SeaChange International Reports Fourth Quarter and Fiscal Year 2020 Financial Results Download as PDF April 06, 2020 4:05pm EDT
Related Documents Audio
Earnings Webcast
10-K Filing PDF HTML
10-K/A Filing PDF HTML
XBRL ZIP XLS HTML
Presentation PDF
Conference Call Script PDF
Record Number of Framework Wins in Q4 Drives 14% Revenue Increase
Non-GAAP Income from Operations of $4.8 million and
GAAP Income from Operations of $3.6 million
WALTHAM, MA / ACCESSWIRE / April 6, 2020 / SeaChange International Inc. (NASDAQ:SEAC), a leading provider of cloud and on-premise video delivery platforms worldwide, today reported financial results for the fourth quarter and fiscal year ended January 31, 2020.
Management Commentary
The fourth quarter represented an incremental step forward and was a strong finish to a transformational year for SeaChange, said CEO Yossi Aloni. Our success in fiscal 2020 can be summed up best through a handful of key operating metrics and milestone achievements, most notably the 26 significant Framework deals we closed, our expanded gross margins at 65%, the more than $12 million in annualized cost savings we realized throughout the year, and the $4.8 million we recorded in non-GAAP operating income during the fourth quarter.
As we completed our transition to becoming a pure software and cloud solutions provider, we faced a rapid decline in our legacy revenue, which we were prepared for and which is now behind us. However, with the Frameworks superior technology and disruptive value-based go-to-market strategy, we successfully grew in our core business segment and were able to deliver $36.8 million in new Framework revenue since we began selling the Framework solution in April 2019. In the fourth quarter, our Framework revenue made up 68% of total revenue, reflecting our transition to a software-centric business model, which we believe provides us with tremendous predictability and a favorable margin profile.
We entered the new fiscal year with significant operating momentum and the most robust pipeline in our companys history. Even prior to the advent of COVID-19, the TV and video industry was in the midst of an unprecedented shift in how content is being consumed at home. This shift has been accelerated as more consumers stay at home in the wake of COVID-19, and we believe SeaChange is ideally positioned to capitalize on this long-term trend with our managed, cloud-based video delivery service. SeaChange allows content providers to meet the growing demand for content by enabling them to launch direct-to-consumer video services in a matter of days. During Q4 we enhanced the Framework platform with the industrys first end-to-end cloud advertisement management, placement and insertion solution for both live and on demand TV. This new feature allows TV providers to offer a web-online like workflow for its advertisers with real-time, dynamic and programmatic insertion, which enables TV providers to both better utilize their ad-inventory and win web-centric advertisers.
While the current global economic uncertainty makes our near-term visibility with respect to new bookings challenging, we are seeing increased interest in our Framework solution as operators look to preserve their existing revenue base and to find new sources of revenue, and importantly, to reduce operating expenses. SeaChanges Framework is the only solution in the industry that enables operators to lower costs by approximately 50% while helping them attract new subscribers and to better monetize their existing installed base. SeaChange is expanding upon its robust advertising solution with the development of a new module that will revolutionize how a customers unsold and underutilized ad inventory is sold. At this stage the company is testing it with a few customers, and more will be shared on this development in the near future. We believe that these factors, combined with the positive underlying industry trends bode exceptionally well for SeaChange for the foreseeable future.
Looking ahead, the progress we achieved on our key financial and operational objectives in fiscal 2020 gives us confidence in our ability to realize our mid-term target model of driving sustainable, double-digit revenue growth and a non-GAAP operating income margin of over 15%.
Fourth Quarter Fiscal 2020 and Recent Operational Highlights
Secured a record 11 customer wins with multi-year commitments for the Framework video delivery platform, amounting to more than $15 million in total contract value and bringing the total number of Framework customers to 26 with more than $54 million in total contract value.
Completed the transition to a 100% software and cloud solutions provider.
Achieved a 24% increase in bookings to $17.3 million from $13.9 million in the same period last year.
Completed numerous cost-optimization initiatives, resulting in more than $12 million in annualized cost savings.
Fourth Quarter Fiscal 2020 Financial Results
Total revenue increased 14% to $19.3 million from $17.0 million in the same period last year. Product revenue increased 69% to $13.2 million (69% of total revenue) from $7.8 million (46% of revenue) in the same period last year. Service revenue decreased 33% to $6.1 million (31% of total revenue) from $9.1 million (54% of total revenue) in the same period last year.
Gross profit increased by 29% to $14.0 million (73% of total revenue) from $10.9 million (64% of total revenue) in the same period last year.
GAAP income from operations totaled $3.6 million, an improvement from a loss of $19.9 million in the same period last year.
Non-GAAP income from operations totaled $4.8 million, or $0.13 per basic share, an improvement from a loss of $1.2 million, or $(0.03) per basic share, in the same period last year.
GAAP net loss totaled $43,000, or $(0.00) per basic s
Most recent headlines
05/01/2027
Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...
01/06/2026
January 6 2026, 05:30 (PST) Dolby Sets the New Standard for Premium Entertainment at CES 2026
Throughout the week, Dolby brings to life the latest innovatio...
02/05/2026
Dalet, a leading technology and service provider for media-rich organizations, t...
01/05/2026
January 5 2026, 18:30 (PST) NBCUniversal's Peacock to Be First Streamer to ...
01/04/2026
January 4 2026, 18:00 (PST) DOLBY AND DOUYIN EMPOWER THE NEXT GENERATON OF CREATORS WITH DOLBY VISION
Douyin Users Can Now Create And Share Videos With Stun...
