Metrodome Group Returns to Profit in 2011
LONDON – Metrodome, the U.K. distribution, finance and sales group, posted a return to profit for the year ending Dec. 31, 2011.
The group, listed on London's Alternative Investment Market, told the market Thursday revenues rose 21 percent to £16.8 million ($26.2 million) in 2011 from £13.9 million ($21.7 million) the previous year.
The company listed its £1.8 million ($2.8 million) acquisition of Hollywood Classics, the sales and distribution label for the theatrical distribution and marketing of classic film libraries from Universal, Paramount, Twentieth Century Fox, Warner Bros. and the U.K. Film Council, among its operational highlights of the year.
Metrodome executive chairman Mark Webster said: "The period under review saw strong performances from Hollywood Classics and Metrodome Distribution. Both divisions were profitable and their continued growth at the start of 2012 bodes well for the rest of the year."
Titles on Hollywood Classics’ shelves include Breakfast at Tiffany’s, The Godfather and Psycho.
U.K. theatrical and home entertainment division Metrodome Distribution, which counts The Secret in their Eyes on its rollout roster, also traded in line with expectations.
The company posted pre-tax profits of £412,000 ($641,700) for the 12 months of 2011, a healthy turnaround from the £438,000 ($682,000) loss recorded during 2010.
But the company's underlying EBITDA hit £220,000 ($342,600) in 2011, a fall from £807,000 ($1.3 million) the previous year.
EBITDA consists of earnings from continuing operations before exceptional items, interest, tax, depreciation, amortization of software costs and amortization of acquired intangible assets.
The company said its distribution business – DVD sales and such – had also been hit by a fire at a Sony DADC warehouse burnt to the ground destroying 25 million discs owned by a variety of media companies during the London riots in August last year.
A company spokesman told THR that Metrodome had not released an official figure for the revenues lost as a result of the loss of stock.
At the beginning of this year, Metrodome put loss-making TV subsidiary Target Entertainment, into administration after telling the market it could "no longer continue to provide support to its loss-making subsidiary Target".
Said Webster: "The administration of Target Entertainment whilst regrettable was necessary to safeguard the remaining divisions of the Group and having taken decisive action we look to the future with confidence."
In December last year Metrodome told the stock exchange it expects operating profits to be “materially below current market expectations” on the back of a slump in sales at TV division Target.
The division, a regular at MIPTV and Mipcom boasts shows such as Scottish cop show Taggart and children's fayre Fifi and the Flowertots on its sales roster.