Going forward, Radisys will report revenue and profitability in two segments: Software-Systems and Embedded Products and Hardware Services. The company’s 2015 expectations for these two segments are:
- Software-Systems: Revenue growth of 10% to 20%, Gross Margins of 55% to 65% and an operating loss of $2 to $8 million. Growth will be enabled by a focus on VoLTE market opportunities with the company’s MediaEngine products, providing wire-speed packet classification and load balancing for NFV telecom architectures with FlowEngine products and royalty growth resulting from its CellEngine software suite of products moving into small cell commercial deployments.
- Embedded Products and Hardware Services: Revenue decline of approximately 20%, gross margins of 25% to 30% and operating profit of $13 million to $17 million.
“Over the last two years we have made incredible strategic progress in our core focus areas while simultaneously improving the operational execution of the company. This has positioned Radisys to enjoy meaningful growth opportunities in all of our Software-Systems product lines while at the same time benefiting from the stability and increasing levels of profitability within our Embedded Products business,” stated Brian Bronson, Radisys President and Chief Executive Officer.
http://investor.radisys.com/phoenix.zhtml?c=90237&p=irol-irhome