ZOO Digital expects significant revenue & bottom line growth
AIM listed film & TV services provider ZOO Digital Group is expecting to report full year revenues of at least $28m, an increase of $11.5m on the previous year. Adjusted EBITDA is also expected to grow to at least $2.3m, a year-on-year increase of $500,000. The Group has also reported an increase in gross cash, up from $0.7m in September 2017, to $2.4m at the end of March this year.
The Group has seen demand for its services growing organically over the past 10 years, and expect this to grow further. The Group provides services to major Hollywood Studios, as well as the largest digital distributors of film & TV including Amazon Prime. Services range from subtitling, captioning and dubbing to digital distribution – which ensures content is in the right format for the right platform. Its subtitling and dubbing services provide a smart solution to an otherwise convoluted and error-prone industry sector; ZOO’s software and services simplify the process of adding dubbing or subtitling in a huge range of languages – a process known as ‘localisation’. ZOO see themselves as a small player in a large (and increasingly large) market. An independent research body called the Media and Entertainment Services Alliance (MESA) published research in 2016, stating that the market for localisation services was $2bn that year, and expected to see growth of around 10% per annum.
We filmed Zoo’s CEO Stuart Green, who provided us with an overview of the Group’s operations and strategy, as well as giving us some insights on today’s Trading Update. The film is available to watch below.
ZOO Digital Investor Video (including commentary on today’s announcement)
We are organising UK wide investor meetings for ZOO Digital. These meetings are strictly for professional investors. If you would like to meet with Stuart Green and the management team when they are next in your area, please contact Nick or James on the details below:
Mobile: +44 (0)7702 197 899
Mobile: +44 (0)7909 972 080