ZOO Digital: “Acceleration of Company’s Pipeline”

13th May 2024

ZOO Digital Group plc has seen an ongoing recovery in trading with March 2024 invoicing the highest month since April 2023 following acceleration of the Company’s pipeline. Work has continued to expand throughout March and April 2024 and visibility extends to September 2024. Revenues for FY25 Q1 are expected to be 36% up on FY24 Q4 which, together with recently implemented cost savings, is expected to result in EBITDA at break-even in Q1.

The Company has now received dubbing and subtitling orders from the major film and TV distributor for which it was recently appointed as a primary vendor as referenced in the announcement of 26 March 2024.

Zoo has also renewed its debt facilities of up to $3m with HSBC for a further twelve months. These facilities remain fully undrawn but provide the Company with enhanced financial flexibility for working capital purposes in an improving market environment.

Year-end net cash on 31 March 2024 was $5.3 million, significantly better than indicated previously following stronger collections than anticipated in the month of March.

* The Company understands market consensus for FY24 to be revenue of $39.7 million, EBITDA adjusted for share based payments loss of $14.0 million and net cash of $3.7 million.