18/03/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
18/03/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
18/03/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
18/03/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
18/03/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
18/03/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
18/03/2026
SMPTE , the home of media professionals, technologists, and engineers, today unveiled its educational presentations for the 2026 NAB Show. This year SMPTE will ...
18/03/2026
Maxon, maker of powerful, approachable software solutions for creators working in 2D and 3D design, motion graphics, visual effects, gaming, and more, today ann...
18/03/2026
Digital Alert Systems
Preview
2026 NAB Show
April 19 - 22
Booth C3452
At the 2026 NAB Show, Digital Alert Systems will showcase Version 6.0 of its DASDEC ...
18/03/2026
Setplex today announced that it will showcase its complete, fully integrated Zapflex platform for the first time at the 2026 NAB Show, introducing powerful new ...
18/03/2026
THIS ANNOUNCEMENT RELATES TO THE DISCLOSURE OF INFORMATION THAT QUALIFIED OR MAY HAVE QUALIFIED AS INSIDE INFORMATION WITHIN THE MEANING OF ARTICLE 7(1) OF THE ...
18/03/2026
COW Jobs: Seeking DP for Low Budget Dramedy - Chicago
Brie Clayton March 17, 2026
0 Comments
Seeking Director of Photography for Low Budget Dramedy Fe...
18/03/2026
COW Jobs: Seeking Gaffer for Low Budget Dramedy - Chicago
Brie Clayton March 17, 2026
0 Comments
Seeking Gaffer for Low Budget Dramedy Feature Film- I...
18/03/2026
COW Jobs: Seeking Location, Sound for Low Budget Dramedy - Chicago
Brie Clayton March 17, 2026
0 Comments
Seeking Location/Sound for Low Budget Dramed...
18/03/2026
COW Jobs: Seeking Child Wrangler for Low Budget Film - Chicago
Brie Clayton March 17, 2026
0 Comments
Seeking Child Wrangler for Low Budget Dramedy Fe...
18/03/2026
Calrec Redefines Broadcast Workflows at NAB 2026 with its Most Powerful Hardware...
18/03/2026
Oscar Nominated Two People Exchanging Saliva Posted with DaVinci Resolve Studio
Brie Clayton March 17, 2026
0 Comments
DaVinci Resolve Studio handle...
18/03/2026
Boston Conservatory Presents Celebrated Musical Satire Urinetown Performances for this Center Stage production will take place at Boston Conservatory Theater ...
18/03/2026
Charlie Puth Joins Switched On Pop at Berklee NYC The Berklee alum spoke with host and Berklee NYC professor Charlie Harding for a live taping, answering audi...
17/03/2026
NASA+'s Rebecca Sirmons and Brittany Brown offer unique look at live streami...
17/03/2026
The transition to IP has fundamentally reshaped professional media infrastructures. Video, audio, and increasingly metadata now circulate as independent, precis...
17/03/2026
Live sports streaming can push every element in your video delivery chain to its limit, exposing every potential weakness in seconds. When the Super Bowl, the O...
17/03/2026
Texas Athletics sought to modernize its media production, enhance fan experience...
17/03/2026
Ikegami USA will demonstrate the latest additions to its wide range of broadcast...
17/03/2026
TNA Wrestling and iHeartMedia announces a new multi-platform collaboration that will integrate iHeartMedia across TNA's premium live events, weekly televisi...
17/03/2026
The goal was to transform Hard Rock Stadium into a global leader in sports and e...
17/03/2026
Spectrum has announced the launch of its new Multiview feature in the Spectrum TV App, giving customers the ability to watch up to four NCAA men's or women&...
17/03/2026
Genius Sports deal also covers data technology, AI, fan engagement, and performance analysis....
17/03/2026
Net Insight is supporting the rollout of a new state-wide centralized operation with Rede Massa, which is an SBT affiliate, the Brazilian regional television ne...
17/03/2026
Featuring audio from practice sessions, qualifying races, and Grand Prix races, the film represents Apple's sports-media ambitions
At Sunday night's Ac...
17/03/2026
Live broadcast has always been one of the most demanding environments in media a...
17/03/2026
DirecTV is introducing several new viewing features, including a multi-screen March Madness Mix channel and an updated Sports Central mobile app hub, ahead of...
17/03/2026
Deltatre has announced a multi-year partnership with ATP Media, the media arm of the ATP Tour, covering broadcast graphics, data, and production across the 2026...
17/03/2026
The Detroit Pistons have announced a third consecutive season partnering with Sc...
17/03/2026
Fresh Finds Africa spotlights emerging artists and movements across the continent and its global diaspora, with listeners tuning in to discover new Afro-forward...
17/03/2026
Last month, more than 60,000 fans piled into Bangkok's Rajamangala National ...
17/03/2026
Vintage-inspired channel strip joins line-up
Black Rooster Audio's latest plug-in provides an all-in-one mixing tool inspired by classic analogue consol...
17/03/2026
Level and EQ voice, reverb and noise independently
The latest plug-in to join Accentize's collection is said to take a new approach to dialogue processi...
17/03/2026
UHF radio mic & IEM bandwidth at risk
Once again, the UHF bandwidth that is currently allocated to RF audio gear is at risk of being reassigned to high-spee...
17/03/2026
Last Friday, the first Plant Fire Department Training Week in Bavaria successf...
17/03/2026
New campaign from NAATI and SBS CulturalConnnect highlights how we all deserve ...
17/03/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
17/03/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
17/03/2026
3D streaming infrastructure provider Miris today announced the launch of a public beta for its new 3D asset streaming platform. Miris is building the infrastruc...
SeaChange International Reports Fourth Quarter and Fiscal Year 2020 Financial Results Download as PDF April 06, 2020 4:05pm EDT 
