Concurrent prepares for world without set-tops

VOD technology vendor reports $9.7 million in video revenue for quarter ending Dec. 31
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While Concurrent (Nasdaq: CCUR) saw its video revenue drop slightly in the quarter ending Dec. 31, the video-on-demand technology vendor said it is looking to drive sales by investing in software that cable operators can use to deliver programming to connected TVs.

Concurrent, whose customers include Time Warner Cable (NYSE: TWC), Charter Communications (Nasdaq: CHTR) and Cox Communications, told analysts Wednesday that products such as the new MediaHawk VOD software the company introduced in November could allow MSOs to deploy fewer set-tops.

"Eliminating the set-top box allows operators to conserve costs and compete alongside over the top offerings such as Netflix (Nasdaq: NFLX) in the increasingly dynamic streaming video market," Concurrent CEO Dan Mondor said on the company's earnings call Tuesday.

Concurrent hasn't yet announced deals with cable operators to support the delivery of VOD programming to connected TVs. Several U.S. cable MSOs are working with Samsung and other consumer electronics manufacturers on apps that can deliver cable programming without a set-top, including Comcast (Nasdaq: CMCSA), Time Warner Cable and Cablevision (NYSE: CVC).

Concurrent reported $9.7 million in video revenue in its fiscal second quarter of 2013, down $500,000 compared to this time last year. CFO Emory Berry attributed the drop to decreased revenue from customers in Europe and Japan.

The Atlanta-based company reported $16.6 million in total revenue during the quarter, a gain of $200,000 compared to the same period last year. It posted $673,000 in net income (8 cents per share), compared to a loss of $833,000 (10 cents per share) last year.

For more:
- see the release
- see the transcript from earnings call

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