<i>Monsters, Inc.</I> Scares Up Record Revenue for Pixar4 Nov, 2002 By: Joan Villa
Monsters Inc. contributed $75 million to a record $102.5 million in third-quarter revenues for Pixar Animation Studios, selling a higher-than-expected 25 million units, the company reported.
Out of more than 15 million units sold domestically following the film's Sept. 17 release, 60 percent were on DVD, noted Pixar EVP and CFO Ann Mather. The studio expects Monsters Inc. to sell 33 million to 35 million units worldwide over the next 10 years, she said.
Net earnings for the quarter jumped 650 percent to $46.9 million versus $6.2 million in the year-ago quarter. Revenues climbed nearly 800 percent from $11.5 million last year.
Going forward, the studio will boost its production from one film every 18 months to one each year, announced Pixar chairman and CEO Steve Jobs.
The studio's next animated feature, Finding Nemo, will hit movie theaters May 30 and follow on video in fall 2003, Jobs added. The film's first trailer began playing in theaters Oct. 31 and can also be accessed online at findingnemo.com, he said.
Shown recently to test audiences, “Finding Nemo tested the highest of any Pixar film to date,” noted Jobs, who promised the project will “set a new high bar for computer animation.”
In 2004, the studio will release The Incredibles from Iron Giant director Brad Bird, followed by Cars directed by John Lasseter in 2005.
The studio also raised guidance for full-year earnings per share to a range of $1.50 to $1.55 from previous expectations of $1.25 to $1.35, anticipating strong video and merchandise sales in the fourth quarter.
“We expect Monsters, Inc. to account for a majority of our revenues for fourth quarter 2002 as we approach the holiday shopping season,” Mather said.