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Don't have an account? Click here to register.Reach4Entertainment delivers strong second half
Mon, 28th Jan 2013 13:25
Media and entertainment company Reach4Entertainment reported a strong and highly productive second half performance which saw the firm return to profit. The group said it benefitted financially from the impact of its restructuring activities previously carried out and as previously expected will report a profit for the year ended December 31st. Divisionally, Dewynters, the company's London based theatre marketing company, delivered a 'healthy' performance during the year, which was driven by a combination of new projects and long-term clients. A less impressive delivery wa given by SpotCo, the firm's New York based theatre marketing business, which suffered from a weaker than expected slate of new show openings, resulting in reduced revenue on a year-on-year basis. That said, as a result of increased operational efficiencies and tightened cost control, it nonetheless made a positive contribution to the froup result.The New York based merchandising business, Dewynters Advertising, has been fully reorganised, which will insulate the business from future losses associated with its traditional merchandising activity which should now produce a modest contribution to group profits. "The company is now beginning to show the impact of the extensive restructuring programme undertaken in prior periods, including the reduction of Head Office overheads by approximately £2.0m, with further improvements expected in 2013," the group said."The directors of the company are confident that r4e will continue to make progress throughout the course of the current financial year. SpotCo has secured a strong slate of new shows for 2013 [...] Similarly, Dewynters has a solid slate of new shows [...] and is well placed to demonstrate progress throughout the year."David Stoller, Executive Chairman, added: "After a number of challenging years, I am pleased to say it's been a year of genuine progress and success. We now have a stable and focused business, operating in an increasingly collaborative manner, delivering exceptional work for clients on both sides of the Atlantic."The share price rose 13.64% to 6.25p by 13:26.NR
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Reach4Entertainment Shares Rise As It Is Granted 17% Stake In Stage17
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