2:00PM TOMORROW - Investor webinar - hxxps://engageinvestor.news/ZIN_IP25 who is going to watch |
Looking good, from that TU. |
1gw, I think you are right in your assumptions. It looks like BBC Studios have been awarded the contract to sell the international rights to this quiz. They'll get a commission, which can be around 30%, and Zinc will get the rest. If this sells well in other countries this could be very lucrative for Zinc as there are no production costs, so any revenue will be at 100% margin once BBC have taken their commission |
We can all read the release, but does anyone know what it means? My assumption was that as they own the IP, Zinc will get a cut from international sales. BBC Studios seems to me to be the distributor, which you could argue is a win-win for Zinc as BBC Studios is likely to have a good international network already set up, so it saves Zinc from having to invest to beef up its own international marketing. But the distributor will clearly take a cut as well.
If I ask ChatGPT it seems to agree with this interpretation. "As the IP onwer, Zinc Media retains underlying rights to the show, meaning they have a claim to licensing fees, royalties, or a share of revenue when the format is sold abroad."
If this is the right interpretation, then how good for Zinc it is will obviously depend on how attractive the show is internationally once buyers have seen the format perform in the UK, and then on what the revenue-sharing arrangements (if any) are between Zinc and BBC Studios. |
Zinc owns the programme and format IP for this show, with international programme and format sales being led by BBC Studios. |
They do get international revenue, and this could be significant if this quiz sells around the world. From what they said in the RNS, BBC Studios are the sales company for this quiz. |
But they don't get international revenues? |
They got the BBC quiz and own the IP format. Well done Zinc. |
Rumours of another book build taking place… |
So how much of the loss was down to Mark Brownings fat pay packet?
How man years has he been in the job now?
Jam tomorrow still the story. |
Another polished performance and a pretty compelling story I thought. Did you watch it?
Shame about the shareprice. Have to hope one of those transformative options gets landed soon. |
The shareprice was in need of a bit of good news so that's a welcome rns today. |
Zinc Media Group plc (AIM: ZIN), the award-winning television, brand and audio production group, was notified on 7 August 2024 that Mark Browning, Chief Executive Officer of the Company, purchased 20,825 ordinary shares of 0.125 pence in the Company ("Ordinary Shares") at a price of 71.70 pence per Ordinary Share.
Following the transaction, Mark Browning's interest in the Company is 396,958 Ordinary Shares, representing 1.74 per cent. of the Company's issued Ordinary Shares. |
current share price is significantly lower than where it was when the last CEO left |
Elliott86, maybe your hero worship is misplaced.
Remember what the share price was before MB - remember the consolidation, I think you will find the share price only touched those levels for a short time and still sits below the level it was I believe.
So what benefits have old shareholders gained over the years, as he talked the talk but has done nothing to restore the value to any reasonable level.
Maybe you would like to set out all the figures on this thread, and show the benefits to old stake holders.🤣 |
Why are you so fixated on his salary on every comment you make. But then you love being negative so we know what to expect from you. It seems to me he’s done exactly what he was hired to do which is fix this previously failing company and set it on the right path, which is clear from their most recent results. From what i can see from the annual reports, he has been on the same pay since he joined and actually earned less last year than in any previous year with Zinc. Given inflation over the last few year i would suggest the board needs to be careful they don’t lose him now as the last thing us long-suffering shareholders need is another CEO change. Looking at this TU, I agree with 1gw that this looks like a massive over reaction off a very small number of trades. |
I bet that no savings come from Mark Brownings over fat pay packet no matter how poorly the company does.
It was always ablut his lifestyle impo.
DYOR. |
From post 1084, market expectations for 2024 in April were £41m revenue and £2.1m adj EBITDA. That compares to £40m revenue and £1.0m adj EBITDA in 2023.
The revenue appears to be at some risk with today's TU quoting £28m secured and £9m highly advanced (vs £31m secured and £7m highly advanced for 2023 at the same point last year).
Nevertheless they say that "the Group continues to trade in line with market expectations" which suggests that at least on adj EBITDA they are still looking at healthy year-on-year growth. They also state that the 2025 pipeline is well ahead (£10m vs £5m) of where the 2024 pipeline was at the same time last year.
It seems to me like a bit of an overreaction on shareprice, on limited apparent volume, although perhaps there was an implicit expectation that the company would continue to beat expectations. |
They are arguing that there are some newish businesses that are growing but were still unprofitable last year, so as those businesses grow further this year they will move into, or closer to, profit. By implication though other revenue streams must be expected to shrink so that total revenue is broadly unchanged.
Then you've got the overlay of the natural lumpiness of the business. So perhaps last year benefitted from having one or two outsize commissions generating revenue and there's nothing in the hopper to replace that this year, given the lead times. Although with the "significant opportunities in earlier stages of development" there must be a hope that they can still beat the market view by the end of the year with further wins pulling in some in-year revenue. |
But they are forecasting no revenue growth which is strange - relying on higher margins and cutting costs to generate profit |
Good session again.
Market forecasts are apparently £41m revenue and £2.1m adj EBITDA for this year, which should mean bottom-line profitable as well. MB referred to links to broker notes on the website, although the broker notes themselves may be behind a paywall.
Today we have a note from Singer "An industry winner in the making" and a link to Research Tree to access it.
At least one press article has picked up on the possibility of further acquisitions as Zinc looks to scale further.
"Zinc Media plots M&A as revenue and profits jump" |
Yes, some encouraging signs and good business but sadly, depsite the gloss, another operating loss ($2m) is the end-result. It's time this team delivered a headline profit; maybe this is the year ... if they can keep their focus on organic growth, deliver on cost synergies and keep management pay appopriate to the true performance of the company. EBITDA targets are wearisome. |
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