Thai floods continue to impact Pace

The effect of flooding in Thailand on hard drive availability cost Pace US$9 million (€6.8 million) last year. Presenting its full year 2011 results, the UK set-top vendor said the effect of the flooding would continue to impact the business to the tune of US$25 million – US$35 million, predominantly during the first six months of the year.

Revenues increased by 11.9% year-on-year to US$2.3 billion due to recent acquisitions, including 2Wire, Bewan and Latens. Excluding the effect of acquisitions, organic revenue actually decreased by 7.1%.

In Europe, revenues were down 19% to US$458 million due to Pace halting retail sales and exiting from low margin business in Italy. Revenues were up 27% in North America to US$1 billion, predominantly due to the acquisition of 2Wire in October 2010. Latin American revenue was up 25% to US$469 million, with particularly strong growth in Brazil.

“Our focus on operational improvement and efficiency is already starting to deliver tangible results and will contribute further to our future competitive advantage. We continue to strategically invest in leveraging our technology assets across our markets,” said CEO Mike Puli.