REG - Zinc Media Group PLC - Trading Update and Capital Markets Day

Zinc MediaAnnouncement

07/02/2022 07:00

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RNS Number : 7986A  Zinc Media Group PLC  07 February 2022

7 February 2022

 

 

Zinc Media Group plc

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

 

Trading Update and Capital Markets Day

 

 

Zinc Media Group plc (AIM: ZIN), the TV and multimedia content producer, is
pleased to announce an unaudited trading update and news of a forthcoming
Capital Markets Day.

 

Trading update

 

Financial highlights:

 

·      Group Adjusted EBITDA in H2 2021 expected to be in the region of
£0.5m, ahead of management's expectations.

 

·      The Group generated Free Cash Flow (FCF) in H2 2021.

 

·      Cash at 31 December 2021 of £5.6m (31 December 2020: £6.8m).

 

·      The Group has already booked £9m of revenue which is expected to
be delivered in 2022 (January 2021: £9m), with an additional £6m of
commissions in highly advanced discussions (January 2021: £5m), with a
significant proportion anticipated to begin production in Q2 2022.

 

·      The Group expects to publish its audited full year results in
April 2022.

 

Programme highlights in H2 2021 include:

 

·      The Group's largest ever TV series commission, for Channel 5; and

 

·      The Group's first ever Advertiser Funded Programme (AFP) for Sky;
and

 

·      Two new live action productions for Red Bull and Lego; and

 

·      Five recommissions for returning series; and

 

·      The Group's first commercially funded podcast series; and

 

·      A significant client funded development for one of the world's
biggest SVoD ("subscription video on demand") platforms, which has the
potential to lead to a series commission.

 

 

The new financial year has started positively with new business wins across
the Group. Tern TV has won a new series for BBC2 and BBC Scotland. This is the
first commission for Tern's new Head of Factual Entertainment. Zinc
Communicate has started the year strongly, with the publishing business
booking at high levels and the branded content business winning a recommission
for a sponsored podcast series. The London and Manchester television business
has won a new commission for the next Norma Percy led series for the BBC.

 

There have been some minor delays to domestic and international commissions in
the last eight weeks owing to the Omicron Covid variant, but the Group expects
to get these productions back on track by the end of Q1.

 

The Group continues to refresh its business winning talent across both
Television and Zinc Communicate and has also improved its online presence with
an updated Group website at www.zincmedia.com (http://www.zincmedia.com) .

 

 

 

Mark Browning, Chief Executive Officer, commented:

 

"Despite a slower trading environment at the end of 2021 due to the Omicron
variant, I am pleased with the Group's performance. We expect to report a
strong H2 level of Adjusted EDITDA and be cash generative in the second half
of the year. This is a significant achievement for the Group, as it validates
the effectiveness of our transformation plan and our potential to deliver
healthy profits and cash as revenues recover to pre-pandemic levels. Our
pipeline of highly advanced business is encouraging, including our client
funded development for a major global SVoD which positions the company well
for the future.  Our strong cash position means we will continue to invest in
new talent and technology as we build for the long term."

 

 

Capital Markets Day

 

Zinc will be hosting a Capital Markets Day later this month. The Group's CEO
Mark Browning will present new television production market research,
commissioned exclusively by Zinc Media, demonstrating the opportunity for
television production growth in both the UK and international market.  He
will also present some of the Group's latest television programmes including a
selection which are currently in development.

 

There will also be an opportunity to meet Zinc's new Managing Director of
Television, Tanya Shaw, and speak to the Group's Chairman Chris Satterthwaite,
as well as tour the production facilities. There are no plans to share
further financial information and the presentation will not be live streamed.

 

The details of the Capital Markets Day are as follows:

 

Date:                Wednesday 2(nd) March 2022

Time:                12:30 - 14:30 (UK time)

Location:          17 Dominion Street, London, EC2M 2EF

Dress Code:     Informal

 

We ask for all attendees to register by Friday 11 February by responding to
zach.cohen@investor-focus.co.uk.  The number of permitted attendees may be
limited.

 

 

 

For further information, please contact:

 

Zinc Media Group
plc
+44 (0) 20 7878 2311

Mark Browning, CEO / Will Sawyer, CFO

www.zincmedia.com (http://www.zincmedia.com)

 

Singer Capital Markets (Nominated Advisers and Broker)
 +44 (0) 20 7496 3000

Mark Taylor / George Tzimas

 

IFC Advisory Ltd (Financial PR)
                                               +44
(0) 20 3934 6630

Graham Herring / Zach Cohen

 

 

About Zinc Media Group

 

Zinc Media Group plc is a leading television and content creation group.

 

The award-winning and critically acclaimed television labels comprise
Blakeway, Brook Lapping, Films of Record, Red Sauce, Supercollider and Tern
Television and produce programmes across a wide range of factual genres for UK
and international channels.

 

Zinc Communicate specialises in developing cross-platform content for brands,
businesses and partners. For further information on Zinc Media please visit
www.zincmedia.com (http://www.zincmedia.com/)

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