eOne Home Entertainment Sales Decline 14%21 May, 2014 By: Erik Gruenwedel
Reduced release slate and digital transition undermine fiscal-year revenue
Media distributor Entertainment One (eOne) said fiscal-year 2014 (ended March 31) home entertainment revenue dropped 14% due in part to a reduced release slate and ongoing market transition from physical to digital distribution.
Canadian-based eOne has movie, TV, music and digital operations in the United States, United Kingdom, Spain, Australia, New Zealand and the Benelux region.
Home entertainment distributed 611 titles in the fiscal year compared with 777 in the prior-year period. The decline in packaged-media releases was partly offset by increases in digital revenue, reflecting the projected growth in demand from new media channels for entertainment content.
The U.K. and Australia saw growth in their respective home entertainment sales, due in large part to the release timings with theatrical launches.
Key releases in the fiscal year included Safe Haven, Red 2, Welcome to the Punch, Django Unchained, Silver Linings Playbook, The Impossible, Quartet, Prisoners, Warm Bodies, Now You See Me and The Hunger Games: Catching Fire.
eOne plans more than 575 home entertainment releases during fiscal-year 2015, including 12 Years a Slave, Divergent, The Hunger Games: Mockingjay — Part 1, Paddington, The Expendables 3 and Need for Speed.
Meanwhile, eOne said overall pre-tax fiscal-year income increased 45% to nearly $80 million on revenue of $820 million, which was up 2% year-over-year.
“This strong operating performance again demonstrates the strength of our strategy of investing in content rights and exploiting them across multiple territories and multiple consumer platforms,” CEO Darren Throop said in a statement.