Zoo Digital, a Yorkshire firm which works with Hollywood studios, receives boost from growth in streaming during pandemic

ZOO Digital helps Hollywood studios and streaming services globalise their content by providing technology-enabled localisation and media services.

The group has provided an update on current trading and outlook for the financial year ending March 2021. Since the half year, ZOO said it had continued to see the benefits of its cloud-based offering and ability to undertake projects remotely.

The statement added: " While new productions have been on hold due to the COVID-19 pandemic, the group continues to see increased workflow from preparing back catalogue titles for digital distribution globally, although the volume of this work is not expected to continue at such high levels once new production returns to normal.

"As a result, revenues for the full year are now expected to be at least $38 million (FY20: $29.8 million), an acceleration of growth in the second half over the first half of 35%.

"Based on this strong performance, the result for the year is anticipated to be ahead of market expectations. It is encouraging to note that some new productions have restarted more recently. In addition, there has been expansion of budgets by major industry players as streaming becomes mainstream, with content being sourced more broadly from international producers.

"These trends are underpinned by rising consumer spending on content."

The pandemic has also provided ZOO with the opportunity to increase its engagement with dubbing customers due to the differentiated benefits of its cloud technology over a period when the board believes its major competitors have experienced revenue declines.

The statement added: "The company has been well placed to meet changing market requirements as the digital transformation of the industry has been accelerated. This endorses

ZOO’s business model and strategy which the board believes will support continued growth once new productions resume.

"The group has also added new customers during the period that are expected to contribute during the 2022 financial year.

"The company continues to invest in its technology and growing its international footprint. A wide range of enhancements have been made to the company’s ZOOstudio platform to further embed it in customer operations while ZOOdubs has been extended and ZOO’s dubbing service expanded geographically through investment in people in new markets, cementing its technology leadership."

Stuart Green, chief executive officer, said: “ZOO Digital has traded very strongly and is pioneering and innovating the services it provides to the global entertainment industry. Our technology-first, cloud-based approach has positioned the group very well to meet market requirements during and subsequent to the pandemic, despite the disruption caused to new production.

“ZOO is a trusted partner to major media companies and through our end-to-end service model, which brings together comprehensive localisation and media services, we are able to support major studios and streaming services as they globalise their content to reach audiences worldwide.

“We are investing in growing our global footprint as well as benefiting from the resumption of content creation and digitally remastering back catalogues for the global market.”

Founded in 2001, ZOO Digital operates from hubs in Los Angeles, London and Dubai, with a development and production centre in Sheffield. The company is targeting $100m sales in the medium term.

Support The Yorkshire Post and become a subscriber today. Your subscription will help us to continue to bring quality news to the people of Yorkshire. In return, you'll see fewer ads on site, get free access to our app and receive exclusive members-only offers. Click here to subscribe.