IMAX Beats Q4 Earnings Forecasts With Help From ‘Skyfall’ And ‘Hobbit’
IMAX Q1 Earnings Miss Forecasts Despite Strong Box Office Results
Shares are up more than 3.6% in pre-market trading after the provider of large-screen theater services released a surprisingly strong financial report for the last three months of 2012. IMAX says it generated net income of $12.9M, +105.9% vs the end of 2011, on revenues of $77.8M, +16.6%. The top-line number was comfortably ahead of the $74M analysts expected. And adjusted earnings at 23 cents a share handily beat the consensus forecast for 16 cents. Although the company didn’t break out results for individual films in the quarter, some analysts expected IMAX might surprise them after seeing the strong box office results for Sony and MGM’s James Bond film Skyfall, and Warner Bros’ The Hobbit: An Unexpected Journey. Gross box office revenues for IMAX titles came in at a record $152M, +55.7%, with an average box office per screen of $264,400, up from $221,600.
Related: IMAX Looks For Growth From Digital Projectors And Global Programming
Revenue from the sales sharing arrangements with theaters was up 103.4% to $17M. Meanwhile, revenues from systems was down 18.5% to $24.3M as IMAX installed 14 new theaters in the quarter vs 17 at the end of 2011. The company says that in Q4 it signed contracts for 38 theater systems, including 28 in new locations. “Our 2013 objectives are straight forward — continue to expand our footprint worldwide, maximize the scalability of our business and further leverage our differentiated end-to-end technology platform to enable more leading filmmakers and studios to create an entertainment experience that cannot be found anywhere else,” CEO Richard Gelfond says.