Entertainment One (eOne) has delivered an upbeat trading update, predicting half-year earnings before interest, taxes, depreciation, and amortization will be “significantly ahead” of 2010 levels.

“Revenue in the first half is expected to be in line with the prior year with strong trading in the entertainment division offsetting lower sales in distribution,” the Toronto-based company added in its UK market trading update.

During the six months to Sept. 30, Entertainment One, which is shopping itself to possible buyers, said its film division benefited from increased investment in content and improved margins due to long-term output deals.

On the TV side, the company expects to deliver over 70 half-hours of original shows, against 115 in the first half of last year

Full-year deliveries, by contrast, are predicted to be greater than 2010.

At the same time, Entertainment One’s wholesale distribution business has been impacted by the industry-wide DVD slump.

“Revenues in the distribution business were lower than the prior year, predominantly due to fewer blockbuster theatrical releases flowing through to home entertainment in the first half,” the company said.

Entertainment One, which trades on the London Stock Exchange, will unveil its six months results on Nov. 14.

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