Imax 4Q profit doubles as theater network expands
NEW YORK (AP) — Imax said Thursday that its net income doubled in the fourth quarter as the company installed its systems into more theaters and pulled in more money from making Imax movies and converting films to its format.
The New York company earned $12.9 million, or 19 cents per share, for the three months ended Dec. 31. That's up from $6.3 million, or 9 cents per share, in the prior-year period.
Removing stock-based compensation, earnings were 23 cents per share. Analysts expected earnings of 17 cents per share, according to a FactSet poll.
Revenue climbed 17 percent to $77.8 million from $66.7 million. Wall Street predicted about $75 million in revenue.
Shares of Imax rose 85 cents, or 3.4 percent, to $26.04 in morning trading.
During the quarter Imax installed 46 theater systems, compared with 57 in the same period in 2011. Revenue from the sale and rental of projection systems fell 18 percent to $24.3 million. Joint revenue sharing arrangements with theaters that show Imax movies more than doubled to $17 million from $8.4 million.
The company is putting more focus on filmmakers who use the Imax format. Revenue from production using Imax cameras and film stock and digital media remastering, or Imax DMR, rose 56 percent to $19.2 million.
For the year, Imax Corp. earned $41.3 million, or 61 cents per share. In 2011 the company earned $15.3 million, or 22 cents per share. Revenue rose 20 percent to $284.3 million.