Image Expects Q2 Loss2 Nov, 2005 By: Erik Gruenwedel
A week before officially posting what are expected to be disappointing fiscal second quarter (ended Sept. 30) 2006 results, Image Entertainment announced today that it expects third quarter (ended Dec. 31) results to rival results from the same period (fiscal 2005) last year.
The Chatsworth, Calif.-based distributor will announce second-quarter results Nov. 10.
Image, which yesterday nixed a revised acquisition bid from Lions Gate Entertainment, said it expects third quarter revenues from $33 million to $35 million compared to $34.4 million (and $1.9 million profit) last year.
Image said second quarter revenues would fall between $23 million and $24 million compared to $28.5 million and $1.2 million in profit last year.
Principle third quarter drivers include recent acquisition Criterion Collection, better than expected catalog orders and high profile new releases such as double DVD set KISS Rock the Nation Dec. 13.
Image said it is ahead of schedule in consolidating its acquisition of Chicago-based Home Vision, including integration of Home Vision's operations into its Chatsworth headquarters and Las Vegas distribution center. Home Vision's Chicago offices have been shuttered.
“The guidance we are providing gives us a chance to equal and possible exceed our previous record breaking [third quarter] last Christmas,” said CEO Martin Greenwald. “Although it is difficult to to project actual earnings, we are confident in our ability to generate significant bottom line results.”