REG - Zoo Digital Group - Trading Update

Zoo DigitalAnnouncement

Today 07:00

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20260429:nRSc2950Ca&default-theme=true

RNS Number : 2950C  Zoo Digital Group PLC  29 April 2026

This Announcement contains inside information for the purposes of Article 7 of
EU Regulation 596/2014 as retained as part of UK law by virtue of the European
Union (Withdrawal) Act 2018 as amended. Upon the publication of this
Announcement, this inside information is now considered to be in the public
domain.

 

29 April 2026

 

ZOO DIGITAL GROUP PLC

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

 

Trading Update

 

FY26 performance in line with market expectations

 

ZOO Digital Group plc (AIM: ZOO), the tech-enabled localisation and digital
media services partner to the global entertainment industry, today provides a
trading update for the financial year ended 31 March 2026 ("FY26").

 

The Group expects to report FY26 Adjusted EBITDA(1) of at least $3.8 million
in line with market expectations(2). This has been achieved on revenue of
$42.3 million, reflecting decisive actions taken to restructure the cost base
with $7.3 million of savings realised during the period. Cash at 31 March 2026
was $3.2 million with borrowings of $1.1 million drawn against the Group's
invoice financing facilities.

 

In March, the Group successfully expanded its US invoice financing facility
from $3 million to $5 million, in addition to the £2 million facility
available in the UK, providing additional headroom to support working capital
requirements as revenues grow.

 

The media and entertainment market continued to evolve in FY26, reflecting
customers' changing priorities, content strategies and evolving viewing
habits. This has resulted in higher levels of licensed content as well as
incremental demand for live and near-live events, such as sports and
time-sensitive, episodic programming. ZOO is now on-boarding with several new
business groups following recent RFP successes and, although it is too early
to determine the associated volumes of work, the Board remains optimistic
about a range of opportunities across multiple customers.

 

ZOO's Fast Track service, which the Group believes is an industry-first,
combines global human talent with workflow automation to dramatically
accelerate high-quality localisation and reduce delivery time from weeks to
hours. While still at an early stage both in terms of the number of projects
and revenues to ZOO, the Company is experiencing growing quarterly demand for
projects that have included some of the most high-profile streamed sporting
events over the last year.

 

Further to the announcement of 2(nd) February 2026, the Board has now
concluded its search for a new independent Director and Audit Committee Chair
Designate and expects to announce an appointment shortly. At that time,
Gillian Wilmot CBE, Chairman of the Board, will stand down and will be
succeeded by Senior Independent Director Nathalie Schwarz. Mickey Kalifa,
current Chair of the Audit Committee, will stand down from the Board at the
FY26 AGM having served a term of nine years. A search for a second independent
director and Remuneration Committee Chair Designate is in progress and the
Board expects to appoint this position immediately following the FY26 AGM.

 

Stuart Green, CEO of ZOO Digital, said:

 

"We expect improved trading following a period of stabilised market conditions
and a strong focus on execution of cost efficiencies. ZOO today is a more
robust and efficient business, with a rightsized cost base capable of
generating improved profitability in the current market environment.

 

"With customer focus on efficiency, new content and delivery formats, our
market is evolving around speed and quality - two attributes at the heart of
ZOO's tech-enabled proposition. This is resulting in new opportunities,
including for our premium Fast Track service, which has proven its value in
localising complex, multi-language projects at dramatically faster speeds. As
a solution tailored for the industry, the level of engagement from customers
has been highly encouraging, giving us confidence that we are well positioned
to grow revenues and deliver sustainable profitability."

 

 

The persons responsible for arranging for the release of this announcement on
behalf of ZOO are Stuart Green, Chief Executive Officer and Robert Pursell,
Chief Financial Officer of ZOO.

 

(1) Adjusted EBITDA means earnings before interest, tax, depreciation,
amortisation and share-based payments.

(2) For the purposes of this announcement, the Group believes market consensus
for FY26 to be revenue of $42.3 million, Adjusted EBITDA of $3.8 million and
cash of $2.5 million.

 

 

 For further information, please contact:

 ZOO Digital Group plc                                          +44 (0) 114 241 3700
 Stuart Green - Chief Executive Officer
 Robert Pursell - Chief Financial Officer

 Canaccord Genuity (Nominated Adviser and Broker)               +44 (0) 20 7523 8000
 Simon Bridges / Harry Gooden / Andrew Potts / George Grainger

 Vigo Consulting (Financial PR)                                 +44 (0)20 7390 0230
 Tim McCall / Rozi Morris / Joe Quinlan                         zoo@vigoconsulting.com (mailto:zoo@vigoconsulting.com)

 

About ZOO Digital Group plc:

 

ZOO Digital partners with major Hollywood studios and streaming services to
tell their stories to audiences around the world.

 

The Group's localisation and digital media services allow customers to
globalise content across different territories, languages and distribution
platforms, extending its reach and profitability.

 

Deploying proprietary technology platforms and 12,000+ freelancers, ZOO offers
end-to-end dubbing, subtitling and captioning, metadata creation and
localisation, mastering, artwork creation and localisation, and media
processing.

 

ZOO has frameworks in place with all major Hollywood studios and streaming
services, helping them to capitalise on new opportunities in a fast-paced
industry. Customers include Disney, NBCUniversal, Netflix and Paramount
Global.

 

Founded in 2001, the Group has a global presence with dedicated hubs in Los
Angeles, London, Dubai, Turkey, South Korea, India, Spain, Italy and Germany
as well as a development and production centre in Sheffield, UK.

 

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

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  TSTUWOKRNBUSUAR



            Copyright 2019 Regulatory News Service, all rights reserved