Beyond International posts sharp rise in half-year profit
Production and distribution company Beyond International expects earnings per share to lift by 10-15 per cent in fiscal 2013 and is on the lookout for further acqusitions.
It follows a stronger-than-expected 17 per cent lift in December half-year net profit to $4.69 million compared to the prior corresponding period. Revenue increased by 13 per cent to $49.67 million.
“The company is using the cash flow from operations for dividend payments and to accumulate cash reserves for working capital and further strategic acquisitions," Beyond managing director Michael Borglund said in a written statement announcing the results. "Beyond evaluates complementary businesses for acquisition to accelerate the company’s growth and to further diversify income streams.”
Beyond has previously acquired digital businesses First Rate/Market United and 3Di although the Beyond D digital marketing division it formed in April 2012 underperformed during the December 2012 half. "Management has addressed the problems in the business and expects improving results in the second half to June 30, 2013," the company said.
Beyond's television productions and copyright division performed well, lifting earnings before interest and tax (EBIT) by 7.5 per cent to $5.24 million. The company said program commissions in the US remained consistent while Australian program commissions lifted 11 per cent. Local program commissions included Steam Punks series 1, Rush series 2, Toy Box series 4, Pipsqueaks, Between the Wars, Whitlam and Selling Houses Australia series 6.
Beyond's home entertainment division's operating profit remained steady at $1.72 million after a 20 per cent cut in overhead costs offset a 24 per cent drop in revenue. New product acquisitions include the Ultimate Fighting Championship and National Rugby League.
Beyond's distribution TV and film segment posted EBIT of $916,000 compared to $604,000 a year earlier. The company said significant sales were achieved for Mythbusters, Deadly Women while it also acquired Highway Thru Hell and Love it or List It.