Lionsgate: 'John Wick 2' Highest-Grossing Digital Title in Company History8 Aug, 2017 By: Erik Gruenwedel
Studio/distributor remains strong proponent of premium VOD
Lionsgate Aug. 8 announced that John Wick Chapter Two, sequel to the 2014 actioner starring Keanu Reeves, is the studio/distributor’s highest-grossing retail digital movie.
Lionsgate did not disclose actual sales data for the movie, which was released into retail channels June 13 and helped buttress the company’s home entertainment results. Other revenue performers (including DVD and Blu-ray Disc) included La La Land, Power Rangers and The Shack.
On the company's fiscal call, CEO Jon Feltheimer reiterated support for premium VOD — the fledgling distribution window that would give consumer access to new-release theatrical movies early in the home at a premium price (from $30).
Feltheimer contends a PVOD agreement could be reached if it “were possible” to get exhibitors, studios and digital distributors in a room to dissect the research.
“I think it will expand the [revenue] pie. I think it’s what, clearly, what consumers want,” he said. “I really believe that in the next 12 months we’re going to see some tests done … I think it would be great for business.”
Meanwhile, motion picture revenue in the first quarter (ended June 30) increased 15.8% to $472.4 million, from $408 million during the previous-year period. Theatrical revenue from Codeblack's All Eyez On Me and Pantelion Films' How to Be A Latin Lover contributed as well. Theatrical profit increased 192% to $86.9 million, from $29.8 million a year ago, benefiting from higher revenue and lower marketing spend.
“We continued to grow our content business in the quarter by launching significant new premium properties, expanding the reach of current brands and adding to the Lionsgate-owned or controlled platforms across which we monetize our intellectual property,” Feltheimer said.