Imax Corp. reported improved second-quarter revenue and earnings on Tuesday that exceeded Wall Street expectations.
“Imax is on track to deliver its best year ever at the box office, with the success of ‘Spider-Man: Far From Home,’ ‘The Lion King,’ and our record-breaking, first local language animated release in China this past weekend, ‘Ne Zha,’ leading a strong second half film slate and building on our solid first-half,” Imax CEO Rich Gelfond said in a statement “Our continued success is driven by the privileged position we hold in the entertainment ecosystem, where our end-to-end technology empowers world-class creators to bring cultural events and communal experiences to life on a global scale.”
The premium format film exhibitor reported adjusted per-share earnings of 32 cents, which was up slightly from the 30 cents per-share earnings the company reported during the same quarter a year ago. Imax’s earnings per share were also above the expected 29 cents per-share earnings analysts tracked by Yahoo Finance had forecast.
Imax said it had gross profit of $59.6 million in the second quarter and net income of $11.4 million.
Revenue for the second quarter amounted to $104.8 million, up from the $98.3 million Imax reported during the same period last year. Wall Street analysts had forecast revenue of $98.8 million.
Shares of Imax were up more than 2% in after hours trading on Tuesday. Imax shares have gained 4% in the last five days, and more than 13% in the year to date.
Overall gross box office in the second quarter hit $364.9 million Imax said, which is up compared to the $342.6 million in box office Imax reported during the second quarter of 2018. The exhibitor said that the $22.3 million increase in gross box office was mainly driven by a $29.1 million increase in the Chinese box office.
“Through our strong relationships with creators, the power of our global network and our continued cost discipline, we are now delivering top-line growth, EBITDA margin expansion and enhanced returns on capital for investors,” Gelfond added. “We continue to enhance Imax’s position in the entertainment ecosystem and have established a solid foundation to deliver further growth in the quarters and years ahead.”