Zinc Media Group, the owner of indies including Brook Lapping, Tern, Blakeway and Films of Record, has announced that its revenues rose significantly in the second half of 2020 after losses suffered due to COVID disruption.
The Group saw revenues in the second half of 2020 increase by 33% to £9.3m compared to the first half of the year and it reported cash increasing by £3.6m to £6.8m in the 18 months to December 2020.
For the 18 months ending December 2020 the Group generated revenue of £30.6m and an adjusted loss of £0.8m due to the impact of Covid cancelling or delaying productions.
Mark Browning, CEO, Zinc Media Group, says: “This has been the most challenging period in the Group’s 20 year history. Like many organisations, our revenues were significantly disrupted by Covid. However the Group moved very early in the pandemic to reduce overheads with a range of measures including furloughing, salary sacrifice and some restructuring, while continuing to invest in new production opportunities. As a result we are a more commercially resilient Group, have more creative firepower and increased ambition. As restrictions lift we are confident revenues will recover further during 2021.”
The Group said it has progressed its strategic plan laid out in September 2019 “despite the enormous challenges caused by Covid-19.” The plan included a push into branded content, a focus on the international market with 21% of Group TV production revenues coming from international TV buyers and the remaining 79% coming from the UK TV market and the launch of new popular factual TV label, Red Sauce, based in London and Manchester, and the recruitment of former BBC Commissioning Editor Tom Edwards to lead that label.
With bases across England, Scotland and Northern Ireland, Zinc saw its made-outside-London revenues increase to 58% of turnover while 60% of its workforce live and work outside London.
“Zinc has one of the most established and credible ‘out of London’ presences in the UK, with five production bases across the country,” adds Browning. “We are perfectly placed to deliver high-quality, returnable, series that are made outside London and are extremely proud of our Nations’ expertise.”
Zinc’s Annual Report for the period ended 31 December featured the Group’s results for the 18 months to 31 December 2020, rather than a year. This was caused by the Group’s accounting reference date changing from 30 June to 31 December in the period.
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