Videndum sees slow recovery following Hollywood strikes
Microphone, camera and video equipment makers Videndum said revenues were in line with expectations in the first half, though a recovery was taking longer than expected following the Hollywood actors' and writers' strikes that have affected trading over the past year.
The company said it expects conditions to continue improving in the second half as the cine and scripted TV market gradually bounces back, though the "pace and shape of the post-strike recovery remains uncertain".
In a brief pre-close trading update ahead of its interim results in September, Videndum didn't disclose any financial details, except reporting that net debt fell to £118m by the end of the first half, down from £122.4m at the first-quarter stage.
"The macroeconomic environment affecting the consumer and independent content creator segments remains challenging, and the group has maintained its focus on controlling costs, capex and working capital tightly," the company said.
Videndum added that it has renegotiated its committed revolving credit facility with its lending banks, which has been "extended, reduced in quantum, and its lending covenants, particularly interest cover, relaxed".
The stock was up 1.3% at 277p by 0959 BST, having fallen by more than 50% over the past year.