Industrial dispute and recession reel in Pinewood`s profits

The film studios behind Slumdog Millionaire and the James Bond and Harry Potter films announced pre-tax profits of £1.66m in the six months to June 2009, down from £3.798m - reports the Telegraph.

The company, whose facilities in south-east England were used for the production of Slumdog Millionaire and the Harry Potter films, reported marginally lower group revenues at £20.3m against £21.7m a year earlier.

Film revenues were £11.8m, down from £13m in the same period in 2008, reflecting the impact of "the protracted negotiations between the US studios and the Screen Actors Guild". These were largely concluded by the end of the first half.

"Whilst overall demand remains strong, wider economic pressure has tightened the access to film financing, which in turn has meant producers are taking longer to commence productions," the group said.

Ivan Dunleavy, the group's chief executive, said the small budget films had been hit by a decline in film financing, while the bigger budget productions are "performing very reliably".

The largest production based at the studios during the period was the as yet untitled Robin Hood adventure for Universal. Other major productions using Pinewood Shepperton's facilities in the period included The Wolfman, Cemetery Junction, Gulliver's Travels and Clash of the Titans.

Television revenues were relatively flat at £5.5m, down from £5.8m in 2008. This follows the same trading pattern seen last year, when television revenues were weighted to the second half.

Television currently accounts for about 30pc of total revenues. Television programmes filed at the group's studios include The Weakest Link and Harry Hill's TV Burp, as well as new productions including Britain's Best Dish for ITV and Wogan's Total Recall for Channel 4.

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