REG-MediaZest Plc: Trading Update

MediazestAnnouncement

12/11/2020 07:05

12 November 2020

MediaZest Plc

("MediaZest", the "Company” or the “Group”; AIM: MDZ)

 Trading Update

MediaZest (AIM: MDZ), the creative audio-visual company, hereby provides
shareholders with an update on current trading and the impact of the second UK
“lockdown” as a result of the Covid-19 Pandemic.

Post the initial UK “lockdown”, trading has continued to be encouraging.
Although client work continues at a slower pace than in the run up to March
2020, new projects are being pitched for on a regular basis, and several
mandates have been won in recent weeks. Ongoing contractual income remains
robust and the renewal rate of such recurring revenue streams has been strong.

The differing terms of the second “lockdown” mean that many projects
continue to be delivered, with additional safety and social distancing
measures. In light of this the Board does not expect the impact of this second
lockdown to be as negative as the first, although it will may have an adverse
effect on trading. The Group will also continue to use Government support
schemes as appropriate where work cannot continue, and cost reduction measures
remain in place where possible to mitigate the impact of such restrictions.

Ongoing roll out projects have restarted and are continuing during November
and beyond. Supplemental to this steady flow of work, both existing and
potential new clients are beginning to look at new longer-term programmes and
the Company is currently pitching for several of these which if won, will fall
in 2021 and beyond.

MediaZest’s strategy continues to be to grow the recurring revenue streams
and regular project workflows to generate consistent Group profitability, with
tight cost control during this difficult period. Those regular incomes are
supplemented with larger scale projects which can add significant growth to
the Company.

As previously announced, the Group extended its most recent accounting year to
become an 18-month period to 30 September 2020. The financial results for this
period, including adoption of the new IFRS 16 and recognition of the
successful placement of new Convertible Loan Notes in August 2020 and the
associated additional liquidity, are currently being prepared. The Board
expects to provide some guidance on these results before the end of 2020, with
the release of full audited accounts and details of the next MediaZest AGM in
early 2021.

Geoff Robertson, MediaZest’s CEO said: “We are encouraged by the
robustness of project work at this current time given the circumstances, but
remain mindful of the challenges ahead. We believe that in the medium term the
core markets in which the Company operates (Retail, Automotive and Corporate)
will all show accelerated adoption of digital signage and audio-visual
solutions as a by-product of the pandemic. We look forward to providing
shareholders with a further update before the end of the calendar year.”

This announcement contains inside information for the purposes of Article 7 of
Regulation (EU) 596/2014.

 Enquiries:                                                                               
 Geoff Robertson Chief Executive Officer MediaZest Plc                     0845 207 9378  
 David Hignell/Adam Cowl Nominated Adviser SP Angel Corporate Finance LLP  020 3470 0470  
 Claire Noyce Broker Hybridan LLP                                          020 3764 2341  
                                                                                          

Notes to Editors:

About MediaZest

MediaZest is a creative audio-visual systems integrator that specialises in
providing innovative marketing solutions to leading retailers, brand owners
and corporations, but also works in the public sector in both the NHS and
Education markets. The Group supplies an integrated service from content
creation and system design to installation, technical support, and
maintenance. MediaZest was admitted to the London Stock Exchange's AIM market
in February 2005. For more information, please visit www.mediazest.com



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