Encoda Systems Automation Solutions Group Announces Exceptionally Strong Second Quarter and First Half 2004 Sales Results


  • 83% year over year revenue growth through six months
  • Release of Encoda D-Series Version 4 Automation Solution with Linux 2.6 Open Source Operating System
  • Launch of VeriStream – expansion into monitoring multi-channel broadcast transmissions
  • Continued strong growth outlook for second half of 2004

Denver, CO — Encoda Systems Automation Solutions Group today announced record sales in the second quarter and reported its revenue for the half-year ended June 30, 2004 was 83% ahead of the same period one year ago.

“With sales nearly double over last year, it is

obvious our extensive product R&D investment as well as our

commitment to complete customer satisfaction is paying off as

broadcasters increasingly choose Encoda to automate their

multi-channel mission critical operations. The Encoda D-Series

automation solution is building market share as our new and existing

customers expand their operations,” explained Steve L’Heureux,

president, Encoda Systems Automation Solutions Group.

“Our software and product development team also changed the

face of the broadcast automation industry during this period by

launching Encoda D-Series Version 4 which employs the open source Linux

2.6 operating system, the most technologically rich OS platform

available today. This solution gives our customers tremendous

flexibility, configurability and scalability to meet a wide range of

broadcast workflow requirements cost-effectively,” L’Heureux continued.

The Automation Solutions Group’s record sales performance was driven largely by new orders in Europe, the Middle East

and Asia Pacific regions as well as continued system upgrade business

from our existing global customer base. The company is anticipating a

strong second half in North America and

has recently hired a new sales manager, Mark Fine, formerly of NOVUS

Automation who will work to focus on revenue growth in the region.

In addition, during the first-half of 2004, the Automation

Solutions Group launched a successful extension into the operational

broadcast monitoring segment of the industry with the release of Encoda

VeriStream. This system is designed to rapidly identify and correct

problems that may cause transmission errors on an entire network or

specific high value channels. VeriStream is capable of monitoring an

unlimited number of audio and video parameters and devices through all

stages of transmission. It is optimized for a multi-channel environment

such as those found in cable head-ends, terrestrial television network

operations or direct-to-home satellite broadcast services.

The remainder of 2004 is looking very promising, according to

L’Heureux. He expects strong industry acceptance of the company’s recent

acquisition of Arkemedia Technologies and the subsequent tight

integration of their powerful workflow and metadata capabilities into

the D-Series automation solution, to be demonstrated at IBC

this September. Together, Encoda and Arkemedia will bring to market

powerful new improvements in workflow efficiency from ingest to playout.

In addition, these new developments will provide significant benefits

to broadcasters looking for new revenue streams as they complete their

migration to digital operations and seek to leverage new business

opportunities enabled by their new digital infrastructure.

About Encoda Systems Automation Solutions Group

The Encoda Systems Automation Solutions Group is delivering

mission critical solutions for the broadcast industry to enable

integrated management of the digital media supply chain. Encoda’s high

availability automation architecture and real-time operating system

offer the industry’s most scalable and robust multi-channel automation

system on the market. Encoda Automation solutions automate over 4000

channels in 29 countries around the world.

About Encoda Systems, Inc.

Encoda Systems is the global leader in business solutions for

the media industry. Encoda Systems is a leading global supplier of

automation, sales, traffic, programming and financial systems for the

broadcast, cable, and satellite industries. Most of the leading

television, radio, cable and satellite broadcasting companies in the

world now use its systems.

The company is also a major provider of software solutions for

advertising agencies, media buying companies and national media sales

representative organizations. Given its unique involvement across all

aspects of the media buy-sell process, Encoda has become the leading

innovator in the deployment of electronic transactional solutions, such

as electronic invoicing, electronic contracting and agency-rep exchange


For additional information on the Encoda Systems Automation Solutions Group, please call 303-237-4000 or visit www.encodasystems.com and click Automation.