News

OMG, the motion capture experts behind special effects on the Lynx adverts and Harry Potter films, took off today on news it grew profits by a third in the first half on record sales.

The Oxford-based firm reported profit before tax of £1.2m for the six months to 31 March 2008, up from £0.9m a year ago, on turnover 49% higher at £12.7m. Operating profit rose to £1.06m from £0.77m.

Motion capture business Vicon remains the biggest earner, raking in operating profits of £1.6m, 14% more than last year, as sales grew 17% to £10m.

The firm's LA studio saw revenues surge 40%, while growing demand in the life science and computer games markets bumped up US revenues by 49% overall.

OMG expects its newly launched 16 mega-pixel T-Series camera to drive sales through the second half.

No large customers skewed the results, boss Nick Bolton told ShareCast today, with its biggest deal making up less than 3% of revenue during the period.

Elsewhere, 3D mapping business Yotta toasted first half revenues of £2.6m, boosted by a first full contribution from last July's mapping acquisition DCL. The net operating loss narrowed to £0.3m from £0.5m.

The purchase of a US arm for the unit, Mobile Video Services, in April means Yotta could move into profitability in the near future, the group reckons.

Defence revenues of £135,000 were reported by OMG's 2d3 business, with the use of its cameras in Unmanned Aerial Vehicles (UAV) over war zones moving a step closure following the recent signing of a deal with US goliath Northrop Grumman.

OMG says its technology adds intelligence to the video stream, allowing operators of 'drones' to focus on interesting objects and terrain, or extracting specific data from the pictures.

"I truly believe we are beginning to realise some of the group's huge potential and I look forward with confidence to the remainder of the year," said Bolton.

The interim dividend rises by 15% to 1.15p.