Boston, MA (June 23, 2021)—Avid Technology had a solid first quarter in 2021, despite—and in some ways, due to—the pandemic. The company reported a net income of $4.4 million, a bounce forward after reporting a loss during the same quarter a year earlier; the company’s stock price more than tripled over the intervening 12 months.
“Our Q1 performance was really, really quite strong and the music space has been a large contributor to that,” Avid CEO/president Jeff Rosica told PSN in mid-May, pointing additionally to the late 2019 release of the S1 control surface and late 2020 release of its Carbon interface, as products that beat internal sales projections during the pandemic.
Avid’s first-quarter total revenue increased 9.2% year-over-year, powered in large part by recurring revenue components—which is to say subscriptions to software products like Pro Tools, Sibelius and Media Composer. Q1 saw subscription revenue of $24.9 million, marking a 78.2% year-over-year growth and a net increase of roughly 28,000 paid subscriptions during the quarter.
“Our confidence is growing because we see the end [of the pandemic]—the market’s recovering,” Rosica added. “On one end, you have ‘music at home’—the project studio at home [technology market] has just been going crazy the whole time. It was already strong and the pandemic seems to have only increased the energy there. I think audio post to starting to come back now and is getting pretty strong, and live sound, we’re just starting to see the embers of that start to light up and go, so it’s been pretty good.”
Avid • www.avid.com
Original Resource is ProSoundNetwork.com