17th Sep 2014 07:02
LONDON (Alliance News) - Immedia Group PLC Wednesday said that its outlook for 2014/2015 is positive and recorded higher pretax profit in the first-half as the company benefited from significant gains on its investment in Audioboom Group PLC.
In its interim results for the half-year to June 30 the bespoke digital music and entertainment channels provider said pretax profit rose to GBP259,000 in the period, up from GBP181,000 the previous year. Revenue for the half-year was in line with last year at GBP1.3 million.
Operating profit slumped during the period, coming in at GBP35,000, compared to the GBP181,000 recorded the year before.
The results include the fair value revaluation of a minority holding in AIM-quoted audio social media platform Audioboom Group PLC as well as profit from operating activities, said the company, generating a "significant improvement" on the pretax profit recorded for the first-half of 2013.
The company invested GBP90,000 in Audioboom in March this year as part of its strategy to broaden its digital marketing and communications services. The fair value of the investment as of June 30 was GBP315,000 with a fair value change of GBP225,000 taken through profit or loss.
As at the date of approval of its half-year results, the investment represents around 1.29% of Audioboom Group shares in issue and has a fair value of GBP682,800, said the company.
Immedia said it remains focused on its innovation and growth strategy and has made a number of management appointments during the year to further drive this, "allowing us to respond to a wider range of relevant opportunities and develop healthy new business which is expected to contribute later in 2014 and to 2015 and beyond," it said.
Chief Executive Bruno Brookes said "We are confident that our strategy is appropriate for the longer term and expect in due course to provide further details of the new business developments that result."
In August Immedia warned that revenue in the first-half of the year would be broadly the same as last year, while its operating profit for all of 2014 would miss market expectations as sales growth at a number of key customers offset lower equipment sales to other customers.
The company Tuesday announced a contract win that will see it provide music and information channels to Wembley City in London. The contract will see four channels cover the Olympic Way, the Arena, the Piazza and retail areas. Each channel will include relevant information together with 'audio art' featuring montages of great moments in Wembley's history.
By Alice Attwood; [email protected]; @AliceAtAlliance
Copyright 2014 Alliance News Limited. All Rights Reserved.
Related Shares:
Oneiro EnergyIME.L