News blog

One Media IP

• BY: Andrew Hore |
• POSTED: 23/02/2014 |

Audio and video rights acquirer One Media IP Group has performed strongly since it moved to Aim. 

One Media IP switched from ISDX to Aim on 18 April and a placing at 8p a share raised £700,000 - or £503,000 after expenses. The share price has moved up to 17.5p, which values One Media IP at £11.5m.

In the year to October 2013, revenues improved from £2.09m to £2.65m. Most of these revenues were generated in US dollars. Excluding flotation costs, pre-tax profit moved ahead from £428,000 to £526,000.

There was cash in the bank of £1.69m at the end of October 2013, helped by advanced payments from distribution business The Orchard, which accounts for 90% of revenues. Net working capital, including cash, is £701,000. One Media IP paid total dividends of 0.115p a share last year.

New house broker Charles Stanley forecasts a 2013-14 profit of £750,000. The shares are trading on 23 times prospective 2013-14 earnings, falling to 18 the following year. 

One Media IP continues to make add-on acquisitions, having already invested £2.3m. It has the rights to 190,000 music tracks and 7,000 videos and it is re-packaging content for different digital outlets. Investment is likely to be around £500,000 a year.

Download the latest AIM Journal from http://wwww.hubinvest.com/AIMPDFFebruary2014_53.pdf