Animation studio Aardman, known for the beloved characters Wallace and Gromit, has reported an annual loss of £1.1 million amidst a challenging market for children's content. The employee-owned studio aimed to achieve a small profit in 2025 after two consecutive years of losses, but production delays and market conditions hindered its progress.
Financial Overview
Despite an 8% increase in revenues to £20.4 million last year, Aardman remains in the red, although this marks an improvement from the previous year's loss of £4.1 million. The studio attributed its financial struggles to the timing of significant deals and weaker income in certain areas of the business.
Future Prospects
Aardman is looking to rebound with new projects, including:
- A recently opened exhibition at Lightroom in London showcasing its 54-year history.
- The release of a third Shaun the Sheep film last month.
- An audiobook of Gromit's autobiography, narrated by actor Martin Freeman.
In 2024, Aardman launched a five-year business plan focused on investing in its intellectual property and reducing costs. The studio celebrated the success of Wallace & Gromit: Vengeance Most Fowl, which became the most-watched animated film on British television since 2002, winning two Baftas and receiving an Oscar nomination for Best Animated Feature.
