30th Jun 2015 08:11
LONDON (Alliance News) - Pinewood Group PLC Tuesday posted a rise in pretax profit as continued strong demand from film production drove revenue, and said it was encouraged by the strong start to its current financial year.
The studio and production services operator proposed a final dividend of 2.8 pence, taking its total dividend for the year to 3.5 pence, up from 2.5 pence a year before.
The company posted a pretax profit of GBP5.0 million, up from GBP3.6 million a year before, as revenue rose to GBP75.0 million from GBP64.1 million. Pinewood receives tax relief and tax credit from the UK government, and as a result, after tax posted a profit of GBP8.1 million compared to GBP5.4 million a year before.
Pinewood said that whilst it has hosted large film productions including 'Star Wars: Episode VII - The Force Awakens', the 24th Bond film 'Spectre' and 'Avengers: Age of Ultron', it continues to be unable to meet all the demand from large films due to space constraints. However, it believes that this will be partly addressed by the first phase of the expansion of its studios.
Pinewood is planning to substantially expand Pinewood Studios by adding a total of 1 million square foot of new facilities, including ten large stages with supporting workshops, production offices and infrastructure. It was planning permission for the expansion last June.
The first phase of this expansion involves building give sound stages totalling 150,000 square foot, 140,000 square foot of workshops and two office buildings totalling 55,000 square foot to be completed in the first half of 2016. Following a fund-raising in April construction has begun on this first phase.
Shares in Pinewood are trading up 2.9% at 468.00 pence Tuesday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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