Sheffield-based media localisation company ZOO Digital reported a 22% rise in annual recurring revenue to $49.6 million, showing progress in its recovery following disruptions caused by the Hollywood strikes. The firm, which specialises in subtitling and dubbing for major streaming platforms, returned to a positive adjusted EBITDA of $1.1 million, reversing a $13.6 million loss from the previous year.
Despite recording an operating loss of $6.5 million, ZOO Digital achieved $8.4 million in annual cost savings and plans further reductions in the next financial year. Cash reserves stood at $2.7 million at year-end, with no drawdowns on its invoice financing facility, indicating disciplined cash management.
Customer retention improved to 98.4% from 92.3% a year earlier, aided by expansion into non-traditional studios and being appointed as a Preferred Fulfilment Vendor for Amazon Prime Video. The company launched a Fast Track service aimed at localising live and near-live content, which currently contributes modest revenue but is seen as a growth opportunity.
ZOO Digital’s share price, now 14.5p, remains far below its initial flotation level but has increased nearly 50% since May 2025, following leadership changes including the appointment of a new CFO. The business aims to return to profitability and cash generation in the 2026 financial year, leveraging its technology-driven model and diversified client base.
