Peppa Pig drives revenue and profit growth at Entertainment One
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That’ll do, pig.
Media production and distribution company Entertainment One said a big expansion in licenses for Peppa Pig merchandise helped it to meet its targets and achieve strong full-year revenue and profit growth.
In a fourth quarter trading update, the company said its performance for the year to March 31 would be in line with expectations and consistent with what was announced in its interim results.
Revenues for its TV shows, which include the new titles ICE, Ransom, Mary Kills People and Cardinal, “almost” doubled, it said, while the division that includes Peppa Pig was expected to see a 25 per cent rise in revenues. Retailers such as Target in the US have been broadening the range of Peppa Pig-branded products they sell, and revenue from these was over $200m in 2016, the company said. This was thanks to the launch of a “wide licensing program”.
However underlying earnings before interest, tax, deprteciation and amortisation in the film division is likely to be flat because of higher advertising costs.
Chief executive Darren Throop said:
The Group has had a good year, with strong performance in both Television and Family and major progress on the reshaping of the Film business.
Management anticipates that the Group will deliver a full year performance in line with expectations as it continues to deliver against its stated strategy of increasing the quality and value of its library of content.”
The company will announce full-year results on May 23.
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