HD demand boosts Pace's performance

[BGonaSTICK]

Set-top box maker Pace Micro Technology - which is currently celebrating its 25th anniversary year - says second-half results to the end of June are likely to be "slightly ahead of current market expectations".

In a trading statement ahead of preliminary results, due to be released next month, Pace said foundations put in place by the company's new management team had "delivered improved results".

"Pace is benefiting from better than expected performance in the US market where in the case of some of its customers it has executed better than the competition, as well as ongoing strong performance in the group's other world markets," said Pace.

Growing consumer demand for high-definition (HD) products - in particular HD digital TV recorders - was driving all Pace markets. "Pace has taken advantage of this growing market by building long-term relationships with the world's leading pay TV operators, as well as being first to market in new technologies such as MPEG-4 compression, which is enabling operators to drive ahead with their HD launches," said Pace.

"With a further 8m MPEG-4 HD set-bop boxes expected to be installed in Europe alone by 2010, Pace is well placed to benefit from its early investment in this and other new technology platforms," added the trading statement.