Disc Helps Spike Lionsgate Q1 Home Entertainment Sales 16%8 Aug, 2013 By: Erik Gruenwedel
Home entertainment and TV sales help offset slight decline in theatrical revenue
Lionsgate Aug. 8 proved why it remains bullish on home entertainment (notably discs), reporting more than $169 million in first-quarter (ended June 30) retail revenue, which was up 16% from revenue of $145.5 million during the previous-year period.
The tally is impressive considering nearly 63% of home entertainment revenue came from DVD and Blu-ray Disc. Santa Monica, Calif.-based Lionsgate said digital media revenue increased 21% to $63.2 million.
Principal drivers in the quarter included Warm Bodies, The Impossible and Texas Chainsaw 3D, as well as continued revenue from The Twilight Saga: Breaking Dawn — Part 2, Sinister, The Perks of Being a Wallflower and The Expendables 2.
Indeed, gains in home entertainment and international operations more than offset a decline in theatrical revenue, and helped up overall motion picture revenue 8% to $438.6 million.
Overall, Lionsgate reported net income of $13.6 million, compared with a net loss of $44.2 million last year. Total revenue reached $536.3 million, compared with nearly $479 million last year.
"We're pleased with our first-quarter results, with particularly strong contributions from our diversified television slate, packaged and digital media, and our robust international performance," CEO Jon Feltheimer said in a statement. "The fact that our quarter compared favorably to a first quarter last year that included most of the domestic release of the first 'Hunger Games' film illustrates the diversity of our business. The appetite for content is growing, domestically and internationally, across multiple platforms and, as a pure content company, we are well positioned to capitalize on this demand."