Media services firm Zoo Digital has declared itself 'rightsized' after a three-year restructuring that has slashed costs and repositioned the company for profitability. The Sheffield-based provider of localisation services for TV and movie content—including dubbing, subtitling, and mastering—reported narrowed operating losses of $1.6m for the year to March, down from $6.5m, while adjusted EBITDA grew from $1.1m to $4m.
Rightsizing and Restructuring
Zoo Digital's recent struggles stemmed from a seismic shift in its customer base, as traditional TV production gave way to streaming services. The company had been 'storming ahead' until the market upheaval forced a major restructuring that removed between £12m and £14m in costs. CEO Stuart Green explained that the process is now complete: 'We've rightsized our platform and reshaped the business, so we're now optimised for profitability and generating cash.'
The restructuring involved global office adjustments and operational efficiencies, leaving Zoo Digital leaner and more agile. Revenue fell 14.7% to $42.3m during the period, but the company expects profit progression in the current financial year, with strong trading in the first quarter of its 2027 fiscal year.
Fast-Track Service for Time-Sensitive Content
As streaming services evolve into 'the new form of TV,' customers are demanding faster turnaround times. Zoo Digital has responded by launching a global fast-track service that leverages its network of offices to operate 24/7. The service offers dubbing within 24 hours and subtitling within three hours—a dramatic reduction from industry norms.
Green emphasised the importance of quality alongside speed: 'Quality and authenticity of the work we do is still of paramount importance. You can't just cut corners and do some quick AI subtitles and think that'll be OK in the market because that will turn customers off.' He noted that content creators invest heavily in production and require localisation that meets the same standard.
Embracing AI and Market Opportunities
Zoo Digital has embraced artificial intelligence as part of its technology-driven approach. 'We're a tech company at heart, so this is the stuff we love and are really good at,' Green said. The company sees new opportunities as streaming platforms expand into sports, daytime TV, and live content, all of which require rapid localisation.
The CEO added: 'They're moving into new areas which are really turning the streaming services into the new form of TV. Where you used to subscribe to something like Netflix to watch movies and TV series, now you can watch sports, daytime TV and live stuff, and time-sensitive stuff.' This broadening of offerings requires content to be made available quickly after creation, a niche Zoo Digital is targeting with its fast-track service.
Outlook and Investor Confidence
Zoo Digital told investors that trading had been strong across the first quarter of its 2027 financial year, indicating that the turnaround is gaining traction. With costs under control and a new service line addressing market demand, the company is positioned for sustained profitability and cash generation. Green concluded: 'We've obviously embraced AI... that's the stuff we love and are really good at.'
With its rightsizing complete and a clear focus on speed and quality, Zoo Digital looks set to capitalise on the evolving media landscape while maintaining the high standards that its customers—and their audiences—demand.
