Sportsworld Media Group plc, the sports and lifestyle TV production, sponsorship and event marketing company, announced today its interim results for the six month period ended 31 December 2000.
*Turnover up 324% to £16.8m (six months to 31 December 1999: £3.96m) and operating profits before goodwill amortisation increased to £4.84m (six months to 31 December 1999: loss of £0.09m), reflecting a combination of strong organic growth and successful integration of acquisitions
*Pre-tax profits before amortisation of goodwill and exceptional items rose strongly to £5.01m (six months to 31 December 1999: £0.08m)
*Exceptional profit on disposal of Australia-based outdoor assets of £3.5m, producing pre-tax profits before amortisation of £8.5m
*Earnings per share excluding goodwill and exceptional profit increased to 6.2p (six months to 31 December 1999: 0.2p)
*Net cash of £27.3m for both corporate development and suitable acquisitions
*Channel diversification, reallocation of global advertising budgets, industry consolidation and the increasing value of lifestyle TV provide opportunities for substantial growth
*X-treme Video, Infinite Management Solutions and Paterson Associates acquisitions – all fully integrated
*Strong start to second half, in line with expectations
Commenting on the results, Sportsworld’s Chief Executive Geoff Brown said:
‘These results reflect a combination of strong organic growth and the successful integration of good quality acquisitions. We are benefiting from a market which continues to provide opportunities for substantial growth. On the one hand, there is a growing demand for extreme sport and youth lifestyle content from broadcasters, and on the other global advertisers are reallocating substantial budgets away from traditional television advertising to programme and sports sponsorship, as their target audiences continue to fragment.
‘The Global Management Team, which was formed last year, has vast international experience in television, brands, intellectual property, media sponsorship and new technology. This experience is driving the rapid integration and development of the businesses that Sportsworld has acquired over the past two years.
‘First half momentum is continuing into the second. Third quarter business has continued to grow strongly, and we expect trading to continue in line with expectations. New opportunities continue to present themselves, and we have a number of exciting projects under development. Acquisitions will continue to play a part as the Group builds upon its current television content, sports marketing and youth lifestyle interests.’
Geoff Brown, Chief Executive
Andy Fletcher, Chief Financial Officer
Sportsworld Media Group plc
Tel: 020 7240 9626