Lionsgate Narrows Loss in Q2

SANTA MONICA/VANCOUVER: Lionsgate posted a net loss of $24.6 million in the second quarter, compared to the year-ago period’s loss of $29.7 million, while revenues were down 22 percent to $358.1 million.

EBITDA of negative $19.3 million for the second quarter, compared to EBITDA of $22 million in the prior year’s second quarter, was attributed to weak performance of theatrical films and timing of DVD releases, which offset the gains in the company’s TV and digital businesses. Overall motion-picture revenue was $218.9 million, a decrease of 36 percent from the prior year. Theatrical revenue fell 71 percent to $22.3 million. Last year’s motion-picture revenue was given a boost by The Expendables, which generated $274 million at the box office.

The improvement in the company’s net loss was attributed in part to the gain on the sale of Maple Pictures of $11 million and earnings of $6.1 million for the company’s share of the premium TV channel EPIX.

“Although we were disappointed by the performance of our films in the quarter, we were pleased with the strong and growing contributions of all of our other core businesses,” said Lionsgate’s co-chairman and CEO, Jon Feltheimer. “We believe that our film performance will improve significantly and become more consistent as we release some of the potential franchise films on our upcoming slate, and our television and digital businesses and EPIX channel partnership will continue their strong and profitable growth trajectory.”