21 Jul 2010 07:00
| Date: | 21 July 2010 |
| On behalf of: | Entertainment One Ltd. ('the Company', or 'the Group') |
| For immediate release | |
Entertainment One Ltd.
Interim Management Statement
Entertainment One Ltd., the international entertainment group, presents its Interim Management Statement for the quarter ended 30 June 2010.
Overview
The Group has experienced another successful quarter with trading in the period in line with management expectations. Reported revenues increased 16.7% (5.3% on a constant currency basis) driven by strong trading in both the Film and TV businesses. Distribution continued to trade in line with last year.
Film
Film revenues during the period increased 11.9% (4.4% on a constant currency basis) driven by 38 theatrical releases including Letters to Juliet, Splice, Furry Vengeance, Streetdance3D and Law Abiding Citizen.
The success of the Twilight series continued with the release of The Twilight Saga: Eclipse in Canada on 30 June and in the UK on 9 July. To date box office takings have exceeded $22 million in Canada and £22 million in the UK. Since its launch in December 2008 the UK Film business has grossed over £100 million at the box office in just 19 months and is now the number one independent film distributor in the UK.
The Film business has a strong slate for the remainder of the year including titles such as Fair Game, Red, The Hole 3D, The Whistleblower, Machete, Shelter and London Boulevard. A number of titles were secured at this year's Cannes film festival including Kane and Lynch and The Three Musketeers.
Television
Television revenues more than doubled year on year as a result of increased activity including the delivery of 35 half hours of programming. This included the remaining episodes of the new police drama series Rookie Blue, which premiered in Canada and the US on 24 June. Audience figures drew over 9 million US and Canadian viewers, giving both networks their best summer scripted opener in more than five years. The new comedy Call Me Fitz, starring Jason Priestley, has also been delivered and is expected to air in September. Both programmes have already been commissioned for second series and the sale of international rights is progressing well.
The quarter saw good growth in Peppa Pig licensing activity while the strength of Ben & Holly's Little Kingdom has enabled the successful launch of a range of toys, clothing and books into major UK retailers this summer. The business is continuing to increase its focus on family properties and the associated licensing and merchandising opportunities. This is supported by the recent appointment of a new UK based managing director to lead this expansion.
Distribution
The Distribution businesses in the US and Canada continue to trade in line both with the prior year and current year management expectations.
Outlook
The Group is trading in line with management expectations and expects to deliver the anticipated growth through further successes in its Film and TV businesses. The Group continues to review potential acquisition targets to both expand into new territories around the world and deliver consolidation opportunities with existing operations.
Main Market Listing and Canada Incorporation
On 15 July 2010 the Group completed its move from AIM to the Main Market of the London Stock Exchange. Admission to the Official List (Standard Listing) marks a new era for the Group reflecting the progress made over the last three years and the growth plans for the Group going forward. At the same time the Company moved its place of incorporation from the Cayman Islands to Canada.
Financing
Net debt at 30 June 2010 was slightly better than management's expectations. Net Debt was lower year on year but higher than at the year-end due to usual seasonal factors and timing of the investment profile of the Film business. Net assets were in line with the year end.
The Group's Interim results for the 6 months to 30 September 2010 will be announced on or around 17 November 2010.
| Enquiries: Redleaf Communications |
Emma Kane Rebecca Sanders-Hewett
|
+44(0)207 566 6700 |
| Entertainment One Ltd. | Giles Willits Scott MacFadyen | +44(0)207 907 3773 +1 416 903 6581
|
| Singer Capital Markets Limited
| James Maxwell Richard Savage
| +44(0)203 205 7500 |
| Cenkos Securities plc | Stephen Keys Beth McKiernan | +44(0)207 397 8926 |
Notes to Editors:
Entertainment One (ETO:LN) is a leading international entertainment company that specialises in the acquisition, production and distribution of film and television content. The company's comprehensive network extends around the globe including the UK, Canada, the U.S., Ireland, Netherlands, Belgium, France, Australia and New Zealand. Through established Entertainment and Distribution divisions, the company provides extensive expertise in film distribution, television and music production, kids programming and merchandising and licensing. Its current rights library is exploited across all media formats and includes more than 20,000 film and television titles, 2,400 hours of television programming and 45,000 music tracks.
Further information is available at www.entertainmentonegroup.com or email Redleaf at eOne@redleafpr.com