Network Media shares surge as revenues to quadruple in 2016
Last updated: 13:17 07 Jan 2016 EST, First published: 05:17 07 Jan 2016 EST
Investors cheered TV and film production company Network Media Group (TSE:NTE) as it announced revenues are expected to quadruple this year and shares surged 50% to C$0.09.
The firm said it expects revenues to jump by some 400% for the year to November 30, thanks to higher production and distribution activities of its subsidiary, Network Entertainment Inc.
The anticipated budget for Network's slate of productions in 2016 is around US$9.5mln, with upcoming projects including an unnamed docu-series and the I Am JFK Jr. and The Cowboy documentaries.
These projects, combined with continued recognition of revenues from past projects, lead the company to expect revenues of US$6n4mln for 2016.
Additionally recently completed projects I Am Chris Farley and I Am Johnny Cash, have boosted sales, as well as the receipt of revenue from past projects,
Network forecasts revenue US$1.6mln for 2015, compared with $1.4mln for 2014.
“The forecast for revenues in fiscal 2016 is based on agreements Network has secured with buyers to purchase films or episodes in development,” the company said.
Network also made some management changes, with Kent Wingerak has been promoted to senior vice-president, business affairs, while Alexis Stewart has been appointed general counsel of the company.
