News blog

MediaZest

• BY: Andrew Hore |
• POSTED: 26/12/2013 |

MediaZest is winning new business and it is strengthening its balance sheet.

MediaZest reported a jump in interim revenues from £964,000 to £1.57m but the company was still loss-making. That was mainly down to one project with a large multinational. The total value of the contract is £1.1m and it continues until next summer. There was a reduction in work for HMV. Lower margin equipment revenues meant that overall gross margin fell from 48% to 37%.

There was a minimal cash outflow after interest charges in the six months to September 2013. A share issue at 0.25p a share helped to reduce debt during the period. Net debt was £393,000 at the end of September 2013. MediaZest is in the process of raising £865,000 at 0.35p a share, as well as issuing shares at the same price to pay £166,000 of loan interest.

A videowall project in the City of London will be completed by the end of 2013. A London showroom has been opened and investment in this and the sales team has increased costs.

An agreement with Argus Global will enable MediaZest to develop an advanced audience measurement and facial recognition system.

At 0.32p a share, MediaZest will be valued at £2.93m after the issue of new shares.

Download the latest AIM Journal from http://wwww.hubinvest.com/AIMPDFDecember2013_51.pdf