Zinc Media Group Delivers Strong Operational Performance
Why we think this is good
The trading update from Zinc Media Group plc indicates a solid operational performance, with a 50% increase in Adjusted EBITDA, a strong forward order book, and strategic initiatives to streamline the business and expand its capabilities. While revenue declined compared to the prior year, this was due to portfolio changes and some opportunities moving to the new financial year. The company's confidence in continuing profitable growth, supported by a strong pipeline of new commissions and launches, suggests the overall outlook is positive.
Key Points
- Adjusted EBITDA increased by 50% to £1.5m
- Revenue of £32m from continuing operations
- Better than expected year end gross cash of £6.3m and £1.3m net cash
- Strong forward order book up 24% on the same point last year, with £21m secured for FY25
- Completed acquisition of Raw Cut TV and disposal of non-core business unit
- Launched new entertainment label, Electric Violet
Summary
Zinc Media Group plc (AIM: ZIN), the award-winning television, brand and audio production group, has reported a trading update for the period ending December 2024. Key highlights include:
- Adjusted EBITDA increased by 50% to £1.5m, in line with market expectations
- Revenue of £32m from continuing operations, reflecting portfolio changes and some opportunities moving into the new financial year
- Better than expected year end gross cash of £6.3m and £1.3m net cash
- Strong forward order book up 24% on the same point last year, with £21m secured for FY25 as at 7th February 2025
The group has made substantial progress in executing its strategic plan, including the disposal of a non-core business unit, the acquisition of Raw Cut TV, and the launch of a new entertainment label, Electric Violet. The CEO expressed confidence in the continuing profitable growth of the group, underpinned by a strong pipeline of new commissions and launches.