It was not a pretty financial report for IDC.
International Datacasting Corp. handles digital content distribution for radio, TV and digital cinema clients. It said revenue for its fiscal 2012 was down 15% to $29.4 million, and down 44% in the fourth quarter. IDC lost $2.3 million in the fiscal year. The company called it “a disappointing year from a financial perspective.”
Addressing the Canadian company’s business outlook, President/CEO Frederick Godard stated in the announcement that IDC has been streamlining its operations over two years. “More importantly, through the introduction of new products and technologies IDC has been seeking to expand its addressable markets from its current base to include markets with more breadth and scope.”
Godard was named to head the company in 2010 in hopes of helping improve its business position. He said the poor 2012 results were due in part to the effect of a write-down in value of inventory associated with legacy businesses, as well softening in IDC’s legacy markets.
“However, seeds were planted which we expect will germinate in fiscal 2013 and create a much more competitive and successful IDC. Fortunately, IDC remains well capitalized with a solid working capital base as we continue to invest in new product introductions and enter into new markets.”
He said the company is not abandoning its historic markets but trying to increase the “addressable market reach” of IDC. “The introduction of two new major market thrusts launched at the recent National Association of Broadcasters’ convention marks the beginning of the next phase in this transformation of IDC. This long-term transformation is being executed with the objective of launching IDC into markets capable of driving sustained growth.”