The company also announced the departure of chief financial officer Giles Willits, who has been at the company almost a decade.
Increased spending on high-profile films including The BFG and Now You See Me 2 have hammered first-half profits at Entertainment One, sending shares in the owner of Peppa Pig tumbling more than 11%.
Adjusted pre-tax profits came in at £24m, well short of City expectations of £37m to £40m, which sent the company’s shares down 11%.
Entertainment One, which is headquartered in Toronto but listed on the London Stock Exchange, increased total revenues by 19% to £401m.