Zinc Media Group Delivers Strong H1 Results, Announces New Growth Targets
Why we think this is very good
Zinc Media Group has delivered excellent results in the first half, with strong revenue growth, a healthy balance sheet, and low valuation multiples. The company has announced new medium-term targets of £50m turnover and £5m EBITDA, indicating expected profit growth. The tone of the update is very positive, with no mention of any headwinds or challenges. Overall, the results and outlook point to a very good performance by the company.
Key Points
- Revenue secured and due to be recognised in FY25 of £35m, up 29.5% year-on-year
- Strong cash position of £4.2m and net cash of £0.7m
- Simplified Group structure delivering additional annualised cost savings of £0.3m
- New medium-term targets of £50m turnover and £5m EBITDA announced
- Expansion in the Middle East, entertainment television production, and IP monetization are key growth pillars
Summary
Zinc Media Group plc (AIM: ZIN), the award-winning television and content production group, has delivered excellent results in the first half of FY25. Key highlights include:
- Revenue secured and due to be recognised in FY25 of £35m, up 29.5% year-on-year
- Strong cash position of £4.2m and net cash of £0.7m
- Simplified Group structure delivering additional annualised cost savings of £0.3m
- New medium-term targets of £50m turnover and £5m EBITDA announced
The company has a strong balance sheet and is investing in new growth initiatives, including expansion in the Middle East, entertainment television production, and monetization of its IP library. Broker targets remain unchanged, with Shore Capital reiterating its 'Not Rated' recommendation.