REG-Mirada PLC: Pre Close Trading Update <Origin Href="QuoteRef">MIRA.L</Origin>

MiradaAnnouncement

29/09/2015 07:00

29 September 2015

                                  mirada plc                                   

                                  (AIM: MIRA)                                  

                          ("mirada" or "the Company")                          

                           Pre Close Trading Update                            

mirada plc, (AIM: MIRA) the audio-visual interaction specialist, announces a
pre close trading update for the period ending 30 September 2015.

During the first half of the current financial year, the Company continued to
develop its Tier One and Tier Two customer opportunities. The focus during the
period was on the commercialization of the Company's multiscreen product, Iris,
for Cablevisión Monterrey (TVI) ("Cablevisión") in Mexico, part of the Televisa
Group, which commenced in February 2015. This initial deployment for
Cablevisión of around 500,000 subscribers is the smallest of the planned
roll-outs for the Company's inaugural Tier One contract, which now incorporates
a total of five cable network deployments, and the Board is happy to report
that following the successful launch, Mirada's technology has performed without
fault and the deployment is running ahead of management expectations. In
addition, the Board was delighted to announce in August that the Iris inspire
user interface was being used by Movistar+, the digital TV service from
Telefónica Spain.

The next two networks within the original Tier One contract which the Company
is working on are on a larger scale than the first deployment. Having
anticipated that the roll out would commence during this calendar year, the
Board can now report that owing to the customer's own internal reasons,
deployment for these two networks has been delayed to the end of the last
quarter of the current financial year ending 31 March 2016 ("FY16"). As such
the Board anticipates that there will be limited revenues from licence fees
being recognized from these two networks during FY16, instead with revenues
being deferred into financial year ending 31 March 2017.

In the meantime, the Company has been engaged with providing additional
development work for the Tier One contract for which professional services fees
are being earned. Broadly, these are expected to replace postponed license fee
revenues, albeit at a lower margin. Notwithstanding these additional
professional services fees, owing to the delays deferring licence fees revenues
as described above, coupled with the Board's anticipation of earnings for the
first half of FY16 being broadly similar to last year, the Board expects
earnings for FY16 to be materially behind market expectations, but still ahead
of last year.

As a consequence of the Company's exposure to these types of delays, and
following rising levels of demand from Tier Two and Tier Three customers, the
Board is pleased to announce it will be launching an advanced cloud-based
proposition for these smaller customers, named "mirada as a service" ("maaS").
MaaS is intended to address the needs of a wide range of potential customers
with a bundle of products and services that the Board believes will speed up
the deployment and continuous upgrade of these customers' Digital TV services.
The Board expects maaS to generate a new source of recurrent revenues for
mirada, providing a hedge to Tier One customer exposure.  Further announcements
on the timing of maaS launch will follow in due course.

Commenting, Jose Luis Vazquez, Chief Executive Officer, said:

"The Company's primary focus remains to grow its pipeline with the aim of
further commercial roll-outs to new customers. We were delighted by the
successful adoption by Movistar+ of the Iris inspire user experience and
negotiations are continuing with prospects for a number of potential customers
in Latin America and Europe"

Enquiries:

mirada plc                                 +44 (0) 203 751 0320       
José Luis Vázquez, Chief Executive Officer                            
                                                                      
Walbrook PR                                +44 (0) 207 933 8783       
Nick Rome/Sam Allen                                                   
mirada@walbrookpr.com                                                 
                                                                      
Arden Partners plc (Nomad and Broker)      +44 (0) 207 614 5900       
James Felix (Corporate Finance)                                       
Kam Bansil (Corporate Broking)                                        



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