DQE's ability to adopt the newer technologies quickly and efficiently in this rapidlychanging environment will help it to monetize from alternate revenue streams with thecurrent library of content
We are happy to place before you our annual results for the year ended 31 March 2014.
During the last couple of years DQE has remained focused on building its owntelevision content production and distribution business while also leveraging itsresources to benefit from alternate channels and platforms.
Furthermore we continue to develop and progress on our feature film production whichwill complement to our existing production pipeline and also add several new intellectualproperties to our portfolio that comprise the foundation of our business.
Our licensing and distribution group has performed well concluding new agreements withinternational broadcast partners as well as several licensees for variety of merchandiseproducts.
The business of entertainment has evolved into a highly dynamic industryinterconnected by varied global digital platforms. The demand for good quality content hasgrown substantially due to the availability of digital platforms for exploitation anddistribution. Broadband Internet connections across all major markets are on the risewhile the increased use of alternate screens such as the tablet and Smartphone hasaccelerated the growth of mobile broadband subscribers across the globe. There arecurrently an estimated 2.1 billion mobile broadband users growing at a rate of 30%annually and projected to touch 7 billion subscribers by 2018. DQE is well positioned totake advantage of this mass market requirement of content in addition to the normalrevenue streams currently being generated.
As already demonstrated in the past DQE's ability to adapt the newer technologiesquickly and efficiently in this rapidly changing environment will help it to monetize fromalternate revenue streams with the current library of content. In order to create a nichemarket presence for itself in this emerging digital space the entire team has workedextremely hard under difficult circumstances to solidify the company's position in what isa very competitive environment.
I sincerely would like to thank you for your support to DQ Entertainment and I remainoptimistic about our future in the animation TV and feature film content industry.
Most notable amongst this year's achievement is the success launch of our 2nd IP"The New adventures of Peter Pan". The first season has done exceedingly welland our Broadcast partners - ZDF Group Germany Tele Quebec Canada and De Agostini GroupItaly have already given their go for the 2nd season. Most notable amongst theseproperties are:
PRODUCTIONS SUCCESSFULLY COMPLETED AND DELIVERED:
NFL2 20 x 22' CGI / 2D TV Series with Rollman Entertainment USA for Nick Toons(USA) has been successfully delivered.
Iesodo - 10x13' CGI TV series with Rollman Entertainment (USA)
Lanfeust Quest - 26 x 22' 3D TV series coproduced with Gaumont Alphanim (France)
The Rising Star - 26 x 22' 2D TV series coproduced with TMS Entertainment(Japan) and Kodansha (Japan)
Peter Pan (Season 1) - 52 x 11' 3D TV series co-produced with Method Animation
DVD's and Pilots namely Turk Ethel & Ernest Court update and G-Soccer.
Rotomation - 90 Mns DVD 3D HD - Oyster Blue Corporation
Lancer Man home video movie - 3D 88 mns -Oyster blue Corporation
NEW PROJECTS SIGNED IN THE YEAR 2013-14
We have signed new co-productions/work-for hire contracts with international partnersfor delivery over the next 18-24 months as follows:
Leo & Pisa gang - 52 x 11' CGI TV series with MPP (Germany)
Shabiyate - 15 X 13 CGI TV series with Fanar Productions
Miles from Tomorrow Land 24X22 with Wild Canary USA
Project Popples 52 x 11 with Zag ToonsUSA
Seven Dwarfs and Me 26 X 22with Method Animation France
PROJECTS IN PRODUCTION:
Our production pipeline continues to be robust optimizing the utilization of man andmachine resources. The under mentioned are currently in production to be progressivelycompleted for delivery in 2013-14.
The Jungle Book Season 2 - 52 x 11 3D TV series being coproduced with ZDF TV(Germany) TFI TV (France) Moonscoop (France) ZDF-E (Germany)
Jungle Book Christmas Special - CGI TV Feature coproduced with ZDF TV (Germany)and Moonscoop (France)
Lassie & Friends - 52 x II' 2D TV series being coproduced series withDreamWorks Classics (USA) TFI (France) ZDF (Germany) and Noga (Israel)
Robin Hood Mischief in Sherwood - 52 x II 3D TV series being coproduced withMethod Animation (France) TFI (France)ATV (Turkey) De Agostini (Italy) and ZDF(Germany)
Manav - 65' 2D TV Feature with Disney India
Little Prince Season 3 - 26 x 22' CGI TV series - third season of this iconicseries with Method Animation (France) France Televisions and RAI (Italy)
NFL Season 3 20 x 22' CGI / 2D TV Series with Rollman Entertainment USA forNick Toons (USA)
Shabiyate - 15x13 CGI TV series with Fanar productions
Pocket World - 60 Mns DVD 3D HD -Real Heart Limited
