ANT customers taking longer to sign

ANT, the software developer for the delivery of digital TV, has warned it is finding it harder to find buyers for its licences.

The company's software is used in set top boxes which provide TV content and Internet services for televisions. US tech giant Cisco is already a client and ANT is at pains to stress its success in penetrating the US market.

The problem is, ANT has continued to see a lengthening in sales cycles which is having an impact on the signing of new licences.

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Northland Capital Partners described the statement as "a mixed announcement".

"On the positive side, royalty revenues from existing customers are picking up. On the negative, the longer licence sales cycles are delaying future royalty revenue streams. Business remains well capitalised against its market capitalisation (£4.2m at the end of December)," the broker observes.

Nevertheless, Northland continues to favour Amino Technologies in this sector.

House broker Westhouse Securities, unsurprisingly, begs to differ, and justifies its 40p target price and "strong buy" recommendation on the basis of expected vibrant growth in the connected TV market in the next two years.

"As the company has confidence in the outcome for this year and beyond we are making no changes to any of our forecasts at this stage," the broker said.

This statement, released today ahead of the AGM was enough to send the stock 7.6% lower by 10:41.

This statement, released today ahead of the AGM was enough to send the stock 7.6% lower by 10:41.

BS