ZOO Digital Group, the Sheffield-HQ’d localisation and digital media services partner to the global entertainment industry including major Hollywood studios, international broadcasters and more, will today report FY26 Adjusted EBITDA of at least $3.8 million, in line with market expectations, for the financial year ended 31 March 2026.
This has been achieved on revenue of $42.3 million, reflecting “decisive actions taken to restructure the cost base with $7.3 million of savings realised during the period.” Cash at 31 March 2026 was $3.2 million with borrowings of $1.1 million drawn against the group’s invoice financing facilities.
In March, the group successfully expanded its US invoice financing facility from $3 million to $5 million, in addition to the £2 million facility already available in the UK, providing additional headroom to support working capital requirements as revenues grow.
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The media and entertainment market continued to evolve in FY26, reflecting customers’ changing priorities, content strategies and evolving viewing habits. This has resulted in higher levels of licensed content as well as incremental demand for live and near-live events, such as sports and time-sensitive episodic programming. ZOO is now on-boarding with several new business groups following recent RFP successes and, although the company says it is too early to determine the associated volumes of work, the board remains “optimistic” about a range of opportunities across multiple customers.
ZOO’s Fast Track service, which the group believes is an industry-first, combines global human talent with workflow automation to dramatically accelerate high-quality localisation and reduce delivery time from weeks to hours. While still at an early stage, both in terms of the number of projects and revenues to ZOO, the company is experiencing growing quarterly demand for projects that have included some of the most high-profile streamed sporting events of the last year.
Further to the announcement of 2nd February 2026, the board has concluded its search for a new independent director and audit committee chair designate and expects to announce an appointment shortly. At that time, Gillian Wilmot CBE, current chairman of the board, will stand down and will be succeeded by senior independent director Nathalie Schwarz.
Mickey Kalifa, current chair of the audit committee, will stand down from the board at the FY26 AGM having served a term of nine years. A search for a second independent director and Remuneration Committee Chair Designate is in progress and the board expects to appoint this position immediately following the FY26 AGM.
Stuart Green, CEO of ZOO Digital, said: “We expect improved trading following a period of stabilised market conditions and a strong focus on execution of cost efficiencies. ZOO today is a more robust and efficient business, with a rightsized cost base capable of generating improved profitability in the current market environment.
“With customer focus on efficiency, new content and delivery formats, our market is evolving around speed and quality – two attributes at the heart of ZOO’s tech-enabled proposition. This is resulting in new opportunities, including for our premium Fast Track service, which has proven its value in localising complex, multi-language projects at dramatically faster speeds. As a solution tailored for the industry, the level of engagement from customers has been highly encouraging, giving us confidence that we are well positioned to grow revenues and deliver sustainable profitability.”
