eOne board in discussions with Alliance shareholders, posts 103% profit increase in 2012

Entertainment One posted a 103% profit increase in 2012, according to financial results published by the entertainment company.

For the year ended 31 March 2012, the Entertainment One Group reported revenue of US$803 million up 7% from 2011 and profit before tax up 103% from 2011 at US$37 million, with underlying EBITDA up 23.8% from last year at US$84 million.

“It has been a very positive year for Entertainment One,” said Darren Throop, president & CEO, Entertainment One. “The growth in our television business and doubling of digital sales have been particular highlights and demonstrate the success of our multi-platform strategy. I am also pleased to report that Peppa Pig’s international success continues and am excited about the licensing and merchandising roll out in the US later this year.” 

eOne now operates in the UK, the US, Canada, Benelux, Australia, New Zealand, Germany, France, Scandinavia, and South Africa.

Regarding recent speculation about the company’s acquisition of Alliance Films, Throop said: “The board today noted the recent speculation in the market regarding a possible acquisition of Alliance Films and the potential for an associated capital raising exercise. The board confirmed it has held discussions with the shareholders of Alliance Films but there can be no certainty this will lead to a transaction.

“In any event the company would only undertake such a transaction on acceptable terms, and on the basis that the directors believe it would be financially and strategically value enhancing for the company and its shareholders. Should a transaction be agreed the company would intend to raise funds through a combination of committed debt facilities and, subject to market conditions, the proceeds of an equity placing that would be fully underwritten by a limited group of institutional investors.”