TeleAtlas Sales up 13%; Narrows Loss

Tele Atlas reported earnings for the first quarter, with revenue up 13% over year ago, and their net loss decreased 22%. Their revenue from GPS units increased 56% over prior year, which shouldn’t be any surprise to GPS Lodge readers. Recall, TomTom and Mio use TeleAtlas maps.

Alain De Taeye, Chief Executive Officer, said: “The personal navigation market continued to perform strongly, especially in North America, in what historically has been our slowest quarter in the year. We launched new services for application developers and content providers that facilitate the delivery of content-rich map-based applications. I am confident that we are on track for yet another good year.”

More from their Press Release...

Personal Navigation:
During the first quarter of 2007, worldwide revenues in the personal navigation segment increased by 56% over the same period in the prior year to €32.2 million. These 2007 first quarter revenues represent map license fees on 2.2 million personal navigation units as compared to 1.2 million units in the same quarter of the previous year. EMEA personal navigation revenues for the quarter were €27.2 million, an increase of 47% over the same period last year. Americas personal navigation revenues were €5.0 million, an increase of 161% over the same period last year.

Automotive Navigation:
As previously announced, Tele Atlas is phasing out its compilation and conversion activities. The impact of this phase out during the quarter was a reduction of approximately €1.9 million in compilation and conversion revenues. This reduction was offset by a similar reduction in cost of revenues and operating expenses. Worldwide revenues in the automotive navigation segment decreased by 8% to €11.5 million or approximately 1.0 million compared to the same period last year. Worldwide, the number of map licenses sold by Tele Atlas in the automotive segment grew 8% to over 0.5 million units compared to the same period last year. EMEA revenue in this segment was €8.3 million, a 21% or €2.2 million decrease from the same period in the prior year. Americas automotive navigation revenue increased by 70% to €2.8 million, resulting principally from growing sales to DENSO for General Motors.

Enterprise and Government:
First quarter revenue for the enterprise and government sectors (business-to-business) decreased 14% to €11.4 million from €13.3 million during the same period last year, mainly as a result of the Euro impact of changes in exchange rates. Americas revenue in this segment decreased by 11% to €9.4 million compared to last year due to these changes in exchange rates. EMEA revenue in this segment was €2.1 million compared to €2.7 million in the same quarter last year.

Data Products Navigation:
Revenues during the quarter from automotive navigation data products, a segment that today exists primarily in EMEA, decreased by 26% to €4.3 million compared to €5.9 million the same period last year due to reduced demand for map updates for older CD based systems.
Other Segments:
Revenue in the other segments, consisting of Internet and consumer wireless markets, increased by 8% to €4.5 million compared to €4.2 million during the same period last year.

May 7, 2007

TeleAtlas Sales up 13%; Narrows Loss