UK producer-distributor DCD Media has significantly cut its losses following a surprise takeover last year, but has seen revenues drop by £3.3 million (US$5 million).
The firm made an operating loss of £1.9 million for the 12 months to December 31, 2012, compared with £5.7 million the previous year. However, revenues fell 17% to £16.1 million, which was attributed to “reduced production activity” in the UK.
DCD counts companies including Bridezillas producer September Films (left) and Rize among its assets and distributes a catalogue of programming through sales arm DCD Rights.
Aim-listed company Timeweave, which has assets in horse racing broadcasting, acquired £3.1 million in loan notes last year, which it later converted into a 29.9% stake. Subsequent conversions have seen Timeweave take a majority 55.2% stake in the firm. The move was considered as a welcome surprise to the DCD board at the time.
DCD said today its shareholders had a “continued desire” to “significantly enhance the prospects for growth through further investment. It is also planning to restructure its capital to lower the number of shareholders with “very small” stakes of 1,000 shares or less.
“We are pleased we have delivered an EBITDA positive performance and a considerable improvement on last year. The performance review of the year should be understood against a backdrop of significant corporate and executive change to the Group, essential to its survival and future development,” said DCD CEO and executive chairman David Craven, who replaced Sammy Nourmand in November last year.
“Having undertaken a major review of business and implemented changes both at executive and board level, DCD Media is poised to take advantage of a supportive shareholder base keen to invest in the development of this exciting business.”