Market disruption fuels momentum at entertainment services business
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ZOO Digital Group, which provides cloud-based localisation and digital distribution services for the global entertainment industry, expects its revenues for H1 will be slightly ahead of guidance.
And the business is also forecasting a “significant” increase in EBITDA compared to the FY21 comparator period, benefiting from both revenue growth and operational gearing.
In a statement to be delivered to the company’s AGM this afternoon, chairman Gillian Wilmot says the Sheffield-headquartered business is continuing to enjoy strong momentum, particularly fuelled by the growth in on-demand and streaming services internationally, which are continuing to reshape the entertainment landscape.
She said in the past month it has seen a significant expansion of orders for localisation and media services relating to new original titles following the resumption of productions.
This gives Zoo Digital much improved visibility through H2 and confidence to continue with its growth plans.
Wilmot adds: “We have progressed negotiations to establish regional hubs in strategic international locations, significantly strengthening our global offering. We expect the first of these to be announced shortly.
“To enable us to fulfil the growing order book arising from our expanding customer relationships, we have continued to recruit additional staff in most departments of the company.
“I would like to thank our shareholders for their continuing support, and particularly our loan note holders for their commitment to the company over many years, and for agreeing to convert their loans into the capital of ZOO prior to the end of September 2021.
Arrangements for the conversion are being finalised now and will be announced shortly.
“A strong pipeline of work and excellent customer relationships gives us great confidence in meeting full year market expectations, and I look forward to updating shareholders on our further positive progress in due course.”
ZOO Digital is just one of the businesses in the North that is benefitting from the ongoing disruption of all areas of the economy, which is why TheBusinessDesk.com is hosting Disruptors on 20 October.
The one-day virtual conference is being supported by Deloitte, Clarion, Quba and UKFast. Disruptors North takes place on Wednesday, October 20, and is free to attend. The conference is also being sponsored by Nexus, Curveblock, Stickyeyes, and the Northern Powerhouse Investment Fund
The event aims to encourage and inspire business leaders and managers who know they need to become a disruptor.