The Audinate Group Ltd (ASX: AD8) share price is edging higher in today’s session.
Shares in the audio tech company are currently up 0.19% to $10.56. This comes after the company released its annual report earlier today.
Let’s take a closer look at what’s buoying the Audinate share price.
What did Audinate announce?
Shares in Audinate are rising after the company released its annual report for FY21.
The company’s management lauded Audinate’s emergence from the uncertainty of the COVID-19 pandemic.
However, Audinate said supply chain uncertainties could impact the first half of FY22. As of 30 June 2021, the company noted record backlogs due to the temporary shutdown of its manufacturing line in Malaysia.
Despite the disruptions, Audinate does not expect new product delays to impact revenue given the ongoing strong demand from end-users.
For FY22, the company highlighted several priorities including;
- Driving further design wins for Dante video and next generation software products;
- Launching new Dante video software and cloud services products;
- Improving adoption of Dante by non-English speakers; and
- Implementing business scalability initiatives.
The positive annual report follows Audinate’s strong full-year report released late last month.
How did Audinate perform in FY21?
The Audinate share price bolted higher after the release of the company’s full-year results for FY21.
The company’s result was highlighted by a 22.5% increase in revenue of $33.4 million.
Other highlights included:
- Gross profit increased 23.1% to US$19.2 million compared to prior year;
- Earnings before interest, tax, depreciation, and amortisation (EBITDA) of A$3 million, up 50.1%;
- Bottom line losses narrowed to A$3.4 million, a 17% improvement on FY20; and
- Expanded into video products with launch of Bolin Technology and Patton Electronics.
Audinate attributed its strong report to a 62% surge in revenue from its software products. Additionally, the company also reported narrowing losses on its bottom line.
Snapshot of the Audinate share price
Audinate specialises in hardware and software solutions for the audio-visual (AV) market. The company’s flagship and award-winning Dante program is a global leader in AV connectivity.
Since the start of the year, shares in Audinate have soared by around 29%.
The Audinate share price is bucking the trend of the broader market today. At the time of writing, the All Ordinaries Index (ASX: XAO) is down 0.56%, while Audinate shares are up 0.19%.