Motion Maker - 45 Mns TV Feature 3D HD -Smart Silver Limited
Wyland's Universe - 90 mins DVD -Jayna Mid East
The Zula Man - 70 mins DVD -Smart Silver Limited
T- tales Inside - I10 mins DVD -Real Heart Limited
Witch wonders - 140 mins DVD -Bright Action Limited
IPs CURRENTLY IN DEVELOPMENT:
5 & IT - 52 x II' 3D HD TV series to be coproduced with ZDF Enterprises(Germany)
The Adventures of Pinnochio - 52 x II' TV series under development by our IPcreative team
The Jungle Book Feature Film - 90' 3D stereoscopic feature film
Licensing and Distribution
Our licensing and distribution efforts help us to monetize our IP's acrossinternational markets. The deals signed during the year are as under:
|NO ||PROPERTY ||BROADCASTER ||TERRITORIES |
|1 ||JUNGLE BOOK 1 ||Univision ||USA & Puerto Rico |
|2 || ||Knowledge Network ||British Columbia |
|4 || ||Viacom 18 Media Private Limited ||Indian Sub Continent |
|5 ||JUNGLE BOOK 2 ||The Educational Broadcasting System ||Korea |
|6 || ||ABC Broadcasting ||Australia |
|7 || ||Green Narae Media ||Korea |
|8 ||JUNGLE BOOK SAFARI ||Workpoint ||Thailand |
|9 || ||Media Entertainment Services ||UAE Bahrain Omar Qatar Lebanon Egypt Iran |
|10 ||PETER PAN ||Rai Cinema ||Italy |
|11 || ||Sky Italia ||Italy |
|12 || ||Green Narae Media ||Korea |
|13 || ||De Agostini ||Italy & Italian speaking Europe |
|14 ||ROBINHOOD ||ZDF ||Germany & German speaking Europe |
|15 || ||2 X 2 ||Russia |
|16 || ||Clear Vision ||UK |
|17 ||IRON MAN 2 ||A Parent Media Co ||Canada |
|18 || ||South African Broadcasting Corporation ||South Africa |
|19 || ||Radio Television Malaysia ||Malaysia |
LICENSING AND MERCHANDISING DEALS SIGNED IN 2013-14
|s. no ||property ||licencees ||TERRITORIES |
|I || ||Showtime Attractions Extension ||Australia & New Zealand |
|2 || ||BBS S.p.A ||Italy San Marino Vatican City |
|3 || ||Seri Systems (for EuropeRussia Turkey) exclusive ||Europe |
|4 || ||Technoplast ||Chile & Peru |
|5 || ||Newco International ||US Canada |
|6 || ||Kellytoy USA Inc. ||US Canada South Africa |
|7 || ||Inkology ||US Canada |
|8 || ||Milestone ||US Canada |
|9 || ||Playrific ||Worldwide |
|10 ||JUNGLE BOOK ||Craftstone Group Ltd. ||All of Europe excluding Germany and German Speaking Europe including Austria and Switzerland) and Asia |
|II || ||Gruppo Cartorama ||Italy |
|12 || ||Wimpy Marketing ||South Africa Swaziland |
| ||Botswana Mauritius Namibia |
|13 || ||Dragon-I Toys Limited ||Global excluding U.S. Canada |
| ||SA AUS & New Zealand |
|14 || ||Harlequinn International Group Pty Ltd ||Australia |
|15 || ||Jilcroft Pty Ltd (MJM Australia Imports) ||Australia |
|16 || ||Brand Licensing South Africa CC ||Africa & S. Africa |
|17 || ||Synergy IT ||EMEA North America South America Australia |
|18 || ||Spafax Airline Network ||Inflight Entertainment only |
|19 || ||Universal Music for JB 2 ||Worldwide |
|20 || ||King Trade Limited (A unit of King Animation) ||Latin America excluding Arzentina Uruguary bolivia Mexico China south Korea and Japan Phillippines Malaysia Thailand Singapore Vietnam HongKong Taiwan |
|21 ||JUNGLE BOOK ||Great Chance Limited ||Middle east + Northern Africa |
|22 || ||Jayna Mid East FZE ||East Europe CIS including Russia |
|23 || ||22D Music Group ||Worldwide |
|24 || ||RanocchioRe ||Italy San Marino Vatican City |
|25 ||PETER PAN ||Nestle ||Italy San Marino Vatican City |
|26 || ||Tendenze srl ||Italy San Marino Vatican City |
|27 || ||22D Music Group ||Worldwide |
|28 ||FELUDA TV SPECIAL - The detective series - 60 Mins - (L & M) ||Smart Silver Limited ||UAE Bahrain Oman Qatar Kuwait Saudi Arabia Iran Lebanon Jordan & Egypt. |
|29 ||FELUDA TV SPECIAL - The detective series Television rights and Home video rights || ||UAE Bahrain Oman Qatar Kuwait Saudi Arabia Iran Lebanon Jordan & Egypt. |
|30 ||SURYA PUTRA - "The star Boy" - (L & M) || ||USA and EUROPE |
|31 ||SURYA PUTRA - "The star Boy" - Television rights and Home video rights ||King Trade Limited ||USA and EUROPE |
OUR KEY STRATEGIC PRIORITIES FOR THE FORTHCOMING YEAR INCLUDE:
VFX for Hollywood live action movies especially.
Exploitations of IP's through Digital Media Distribution channels such asYouTube Amazon Hulu etc.
Mobile gaming for IOS and Android platforms
Accelerate distribution in untapped markets such as Eastern Europe and LatinAmerica
Our focus markets are primarily in Europe USA and Canada followed by Asia Middle Eastand Latin America. US surely has moved forward from subdued conditions while Europe isstill under recessionary conditions though production improvements have been seen inFrance Germany UK and Italy. We remain optimistic with US and Canada leading the growthpath for TV and animated feature film markets which your company is taking full advantage.
I sincerely thank our valued stakeholders and board members as well as our partners'worldwide and valued clients business associates bankers and government authorities fortheir continuous support and trust.
Tapaas Chakravarti CMD & CEO 30 May 2014