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Peppa Pig creates $1bn of retail sales in ’15 financial year

Over 200 new broadcast and licensing agreements concluded within the period.

The Family and Licensing arm of Entertainment One continues to perform strongly, driven by the seemingly unstoppable Peppa Pig, according to the company’s interim results.

Results for the six months ending September 30 showed that pro forma revenues for the period for Family and Licensing were up 4% to £32.7 million (2014: £31.4m).

Underlying EBITDA increased 16% to £25.1 million, reflecting increased revenues, sales mix in the first half and, in particular, improved margins from digital exploitation.

When it comes to Peppa Pig, the brand generated $1 billion in retail sales in the 2015 financial year, with more than 200 new broadcast and licensing agreements concluded in the current period.

As of September 30, the group had almost 800 live licensing and merchandising contracts in its portfolio, including Peppa Pig and Ben & Holly.

International marketing programmes for Peppa Pig continue to roll out in the US, Latin America, Brazil, France and Russia. The outlook in the US continues to be positive with Nick Jr airing new episodes seven days a week on prime slots, and Peppa Pig remaining the number one rated show on the channel.

The toy range is now available in all key retailers including Walmart and Target, with sales feedback exceeding expectations in all case. Clothing is also outperforming, with a recent promotion in Target selling out and with suppliers now apparently air-freighting stock to meet demand.

In publishing, Scholastic has sold over a million books to date, while the Peppa Pig stage show – launching this month – is generating strong demand for tickets and a doubling of the number of venues on the tour.

In addition, Ben & Holly is beginning to gain traction internationally, with toy launches in Australia, Spain and Italy, while the recent broadcast agreement with Nick Jr in the US will support a future US licensing programme.

Elsewhere, production is continuing on two shows that were green-lit in the last financial year, Winston Steinburger and Sir Dudley Ding Dong.

PJ Masks – which premiered on Disney Channels in the US in September – will launch worldwide throughout 2016. eOne is planning a licensing and merchandising programme for the property next financial year.

Overall, the group reported profit before tax of £18.1 million and revenues up to £337.1 million. It believes it is on track to double the size of the business by 2020.

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