Company riding high from Wanda Cinema Line deal
The summer box office powered IMAX to $82.3 million in revenues during the second quarter of 2012, beating Wall Street's expectations.
The popularity of films like "Iron Man 3" and "Star Trek Into Darkness" lifted revenues by 17.2 percent from the same period a year ago.
Net income at the big screen company increased 7.3 percent from the same period a year ago to $11.8 million. However, the company's adjusted earnings of $0.22 missed analysts' projections of $0.26 per share.
Analysts had predicted revenues $76.2 million.
On Wednesday, IMAX announced it had extended its partnership with Asia's largest theater chain, Wanda Cinema Line, and plans to build anywhere from 40 to 120 new large-format venues in China.
During the second quarter, IMAX said it signed contracts for 34 theater systems and installed 30 theater systems.
"When you take into account the healthy backlog at the end of the second quarter, along with the substantial signing activity over the past few weeks, including last night's Wanda/AMC announcement, the result is a strong pipeline for continued network expansion over the coming years," Richard L. Gelfond, IMAX Chief Executive Officer, said in a statement.
Shares of IMAX rose 1.4 percent to $26.50 in pre-market trading after the company's earnings were announced.
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