REG - Zoo Digital Group - AGM Statement and Trading Update

Zoo DigitalAnnouncement

26/09/2024 07:00

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RNS Number : 7043F  Zoo Digital Group PLC  26 September 2024

26 September 2024

ZOO DIGITAL GROUP PLC

("ZOO", the "Group" or the "Company")

 

AGM Statement and Trading Update

ZOO Digital Group plc (AIM: ZOO), a leading provider of end-to-end
cloud-based localisation and media services to the global entertainment
industry, will hold its Annual General Meeting (AGM) at 5.00pm BST today.
At the meeting, Gillian Wilmot, Chairman, will make the following statement:

"The streaming industry continues its transition following strategic
realignments and the strikes of 2023. Recent months have witnessed the early
stages of recovery as major US media organisations have enacted their plans to
adjust for a future in which traditional linear television plays a diminishing
role. While many productions that resumed following the strikes have since
been completed and distributed to global audiences, changes made in the mix of
content types acquired and capital allocation policies, which are more
strategic in nature, will take a longer period to yield results and restore
levels of industry output to those seen in 2022, particularly in Hollywood.

"Against this backdrop ZOO has seen a strong recovery in its pipeline over the
first half of FY25 and expects to deliver sales in the period of at least
$27 million, equating to a 28% increase over the equivalent prior year period
and 42% up on the previous half. As previously stated, the Board expects
EBITDA profit in the first half.

"Market participants anticipate the industry's recovery continuing until late
2025 which is consistent with the indications ZOO has been provided by its
customers.

"The Board continues to be confident that the changes arising from the
realignment of ZOO's major customers will, in due course, be favourable for
the Group. These include accelerated transition to an end-to-end approach with
fewer, more capable suppliers; an increasingly diverse mix of original
international content with a shift to episodic over feature titles; and
greater dependence on ZOO's software platforms, all of which will be
advantageous to the Group.

"The Company continues to manage its cash position carefully whilst protecting
production capability and capacity to satisfy the demand of its customers. As
a result, the unaudited cash balance as at 30 September 2024 is expected to
exceed $2 million.

"Visibility extends only to January 2025, as is normally the case for the ZOO
business, however, the Board expects further profitable progress that will put
us on track to meet market guidance for the full year ending 31 March 2025."

Presentation slides that will accompany an investor update following the AGM
will be available on the Company's website later today. Shareholders may
register to join a live stream of the AGM, investor briefing and Q&A here:
https://www.zoodigital.com/agm-2024 (https://www.zoodigital.com/agm-2024) .

The Company intends to announce its unaudited interim financial results for
the six months to 30 September 2024 in November 2024.

This announcement contains inside information as defined in Article 7 of the
Market Abuse Regulation No. 596/2014 ("MAR").  Upon the publication of this
announcement, this inside information is now considered to be in the public
domain. The persons responsible for making this announcement are CEO Stuart
Green and CFO Phillip Blundell.

 

 For further enquiries, please contact:

 ZOO Digital Group plc                                                +44 (0) 114 241 3700
 Stuart Green - Chief Executive Officer
 Phillip Blundell - Chief Finance Officer

 Stifel Nicolaus Europe Limited (Nominated Adviser and Joint Broker)  +44 (0) 20 7710 7600
 Fred Walsh / Erik Anderson / Ben Good

 Singer Capital Markets (Joint Broker)                                +44 (0) 20 7496 3000
 Shaun Dobson / Asha Chotai

 Instinctif Partners (Financial PR)                                   +44 (0) 207 457 2020
 Matthew Smallwood                                                    zoo@instinctif.com

 

 

About ZOO Digital Group plc:

ZOO Digital supports major Hollywood studios and streaming services to
globalise their content and reach audiences everywhere, by providing leading,
technology-enabled localisation and media services.

Founded in 2001, ZOO Digital operates from hubs in Los Angeles, London, Dubai,
Turkey, South Korea, India, Denmark, Spain, Italy and Germany with a
development and production centre in Sheffield, UK.

The Group provides media services through its platforms that include: ZOOsubs,
ZOOdubs and ZOOstudio. Its full-service proposition delivers the end-to-end
services required to prepare both original and catalogue content for digital
distribution; these services include dubbing, subtitling & captioning,
metadata creation & localisation, mastering, artwork localisation and
media processing. Alongside this offering, ZOO also provides its customers
with management platforms and strategic solutions to support their own
internal globalisation operations.

ZOO is a go-to service partner for media businesses looking to globalise their
content across different territories, languages and distribution platforms.
Using its innovative technology-enabled approach, ZOO helps its customers to
reduce time to market, lower costs and deliver high quality products to their
global audiences. The business has frameworks in place with all major
Hollywood studios and streaming services. Its customers include Disney,
NBCUniversal, HBO and Paramount Global.

ZOO's competitive advantage arises from three interlinking factors - the
leading role it has played in the digital transformation of its sector; the
world class proprietary platforms that it develops to enable this
transformation; and the global supply chain of thousands of freelancers,
working collaboratively in ZOO's platforms, which delivers services that scale
easily to meet demand. These factors combine to make ZOO uniquely placed to
capitalise on new market opportunities in a fast-paced and constantly evolving
industry.

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

 

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