Birmingham-based film financing and distribution company Intandem Films was in optimistic mood yesterday despite an increase in half-time losses.
The firm, headed by entrepreneur chairman Gary Smith, reported a turnover for the six months to December 31 of £438,000 compared to the previous figure of £343,000.
The loss for the half year came in at £138,000, up from £66,000.
However, Intandem insisted that the loss was "significantly less" than the £431,000 deficit it posted in the six months to June 30 2005 and reflected the positive growth of the company during the period.
Mr Smith told shareholders: "Since the company commenced business little more than two years ago, the board has steadily expanded its network of contacts in production and financing.
"The results of those efforts are now starting to materialise and we are confident that the flow of film projects commencing production will accelerate during the next 12 months, significantly assisting the future growth of Intandem."
He added: "The company is actively pursuing equity based funding for films and is in negotiations with four different financing groups with a view to being appointed as the international sales company for their funds.
"If appointed the directors believe this would have a positive impact on the company's ability to 'greenlight' its slate of films in the future."
During the six months two films were completed and five new fully financed films were agreed providing a future revenue stream from the commissions on sales of international rights.
A further ten films are on the slate with the potential to earn executive production fees as well as sales commissions.
"Irresistible, the thriller starring Susan Sarandon and Sam Neill, was completed in December 2005 and sales have been agreed in most territories," Mr Smith said.
"Stoned, the film about the final months of the life of Brian Jones, the founder of the Rolling Stones, was delivered in September 2005 and released theatrically in the UK in November.
"Although the box office in the UK was disappointing, Sony Home Entertainment is handling the UK DVD sales and is confident about the April 2006 release."