Videndum is uniquely positioned right at the heart of the content creation market, with market-leading, premium brands in defensible niches; approximately 90% of our revenue comes from professional content creators.
We continue to execute well on our long-term strategy to deliver organic growth, improve margins and to grow through M&A.
The business is committed to continually improving the sustainability of our products and reducing the direct and indirect emissions of the Group. Managing climate change risks is a critical aspect of our global strategy.
Videndum is a strong, agile business and the Group’s market-leading brands, operational excellence and sustained technology innovation make us uniquely positioned to take advantage of the growing content creation market and to deliver long-term value to our shareholders.
- Videndum is right at the heart of the fast-growing content creation market
- c.75% of the Group's business exposed to four different structural growth drivers which are growing double-digit
- Market-leading brands with premium pricing and ongoing technology innovation
- Margins on track to mid-teen level as volumes grow and we deliver operating leverage
- M&A to enhance portfolio and unlock the value of Creative Solutions
- A responsible business with a clear purpose and strategy, committed to sustainability
Our strategic priorities
Market growth is being driven by technology advancement driving shorter product replacement cycles and by four different structural growth drivers, all growing double-digit; 75% of the Group’s business is exposed to these. We invest in innovative new technology in the faster-growing areas of the market to enable our premium brands to maintain their already strong market positions and, in places, gain share. We also continue to invest in our digital capabilities to benefit from the ongoing transition to the higher margin e-commerce channel.
We are focused on improving our operating profit margins towards our mid-to-high teen goal as volumes grow and we deliver operating leverage. Our margin improvement drivers include targeted pricing increases to reflect product quality and brand strength, growing online sales, continued operating efficiencies, in-sourcing, driving margin improvements in our Creative Solutions Division, and capturing synergies from acquisitions. We also intend to take a number of self-help actions to further streamline our cost base and deliver cross-Divisional synergies to ensure that the business is well set up for continued long-term growth.
We have a strong M&A track record and a clear capital allocation strategy.