Flextech Moves Into The Black In Preparation For Digital

Television production company Flextech is looking to the launch of digital television over the coming months claiming that every home in the UK will be a potential multi-channel subscriber, capable of receiving Flextech’s channels.

Half-year profits, announced this morning, report a pre-tax profit of £1.7 million for the six months ended 30 June 1998. For the same period last year the company lost £5.1 million. Turnover is up from £44.6 million to £64.1 million this time.

In the year so far, Flextech has launched a new transactional channel, TV Travel Shop, sealed a distribution deal with BSkyB on both its analogue and satellite services, and has established the new Flextech Interactive division.

Flextech chairman, Adam Singer, said: “This Autumn, and into 1999, we will see significant marketing activity by the digital platform operators which will increase the awareness and desirability of Pay-TV and should have a positive impact on subscription growth. As a platform neutral programme provider supplying channels to every platform, Flextech is well placed to reap the inevitable benefits of a true multi-channel market in the UK.”

Flextech says that all its channels have increased their audience share during the period; Living claims to be the fastest growing cable and satellite channel year on year in terms of audience share.

Earlier this week Flextech sought to take the Independent Television Commission (ITC) to the High Court for a Judicial Review of its decision to remove minimum carriage requirements for cable and satellite operators (see Flextech Takes ITC ‘Unbundling’ Move To High Court). The ITC has responded by saying that it believes to have acted within its legal powers and under the correct procedure (see ITC Defends Itself Against Flextech).

A Judicial Review has been granted and it is anticipated that it will be heard within the next three months.

Flextech: 0171 299 5000