Entertainment One posted revenue of US$519 million for the first half of 2018, a 2% drop compared to the same period last year. Gross profits for the six months ending on September 30, meanwhile, grew 3% to US$155 million.
The Toronto, Canada-based company—which posts results in British pounds—reported that strength in its Family & Brands category partially offset lower performance in its Film & Television business, which saw revenue drop 7% to US$425 million.
eOne’s Family & Brands business grew 29% to US$97.5 million in the first half of this year, due to continued strength from Peppa Pig (up 18%) and PJ Masks (up 44%), as well as the delivery of new show Cupcake & Dino: General Services. And the company is betting that the launch of new CGI preschool series Ricky Zoom in spring/summer 2019 will help the Family & Brands unit keep the pedal to the metal.
EBITDA grew 10% to US$77 million, driven by strength in the Family & Brands business. The company’s independent library valuation was completed in September 2018 and jumped to US$2 billion (up from US$1.7 billion in 2017).
eOne anticipates its financial performance for fiscal 2018 will be in line with previous management expectations. Moving forward, the company expects to have almost 1,900 live licensing and merchandising contracts by the end of fiscal 2019, with its Peppa Pig and PJ Masks brands continuing to drive growth for the Family & Brands division. China, in particular, is expected to be an area of growth for Peppa Pig following the appointment of Alpha Group as master toy partner for the preschool property. And eOne has also announced plans to co-produce a new Peppa Pig movie with Chinese distributor Alibaba Pictures, marking the character’s first big-screen appearance in the region.