Films Fuel Lionsgate’s Revenue Rise

Theatrical, home-video units help company to 8 percent gain.

Last Updated: June 2, 2009 @ 11:48 AM

 

Lionsgate reported revenues of $1.47 billion and a net loss of $163.0 million for its fiscal year, ended March 31.

 

Amount represents an 8 percent rise from the prior year and was driven, the company says, by increased home-entertainment sales, growth in library revenues, television production revenues and digital revenues.

Lionsgate reported $463.2 million in fourth quarter revenues, its second best quarterly revenue performance, driven by theatrical box office and strong home entertainment and library sales.

 

Overall motion picture revenue for the year grew to a record $1.23 billion, an increase of 7 percent from $1.15 billion in the prior year. Within the motion picture segment, theatrical revenue was $223.3 million, an increase of 17 percent from $191.7 million the previous year, propelled by "Tyler Perry’s Madea Goes to Jail," "My Bloody Valentine 3D" and "The Haunting In Connecticut."

The $163 million loss was, per Lionsgate, primarily attributable to the underperformance of theatrical releases in the second and third fiscal quarters and a charge of $36.1 million taken on the company’s North American DVD distribution of Hit Entertainment’s family entertainment titles.

And theatrical distribution and marketing expenses of $330.5 million increased 1.3 percent from $326.3 million in the previous year.

"We ended our fiscal year on a strong note with record box office in the first calendar quarter," said Lionsgate Co-Chairman and Chief Executive Officer Jon Feltheimer. "We believe that continued strength in our core businesses coupled with meaningful contributions from many of our recent investments and lower theatrical marketing costs position us for strong positive metrics in fiscal 2010."

Lionsgate’s home entertainment revenue was a record $675.6 million in the fiscal year, a 5 percent increase from the prior year. This includes $34.9 million from television programming on DVD, including the third season of "Weeds" and the first season of "Mad Men."

 

Television production revenue increased to $222.2 million in the fiscal year, a 6 percent gain from $210.5 million in the prior year. International television revenues and revenues from domestic television movies and miniseries declined; the company’s slate included the Emmy Award-winning "Mad Men" on AMC, "Weeds" on Showtime and "Crash" on Starz.

 

Also reflecting growth of Lionsgate’s television business is $10.3 million in media networks revenue, representing one month of revenue from TV Guide Network and TV Guide.com. Lionsgate last week sold a 49 percent chunk of TV Guide and its online business to One Equity Partners.

 

Mandate Pictures’ revenue of $45.5 million decreased 13 percent from $52.3 million in the prior year.