Aferian PLC on Friday said annual revenue and earnings before interest, tax, depreciation and amortisation for the year ended November 30 are expected to be significantly below original expectations due to challenges from its Amino division.

The Cambridge-based business-to-business video streaming solutions company said its Amino business saw a decline in revenue in the second half of 2022 as customers delayed orders in order to run down their existing inventories. Aferian said this was due to the ‘wider macro-economic situation’.

‘This trend has continued longer than we expected and device sales in the first half have been materially lower than anticipated,’ the company noted.

The company’s Amino division connects Pay TV to streaming services.

Aferian added that Amino has faced difficult trading conditions in financial 2023 so far, and that despite its strong sales pipeline for the second half of the year, a recovery is not expected until later in the financial year.

Amino’s out-turn for financial 2023 is expected to be considerably lower than original anticipations.

The company said its 24i business, which focuses on streaming video services, won six new customers in the fourth quarter of 2022, with the momentum continuing into 2023. 24i is focusing on continuing revenue growth, while also aiming to grow profit margins.

Aferian shares fell 44% to 33.90 pence each in London on Friday morning.

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