2nd Jun 2015 10:23
LONDON (Alliance News) - The television production and distribution company DCD Media PLC posted a narrowed pretax loss for 2014, as cost cutting measures in the previous year helped offset a fall in revenue.
DCD Media posted a pretax loss of GBP1.2 million for 2014, narrowed from a pretax loss of GBP2.8 million in 2013, as a fall in revenue to GBP9.7 million from GBP12.3 million was offset by lower operating expenses, as a result of cost-cutting measures it took in the previous year and early in 2014.
The fall in revenue was as a result of the loss of its 'Bridezillas' franchise in the US, which growth in UK productions failed to offset.
DCD has shifted its focus on its Rights business, whilst operating a more streamlined and manageable cost base in its Production business. It said that 2014 had been a "progressive if not fruitful" year for both of its divisions.
The company said that 2015 has gotten off to a good start in both divisions, with its September Films business producing a further series of 'Celebrity Squares' for ITV PLC, and co-producing a series of 'Penn and Teller: Fool Us' for the CW network in the US.
It has acquired 253 hours of productions for its DCD Rights business, including the 'Fat Doctor' series.
DCD said its financial performance shows a "more cohesive business" at a revenue level, with earnings before interest, tax, depreciation and amortisation losses narrowing "with the reasonable expectation that the group will report adjusted Ebitda positivity next year."
"We are confident we can see further expansion from the Rights division in the new financial year. While there are challenges sourcing the best quality content, we look forward to the Rights business driving sustained growth in the coming years," said Executive Chairman and Chief Executive Officer David Craven in a statement.
Shares in DCD Media are trading flat at 420.00 pence Tuesday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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