Alchimie is Adjusting Its Business Model to Target a Positive EBITDA in 2022 by Reorganizing Its Structure
10 Février 2022 - 05:45PM
Business Wire
- 2022 targets: reaching operational profitability by focusing
on profitable sales of over €20m. Cash position of €7m at the end
of 2021 ensuring financial visibility
- Adjustment of the business model: optimization of resources
on channels with high potential to support profitable growth and
resizing of the organization
- Diversification of the business: deployment of a channel
publishing offering for companies and marketing of Alchimie's
know-how as a service provider
Regulatory News:
ALCHIMIE (FR0014000JX7 – ALCHI)
(Paris:ALCHI), an OTT (over the top) subscription video on
demand (SVoD) platform featuring original and exclusive thematic
channels published jointly with media groups and talents, today
announces a project, currently under review with its employee
representatives, to adapt its business model to reach operational
profitability in 2022 following the reorganization of its
structure.
Fiscal year 2021 was marked by
numerous operational developments in terms of technology, marketing
and publishing. However, the limited growth in the number of
subscribers during the past year (+13%) requires Alchimie to adapt
its strategy to optimize its cost structure and cash. From now on,
the Company's management will be focused on achieving profitability
rather than on a subscriber base growth target. This adjustment of
the model will thus enable the Company to focus its resources on
its profitable assets.
A diversified offering to foster new growth drivers
Building on solid assets strengthened in 2021, such as the
premium and international content catalog, the extended
distribution network and the co-publishing platform with the
highest technological standards, Alchimie will continue to
distribute high-potential channels to its subscribers, but also
intends to diversify its activity.
The Company will thus market its channel publishing offer to
companies, following the example of the partnership established in
2021 with a leading player in the retail sector.
In addition, Alchimie intends to leverage its fundamentals to
publish content for media and talent without co-publishing the
channels, acting as a service provider for third parties.
Leveraging resources into profitable growth and restructuring
the organization
Regarding the Company's business, as announced last October,
Alchimie will limit the number of new channel launches in order to
focus on high-potential channels, co-published with committed
partners and benefiting from a strong editorial approach. In
addition, the Company will now focus on markets where it believes
it has the greatest potential for profitable growth, such as France
and Spain.
In addition, Alchimie has decided to reorganize the Company with
tight cost management to preserve its cash flow. Alchimie is now
focusing on a profitable growth model.
Achieving operating profitability and secured financial
visibility in 2022
Strategic decisions will enable Alchimie to reduce its breakeven
point to more than €20 million in revenues by 2022. The decline in
revenues expected in 2022 is directly linked to the refocusing of
the Company's resources on activities that are profitable in the
short term. With a cost structure adjusted to the strategic
orientations pursued, the Company's objective is to reach operating
profitability in 2022.
Furthermore, with a cash position of €7 million at the end of
2021, the Company considers that it has sufficient financial
visibility and does not anticipate a capital increase.
Next financial release: 2021 annual results, April 26,
2022 after market close.
About Alchimie
Alchimie is a channel factory: a unique video platform in
partnership with talents and media to co-publish their own thematic
channel. Alchimie has a content catalog established among 300
renowned partners (Arte, France TV distribution, ZDF Entreprises or
Zed). Alchimie partners with 110+ talents (celebrities,
influencers), brands and media groups to create new channels (The
Big Issue, Army Stories, Poisson Fécond, Vaughan, Scène de Crime,
Point de Vue) which are then distributed on more than 60
distribution platforms (TVPlayer, Amazon, Orange, Movistar,
Samsung, Huawei, etc.) constantly expanding its audience and
consequently its revenues. In 2019, Alchimie acquired TVPlayer, the
largest independent OTT platform in the UK.
For more information: www.alchimie-finance.com /
www.alchimie.com
View source
version on businesswire.com: https://www.businesswire.com/news/home/20220210005740/en/
Alchimie Stéphane Taillefer CFO
investors@alchimie.com
NewCap Thomas Grojean/Louis-Victor Delouvrier Investor
Relations alchimie@newcap.eu +33 (0)1 44 71 94 94
NewCap Nicolas Merigeau Media Relations
alchimie@newcap.eu +33 (0)1 44 71 94 98
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