Business Description:
Redflex Holdings (RDF) operates red-light and speed photo enforcement systems and back office processing services for cities and municipalities within the USA, and develops and commercialises traffic violation management systems and hardware.

Strategy Analysis:
The strategy of RDF is to continue its growth of the traffic division in its key US market and through out Europe, the Middle East and Asia. RDF continually looks for opportunities of acquisition and industry consolidation. As the dominant supplier of traffic cameras in the US, RDF is focused on growing its position in what is potentially a multi-billion dollar market. RDF will continue to invest in Research and Development both in Australia and the USA with the goal of positioning technologies and processes at the leading edge of the industry Redflex Holdings reported NPAT of $10.29m for the year ended 30 June 2011. Revenues from ordinary activities were $139.82m, up 2.4% from the same period last year. Diluted EPS was 9.16 cents compared to 0.66 cents last year. Net operating cash flow was $40.84m compared to $23.99m last year. The final dividend declared was nil cents, taking the full year dividend to nil cents compared with 5 cents last year.