Demand recovering for entertainment industry services specialist
ZOO Digital Group, which provides end-to-end cloud-based localisation and media services to the global entertainment industry, expects revenues for the half year ending 30 September 2021 of at least $25m/£18.3m.
It compares to figures for the first half of FY21 of $16.5m/£12m, equating to growth over the first half of FY21 of at least 51% and at least 8% over the second half of FY21 (FY21H2: $23.1m/£17m).
Growth during the first half of the year has been due predominantly to the company’s provision of services to support the migration of catalogue titles to streaming platforms and the associated new territory launches.
In recent weeks some customers have placed orders relating to new titles following the cautious resumption of productions within the industry. The Board anticipates the associated pipeline of work will build gradually over the coming months.
Sheffield-based Zoo Digital says it has moved forward with plans to establish regional hubs and is close to concluding strategic investments that will provide a presence in India, with multiple discussions progressing in other important international locations.
Its update adds: “Based on the strong performance in the first half of the year and the pipeline of orders that extends only into the first months of the second half, the Board is confident of exceeding current full year revenue expectations.
“The additional gross profit generated will be utilised to continue to invest for future growth and take advantage of the many opportunities present in our marketplace to build our business further.”
Stuart Green, CEO, said: “ZOO has started the new financial year very positively, delivering significant growth over the first half and building on last year’s momentum.
“New title production is beginning to resume and we expect this work to gradually return to previous levels.
“This, combined with the continually increasing demand for our services that support the migration of back catalogue content for streaming, gives us confidence in achieving our long-term financial goals.”
