TV production firm Ten Alps (LON:TAL) said it had an “interesting” commission pipeline as it looked to secure bigger deals in a thriving US market.
“We have to wait until the networks let us make it public before we can talk about them. But we are building a good pipeline and in doing so raising the quality of our revenues,” chief executive Mark Wood told Proactive Investors.
The creator of daytime staples such as 'Penelope Keith’s Hidden Villages' and 'Put Your Money Where Your Mouth Is' said it was also making progress securing programme deals in the US.
The group, soon to be renamed Zinc Media, said it is seeing a trend where larger networks, namely National Geographic and Discovery, are committing to spending more money on programming to boost audience ratings.
“We are deliberately focused on trying to secure more business in the US; not surprisingly US networks have bigger budgets,” said Wood.
“We see a market that is becoming more attractive and is favouring high quality producers, which we are.”
Earlier this year, Ten Alps announced the planned acquisition of a small corporate video group as part of its expansion into corporate communications.
“It’s not a massive acquisition, but takes us into the area we want to be,” said chief financial officer David Galan.
He was confident the deal would be completed by the end of the month.
Last summer, the group bought Reef TV for £4.5mln as part of a refocus on video production.
“It’s been integrated very well. They’re a core part of the business and the management team now,” said Wood.
“As an acquisition, it has performed extremely well, we are very pleased with their progress and they are hitting all their targets.”
Analysts at N+1 Singer Equity Research said the company had improved since the acquisition and growth would continue as it focused on higher value series.
The broker valued the stock as worth between 2.5p and 3.9p as second half performance will set the base for 2017 profit expectations.
The group will continue trading under Ten Alps until the AGM, when it will become Zinc Media.
Share price was up 5% to 1.84p.