2013 annual turnover: 47.3 M€, +19.1%
Strong business in 4th quarter: +43.3%
YMAGIS (ISIN: FR0011471291, mnemonic: MAGIS), the specialist in digital technologies for the cinema industry, today published its consolidated revenue for 2013.
For the twelve month period ended December 31, 2013, consolidated revenues were 47.3 M€, a +19.1% increase versus 2012. This performance is notably supported by 4th quarter revenue which amounted to 17.2 M€, a strong increase of +43.3%.
ANALYSIS PER SEGMENT
Annual data underwent an audit procedure by auditors.
VPF (1) : strong growth in the 4 th quarter
VPF revenues increased by +48.4% vs Q4 2012, rising to 9.2 M€. This performance was notably supported by the ramp-up of Spain, which displayed strong progress in the number of VPF screens installed during the quarter as well as of Germany, associated with strong positions already held in France and Benelux.
Over the year, YMAGIS recorded an increase in VPF revenues of +34.3%, reaching 29.0M€ (61.3% of 2013 consolidated revenues).
An increase of nearly 30% in cinema screens deployed with VPF The number of cinema screens deployed under a VPF contract with YMAGIS in 2013 increased by +28.8%:
Considering with some exceptions the end of VPF deployment as of 1st January 2014, in accordance with the agreements signed with distributors, the cinema theater network under VPF now deployed gives YMAGIS a solid base, generating recurring revenues and representing substantial development potential to commercialize new digital equipment and services.
Services: all activities showed growth in the 4th quarter
The Services segment (38.7% of 2013 consolidated revenues) displays revenues increasing by +37.9% in the 4th quarter. This growth was driven by Laboratory and Sale & Installation, which respectively increased by +90.0% and +30.0%. Revenues related to Laboratory benefited from:
- in France, significant “blockbusters” film releases in the 4th quarter, helping YMAGIS to record strong activity in post-production and also in duplication and delivery of digital copies;
- in Spain, the opening of the laboratory in Barcelona at the end of June, which is starting to bear fruit and should be at full speed in 2014;
- the SmartJog contribution to SmartJog-Ymagis Logistics, integrated by global integration in the YMAGIS consolidated accounts from December 1st, 2013, for 239 K€.
For the record, since December 1st , 2013, digital prints duplication and delivery activities are ensured by SmartJog-Ymagis Logistics, a 60% owned subsidiary of YMAGIS created at the end of the year, and resulting from a merger of these activities with those of TDF group which owns the remaining 40%. The service offer covers the preparation of encrypted digital movie prints (DCP) and of digital keys enabling their projection (KDM(2) ), as well as their delivery to cinema theaters and laboratories via satellite, ADSL/fiber and physical devices. As of December 31, 2013, YMAGIS had ensured, directly or through SmartJog-Ymagis Logistics, the delivery of a total of more than 32,000 movie DCPs and of 128,000 trailer and commercial DCPs across Europe, i.e. a growth of respectively +29% and +39% versus 2012, and had more than 1,800 cinema theaters connected in Europe representing nearly 8,000 screens.
The opening of the laboratory in Berlin, at the end of October, should contribute to Laboratory segment revenue from 2014 onward.
Revenues related to Sale & Installation increased by +30.0% in the 4th quarter, supported by the strong increase in the number of screens deployed under VPF contract by the Group mainly in Spain, and to a lesser extent in Germany, where exhibitors rushed to benefit from the last funding opportunities under VPF for the digital transition, available, as mentioned above, until 31 December 2013 with some exceptions.
A SOUND FINANCIAL STRUCTURE
YMAGIS shows a sound financial structure, including the 11.6 M€ capital injection carried out in the 1st half-year on the occasion of its Initial Public Offering on the regulated market of NYSE Euronext Paris, compartment C, and the capital increase by private placement carried out in January for nearly 5 M€.
For 2014, the VPF business and the Online Support & Maintenance business should benefit from the full effect of the deployment of cinema theaters under VPF contract, carried out all year long, and especially at the end of the year, in Spain and Germany.
Moreover, SmartJog-Ymagis Logistics should make its full impact from 2014 onwards, with the sales teams now integrated and operational.
Furthermore, YMAGIS is studying new acquisition opportunities in order to broaden its products and services offer to distributors and exhibitors, but also its geographical reach.
In this respect, the capital increase by private placement carried out in January, which allowed YMAGIS to raise nearly 5 M€ from institutional investors, strengthens the Group’s already sound financial structure, and will make it possible to speed up its growth strategy and achieve its ambition of becoming the European leader in digital services and technologies for the cinema industry more quickly.