Montreal: In a wave of news, including a 69% hike in profits for fiscal ’98, Cinar Corporation and China Central Television have announced an agreement to coproduce 52 half-hours of the animated series Journey to the West, Legends of the Monkey King, a classic in ancient Chinese literature.

cctv operates 8 television channels and is the national broadcaster in the People’s Republic of China.

In December, Cinar signed a coproduction deal to produce another animation series based on a Chinese-sourced property, Rumble & Growl. The coproduction partner is Shanghai Animation Film Studio, a subsidiary of regional broadcaster Shanghai Television. Rumble & Growl is the first official toon coproduction between the countries. Cinar will distribute both shows worldwide.

Cinar reports revenues are up 61.1% to $151 million for the 12-month period ending Nov. 30,1998. Cinar Education accounted for 28.3% of all revenues during the fourth quarter. ebitda on the year is $39.7 million, up more than 68% over the previous year, while net profits in fiscal ’98 increased 69% to $21.8 million, or an eps of $0.67. Cash flow from operations increased almost 50% to $28.1 million while working capital and shareholders’ equity were $205 million and $366 million, respectively.

Going forward

Going forward, Cinar says it has committed to 360 half-hour episodes for its 1999/2000 production schedule, representing total budgets of $185 million. The ’98/99 cumulative production total is $125 million.

The program breakdown includes 16 animated series, nine continuing, for a total of 305 half-hours, plus 55 half-hours of live-action programs, the latter all ongoing including Are You Afraid of the Dark?, which first went into production in 1992. Cinar will also deliver Who Gets the House?, a coventured family film, and the coproduced miniseries Revenge of the Land.

Cinar president and co-ceo Ron Weinberg says demand for continuing series helped increase the company’s library asset by 213 half-hours in ’98, bringing the total to 1,387. The projected half-hour total by the end of fiscal ’99 is 1,747.

Both Weinberg and cfo Hasanain Panju, president of Cinar Education, are prepping for a major North American/European road show sometime this month. Details weren’t available at press time.

Cinar has also announced three senior nominations. A tax specialist, Jeffrey Gerstein has been named vp, finance. Kelly A. Elwood is Cinar’s new vp marketing while Dan Tierney has been promoted from director, business affairs to the post of vp, business development.

In other news, the company has increased its credit facility with the Royal Bank of Canada to $145.5 million.