ZOO’s H1 25 performance reflects the steady return of orders following the end to the Hollywood strikes by actors and writers. However, monthly budget allocations from ZOO’s customers remain at depressed levels due to ongoing strategic reviews at the major studios. Content strategies are evolving, and business models are being realigned to generate more profit and cash. This has resulted in unpredictable workflow patterns, but visibility is expected to improve throughout calendar year 2025, particularly given ZOO’s diversified client base as it continues to win business from significant new clients. We therefore introduce forecasts for FY26, which factor in a modest recovery to revenue but with ZOO returning to an operating profit, and good cash generation. Although current trading is in line with expectations, management notes visibility remains limited for Q4 orders and we therefore trim our FY25 estimates as a precautionary measure.