Trading Update

RNS Number : 1773L

Zinc Media Group PLC

17 July 2017

 

17 July 2017

Zinc Media Group plc ("Zinc Media", the "Group" or the "Company")

Trading Update

Zinc Media Group plc (AIM: ZIN), the leading TV and multimedia content producer, announces the following trading update ahead of its audited preliminary results for the year ended 30 June 2017 which the Company expects to announce in mid-October 2017. 

For the first time in recent years the Group has returned to profitability at an adjusted EBITDA level and expects to report an adjusted EBITDA profit for the full year in excess of £0.3m. 

As detailed in the interim results, the year was characterised by a restructuring of the business, involving an exit from the vast majority of the publishing businesses, which as a division was operating unprofitably, to enable the Group to focus on its TV production and digital communications divisions.  The restructuring has positioned the business strongly for the current financial year and beyond.  The Directors believe that the Group's profitability will increase substantially during the current financial year.

Progress continues to be made in each of the divisions.  The TV division continues to win commissions, with the programming mix characterised by longer running series, bigger budgets and new international broadcaster relationships.  The quality of Zinc Media's products continues to be recognised in the marketplace, with a 2017 BAFTA nomination for 'Inside Obama's White House' and five awards at the EVCOM Screen Awards for short form film.

Furthermore, with several senior management hires having been made in the last financial year, the Group believes it now has the right team of talented executives to drive sustained growth. 

The expectation of increased profitability in the current financial year is supported by a strong order book in the TV division.  At the start of the new financial year the TV division had a commissioned slate (to be delivered during the financial year) of £6.5 million.  This is 76 per cent. higher than at the beginning of the previous financial year, when the commissioned slate stood at £3.7 million.  All ongoing divisions traded profitably during the last financial year and this is expected to continue in the current financial year.

For further information, please contact:

Zinc Media Group plc                                                  [phone]

Peter Bertram, Chairman

David Galan, Chief Operating and Financial Officer

www.zincmedia.com

N+1 Singer (NOMAD and Broker to Zinc Media)           [phone]

Shaun Dobson / Lauren Kettle

Yellow Jersey PR

Felicity Winkles                                                             [phone]

Alistair de Kare Silver                                                     [phone]

Francesca Hillier                                                            [phone] 

Notes to Editors

Zinc Media Group plc is a leading British based producer of high-quality television programmes and multimedia communications content. The Group operates three divisions: Television production; digital communications and publishing.

The core television production division comprises four award winning and critically acclaimed television production companies including Blakeway; Brook Lapping; Films of Record and Reef Television whose brands produce television and radio programmes for both UK and international broadcasters.

The communications division specialises in creating communications strategies and behaviour change programmes, campaigns and resources for corporates, charities and government departments. This division runs a contract for the Transport for London.

The Publishing division publishes homeowner-planning guidelines for local authorities across the UK and sells trader advertising in those guidelines.

For further information on Zinc Media please visit: http://www.zincmedia.com/ 

 

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