ZOO Digital Group, the Sheffield-based entertainment industry software specialist, has returned to profitability after cutting operating expenses by more than $1 million.
Turnover for the six months to the end of September fell from $6.2 million to $4.7 million, but was up on the second half of 2012. Meanwhile, earnings before interest, tax, depreciation and amortisation were $0.3 million, compared with $1 million in the first half of 2012 and a loss of $0.3 million in the second half of the last financial year.
Chief executive Dr Stuart Green said: “We are already starting to see the benefits of the management actions taken last year and are pleased to be able to report some real momentum in the business.
“The board expects the second half to show further improvement…and we would hope to see continuing growth in revenues in the next financial year and beyond.”
Clients use ZOO’s integrated suite of cloud and desktop-based applications for adapting audio visual content and printed materials for distribution in different languages, using different formats and delivery mechanisms, including DVDs and Blu-ray discs, e-books and Internet downloads
The company’s Cloud-based film subtitling and management system, ZOOsubs is now used by three of the six major global studios.
Revealing its half year results, ZOO also announced that holders of £177 million-worth of its unsecured convertible loan notes have agreed to extend the term by four years to October 31, 2017.
Dr Green and his wife, Sara, now have an interest in £614,000 of loan notes, while ZOO chairman Roger Jeynes holds £23,000-worth.