Annual Report 2003 - Modern Times Group MTG AB

500
375
250
125
0
2001
net sales
2002
2003
SDI has a network of international
operations located in key markets
throughout Europe, Asia and the
Americas and works with its clients
on a global basis. SDI counts many
of the world’s leading media and
entertainment groups on its extensive
client list, including all but one
of the major Hollywood studios.
SDI's business by segment consists
of DVD subtitling (56%); broadcast
subtitling (31%); subtitling software
(10%) and dubbing and voiceover
services (3%). SDI's value pro-
Client quote
�
"SDI offers a one-stop
shop for all Travel
Channel's varied and exacting
language adaptation requirements.
As we rapidly expand
the number of languages in
the next 6 - 12 months,
SDI's international infrastructure
and support services
will be invaluable."
Colin McLeod, Travel
Channel’s Affiliate Sales and
Marketing Director
position is based on high quality, superior service, worldwide capacity
and competitive pricing. SDI is one of the market leaders in
subtitling and dubbing technology. This is proved by the successful
launch of a new generation of digital subtitle transmission and preparation
systems by the Screen Subtitling subsidiary, as well as the
leadership role SDI is taking in the development and production of
digital cinema subtitles for theatrical releases such as ‘Finding
Nemo’, ‘Master and Commander’ and ‘Pirates of the Caribbean’.
The business area’s sales decreased by 7% year on year to SEK
354 (379) million in 2003. A large share of the business area’s sales
are in US dollars and were therefore adversely affected by the weakening
of the US dollar against the Swedish Krona during 2003.
60
45
30
15
0
ebit
2001
2002
SDI increased margins in a
competitive market
2003
Underlying sales growth in local currency, excluding the currency
translation effect was stronger at 7% year on year. Operating income
declined to SEK 49 (54) million, as the company incurred
one-time restructuring charges to rationalise operations in Asia
and Europe in the fourth quarter.
SDI continued to build on its market leading subtitling and
dubbing position during 2003 by adding new global key clients
including Lions Gate Entertainment, DreamWorks, National
Geographic and the Travel Channel. In addition, SDI is expanding
its service offering in the dubbing and voice-over segments for traditional
entertainment companies as well as new media companies,
such as interactive games developers and publishers and the producers
of multimedia corporate presentations.
In a competitive market, SDI continues to focus on maintaining
a low cost structure. The development of the company's proprietary
software has been instrumental in raising productivity and decreasing
cost. The Asian, French and Dutch operations were
restructured in the second half of the year and will consequently
benefit from ongoing year on year savings. SDI's network of freelancers
was bolstered in territories where the company does not
have an office in order to provide additional capacity.
countries
Denmark
Estonia
Finland
Holland
Hong Kong
Israel
Japan
Korea
Latvia
Lebanon
Lithuania
Singapore
Slovenia
Sweden
Taiwan
Thailand
United Kingdom
USA
1.
sdi media
1. Voice-over actor in
action recording a ver
sion of an interactive
game in a different
language.
33