Cinram Q4, FY DVD Revenue Topsy-turvy8 Mar, 2007 By: Erik Gruenwedel
A strong holiday DVD release schedule helped Toronto-based disc replicator Cinram International post fourth quarter (ended Dec. 31) income of $48 million, compared to $38.2 million during the same period last year.
DVD revenue increased 3% to $351.5 million from $339.8 million, excluding first time high-definition disc revenue of $2.8 million. For the fiscal year 2006, DVD revenue fell 6% to $1 billion from $1.1 billion in 2005. High-def revenue topped $5.6 million.
Conversely, CD/CD-ROM replication revenue fell 35% to $63.5 million, compared to $98.4 million last year.
“The surge in DVD volume experienced in the fourth quarter demonstrates the further compression we are seeing in the seasonality of the business,” said Cinram CEO David Rubenstein. “This year we hope to benefit from a more robust release schedule coupled with increased production capacity to service peak demand requirements.”