PFO.L Regulatory News (PFO)

21 Dec 2007 07:01

VTR PLC21 December 2007 VTR plc UNAUDITED INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2007 Highlights The Board of VTR plc, the media services group, is pleased to announce itsresults for the six months to 30 September 2007 which are presented underInternational Financial Reporting Standards (IFRS) for the first time. Overview • Adjusted pre tax profits of £527,000 on turnover of £9,280,000 • Second consecutive set of profitable figures • Successful integration of businesses into Prime Focus London and Blue • VTR plc in London now benefits from a truly global offering - drawing on the strengths and resources of the Prime Focus Group of companies in Los Angeles, New York, Vancouver and Mumbai • VTR plc to continue to identify investment opportunities to strengthen creative talent and facilities offering in London Namit Malhotra comments, "I am pleased to be able to report our secondconsecutive set of profitable figures since I became chairman. Our business isstarting to fulfill its potential. We at VTR are working harder and arebeginning to experience the benefits of having a truly global offering. Thecreative talent and capabilities within the Prime Focus Group put VTR in astrong position to deliver sustained value to its shareholders." For further information, please contact Ryszard Bublik - Parys Communications 020 7622 9951Neil Lane - Managing director 020 7437 0026Philip Davies - Charles Stanley Securities (Nominated Adviser) 020 7149 6000 Chairman's Statement The Board of VTR plc is pleased to announce its unaudited results for the sixmonths to 30 September 2007 which are presented under International FinancialReporting Standards (IFRS) for the first time. VTR plc changed its accounting year end from August to March in 2007 and thefirst period under the new year end was the seven months to 31 March 2007. As aresult of this change no interim accounts were produced and the comparatives inthis statement are for the seven month accounting period to 31 March 2007. In addition the comparative figures are the restated figures under IFRS ratherthan those reported under UK GAAP at the end of last year. Full disclosure ofthe effects of the transition to IFRS are included in the body of the InterimReport. In September the Group made a profit before tax of £527,000 on a turnover of£9,280,000 compared to a profit before tax of £646,000 on turnover of£10,604,000 for the 7 months to March 2007. Earnings per share were 1.5p perordinary share (7 months to 31 March 2007: 2.3p). Net debt fell from £3,558,000 at 31 March 2007 to £2,959,000 at 30 September2007 and gearing subsequently fell from 38% to 29% for the same period ends.Capital expenditure in the period was £613,000. I am pleased to be able to report our second consecutive set of profitablefigures since I became chairman. I regard the six months to 30 September 2007 asbeing the finalisation of phase 1 of the Group's return to profitability andgrowth. The period saw the completion of some significant aspects of VTR's restructuringwhich will allow the company to maximise the potential created by a series ofacquisitions completed by its parent company Prime Focus India. Theseacquisitions create a global post-production and visual effects powerhouseenabling VTR to attract and manage larger scale business. The merger of Video Tape Recording Limited, The Hive Animation Limited and Clear(Post Production) Limited into a new division has now been completed andrebranded as Prime Focus London (PFL), Soho's premier VFX, commercials andDigital Intermediate facility. The building at 37 Dean Street has beencompletely refurbished and redesigned to be more client and user friendly andthe reaction from our customers has been extremely positive. PFL has upgradedthe major editing suites to the latest revision of software and added a 4Ktelecine, for high definition film grading, and a new projection suite for theirDigital Intermediate operations. The merger of The Machine Room Limited and Blue Post Production Limited has alsobeen completed and both companies are now operating under the "blue" banner inone building. Blue has gone from strength to strength in its market and clientperception, winning the Promax best Broadcast Post Production Facility 2007. Ithas also expanded considerably by doubling both its on-line and off-line editingcapacity and upgrading its audio suites with the addition of a 5.1 Dolby suite. K