31st Oct 2013 12:49
LONDON (Alliance News) - Zoo Digital Group PLC Thursday said it expects the second-half to show improvement on the first despite decreases in revenue and swinging into a pretax loss in the half-year ended September 30.
Revenue was USD4.7 million, down from USD6.2 million in the previous year. Results were impacted by the contraction of production services work after a client deferred orders. The company swung into a pretax loss of USD774,000 from a pretax profit of USD30,000.
The company has taken steps to restructure its cost base, it said, and had reduced operating expenses by over USD1 million since the first half of the year. Zoo said it was also working on diversifying its revenue streams in work flow management and productivity software.
"The cost restructuring that was implemented earlier this year has created a more focused and flexible business, but the Board's primary aim is to build sustainable growth in revenues, continuing the progress made in the first half of 2013 compare with the second half of 2012," said Zoo Digital in a statement.
The company has deployed its Cloud-based subtitle production service ZOOsubs to three studios, and said that there was a large untapped opportunity for the service in the wider market.
Shares in ZOO Digital were trading down 4.7% at 14.00 pence Thursday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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