Key Takeaways:

• Strawbear Entertainment made a net loss of 109 million yuan last year and its revenue dropped 14.3%

• The maker of dramas for film and TV hopes to cut costs by using AI to generate content

By Fai Pui

After the challenges of Covid, China's entertainment industry was set for a healthy recovery last year. But for one producer of hit dramas, the story did not stick to the expected script.

In a financial plot twist, film and TV companyStrawbear Entertainment Group(2125.HK) fell into the red for the first time last year despite pumping out a string of...