HIT ponders US channel launch

net1

HIT Entertainment, the British pre-school entertainment specialist, owner of children's TV characters Bob the Builder and Thomas the Tank Engine, is reportedly planning to launch its own TV channel.
The firm, which makes 60 per cent of its sales in the US, was affected by the weakness of the dollar and has reported a fall in half year profit. Underlying pre-tax profit before goodwill and exceptional items fell 5.9 per cent to £24 million (E33.6 million) in the six months to January 31, 2004, on turnover down 3.5 per cent to £92.8 million.

However, the company emphasised that the pre-tax profit on an adjusted currency basis was £25.4 million, in line with £25.5 million a year earlier.

HIT said it would announce more details in three to six months if it decided to press ahead with a digital TV venture for US pre-school children.

Rob Lawes, CEO, said: "There's a constant need for content owners to get linked to distribution and we have been working on this for at least 12 months." He added: "We are looking at a number of options at the moment, but we would like to leverage our content into an equity ownership of a dedicated [TV] venture."