Glowpoint, Inc., a leading provider of advanced video communication solutions, announced today that it expects second quarter revenue of approximately $7 million, making it the highest single quarter in the companyâ€™s history. Preliminary results also indicate continued margin and operating income improvement that will surpass the companyâ€™s previous estimates. Detailed second quarter financial results are expected to be reported next month during a conference call hosted by Glowpoint management. Specific call details will be announced in the coming weeks.
Growth in Glowpointâ€™s TEN and VNOC managed video services are cited as key contributing factors to Glowpointâ€™s forecasted second quarter revenue and to its largest and most active sales pipeline to date. Other factors cited include the increased demand for video communications from global companies looking for cost effective solutions, a growing interest in telepresence and video conferencing services, the improved quality of telepresence and video overall, and the continued acceptance and b2b interconnect availability of video.
While other companies may be suffering from the current economic climate, the video industry is actually realizing increased demand and growth. Analysts predict that current economic conditions are set to drive uptake of video telepresence over the next three years, stating that high-definition-based video meeting solutions will replace 2.1 million airline seats annually, costing the travel and hospitality industry US$3.5 billion per year. In light of this trend, Glowpoint is actively growing its business, adding talented personnel, and strengthening its operational systems and processes to meet the increasing demand and rapid adoption of high-definition video communications solutions.
Joe Laezza, Glowpoint President and Co-CEO, said, â€œThe value of video conferencing and telepresence has become clear to business leaders around the world who are looking to remain relevant and profitable during the current evolution of business-to-business (b2b) communication. This evolution brings increased demand and drives continued innovation in our products and services.â€
Laezza added, â€œThrough innovation, expanded distribution, and go to market capabilities, we continue to forge a clear path to capitalize on the growing demand for b2b video capabilities, as well as for telepresence and video conferencing VNOC managed services.â€