Tag Archives: Earnings

“Puss in Boots” gives DreamWorks’ earnings a boost

DreamWorks Animation SKG

DreamWorks Animation SKG

First-quarter earnings at DreamWorks Animation SKG Inc. rose slightly in the first quarter as both revenue and costs increased, the studio announced Wednesday.

Over half of its revenue — or $73.6 million — came from overseas ticket sales of its feature film Puss in Boots and its release on home video in the United States. The film grossed about $554 million at the box office worldwide.

Such other recent films as Kung Fu Panda 2 contributed to revenue as well.

Net income in the three months ending March 31 reached $9.1 million (11 cents per share), just up from $8.8 million (10 cents per share) a year ago.

Revenue jumped 26% to $136.1 million from $108.0 million. Analysts polled by FactSet had predicted earnings of 8 cents per share on $132.3 million in revenue.

Revenue costs rose to $96.5 million from $72 million, while DWA paid $5.1 million in income taxes in the first quarter — up by 38% from the same period last year.

Second-quarter and full-year results for DreamWorks Animation are expected to be driven by Madagascar 3: Europe’s Most Wanted, which comes to theaters on June 8. The film will complete with Pixar Animation Studio’s Brave.

However, because of the summer Olympics, Madagascar 3 will be released late overseas, DWA chief financial officer Lou Coleman, said during a conference call.

The studio will release the movie in Australia, Italy, Japan, Spain and the Nordic region by the end of this year, and in the United Kingdom and Germany in 2013.

Coleman believes that the delay will affect both the box office and the DVD release for Madagascar 3. Its distributors will spend more on advertising in the second quarter, he added.

TV revenue from Kung Fu Panda 2 and home entertainment revenue for Puss In Boots will also drive results in the second quarter, the company said.

DreamWorks Animation shares closed up 36 cents (2%) Wednesday at $18.46 on the Nasdaq in the regular session. They rose another 64 cents (3.5%) to $19.10 in after-hours trading.

Shares of DWA have dropped by 10% since it announced a sharp fall in profit in its fourth quarter.

Disney’s fourth-quarter earnings jump 33 percent



Fourth-quarter operating income at the Walt Disney Company grew 33 percent to $421 million over the same period last year, the entertainment giant announced Thursday.

Walt Disney Studios recorded a 13 percent increase in operating profit in the quarter to $117 million due to lower write-downs and strong ticket sales for The Lion King 3-D and The Help. However, the Pixar division’s Cars 2failed to meet expectations, so merchandising sales accounted for most of the studio’s operating profit.

Disney CEO Robert Iger said the company plans to “make fewer, more profitable movies.” He singled out the live-action The Muppets, scheduled for release on Thanksgiving, as a possible blockbuster.

Iger also pointed to Disney’s international business as experiencing greater growth. He cited an agreement for a Disney Channel in Russia and the beginning of building a Disney World-style resort in China.

The best-performing division at Disney after parks was its TV business (including Disney Channel), where operating income jumped 20 percent to $1.46 billion. Strong international advertising growth helped Disney Channel.

Although attendance at Disney’s Florida and California parks increased by just 1 percent, but per capita spending grew by 9 percent, due to greater spending on food and merchandise — as well as higher ticket prices.

“Spending is increasing at a pretty heavy level,” Disney chief financial officer Jay Rasulo said during a conference call with analysts. Group bookings have risen by “leaps and bounds,” he added.

Disney reported a profit of $1.09 billion (58 cents a share) for the quarter ended October 1, a 30 percent increase from $835 million (43 cents a share) during the same period last year. Revenue grew 7 percent to $10.43 billion. Analysts had expecting a profit of about 55 cents a share for the most recent quarter.

Net income for the year rose 21 percent to $4.8 billion from $3.96 billion. Revenue increased slightly to $40.89 billion.

Disney shares grew over 3 percent in after-hours trading Thursday to $35.78.

DreamWorks Animation’s quarterly revenue jumps 38%

DreamWorks Animation SKG

DreamWorks Animation SKG

DreamWorks Animation‘s second-quarter revenue rose 38% over the same period last year, while net income zoomed upward 42%, the company announced Tuesday.

The Glendale, California-based studio gave financial results for its second quarter ended June 30. For the quarter, the company reported total revenue of $218.3 million and net income of $34.1 million, or 40 cents per share on a fully diluted basis. This compares to revenue of $158.1 million and net income of $24.0 million, or 27 cents per share on a fully diluted basis, for the same period in 2010.

Kung Fu Panda 2 is currently the fifth highest-grossing film of 2011 on a global basis and has exceeded $600 million at the worldwide box office to date,” said DWA chief executive officer Jeffrey Katzenberg. “We are looking forward to the next two big events for the company during the second half of the year: the November 4 theatrical release of Puss In Boots, and the release of Kung Fu Panda 2 into the home video market in the fourth quarter.”

Released on May 26, Kung Fu Panda 2 contributed $55.8 million of revenue in the quarter, generated by its worldwide box office performance, as well as merchandising and licensing activities. It has grossed approximately $160 million in domestic box office and approximately $440 million in international box office to date.

Last year’s Megamind contributed $19.7 million of revenue in the quarter, driven primarily by home entertainment. The film reached an estimated 4.3 million home entertainment units sold worldwide through the end of the second quarter, net of actual and estimated future returns.

Shrek Forever After and How To Train Your Dragon — both released in 2010 as well — contributed $34.9 million and $41.4 million of revenue in the quarter, respectively, driven primarily by worldwide pay-TV and home entertainment. These films reached an estimated 8.8 million and 8.7 million home entertainment units, respectively, sold worldwide through the end of the second quarter, net of actual and estimated future returns.

DWA expects that its third-quarter results will be driven primarily by the continued international box office performance of Kung Fu Panda 2, in addition to domestic pay-TV revenue from Megamind.