technologies firm Seeing Machines saw its shares boosted on Friday after full year sales revenue more than doubled.

The firm achieved total sales revenue of AUD $30.7m for the period, up 127% against the previous year and in line with board expectations, with revenue momentum increasing throughout the year as the second half saw revenues 9% higher than the first.

Ken Kroeger, chief executive at Seeing Machines, said: "The key driver for our rapid revenue growth last year was our Fleet business, with sales more than 89% up in that division. As we develop our channel strategy and further refine the business model, we look forward to continued growth."

The driver fatigue monitoring company also saw gross profit increase from its negligible base point as a greater amount of its revenue came from the high margin automotive, off-Road and rail markets.

Group margins were affected by higher-than-expected final hardware costs and shipment delays associated with the Fleet Guardian Gen 2 product, with gross margins now predicted to fall below full-year expectations and impact group profits.

The AIM traded firm’s cash and cash equivalents at 30 June totaled AUD $43.4m, up from AUD $24.6m at the same point last year.

"As we are now working with an increasing number of automotive Tier 1 customers globally and are actively engaged on programs with five OEMs in North America, Europe and China, we are considered a world-leader in DMS (driver monitoring solutions) for automotive applications," said Kroeger.

Seeing Machines has secured production awards with German automotive OEMs, as well as one each headquarted in China and the US, with projected automotive revenue from this booked business to be recognised from 2019 to 2026 lying in the region of AUD $110m.

Seeing Machines’ shares were up 5.48% at 11.55p at 0819 BST.