The DreamWorks Animation CEO still has a lot invested in snails — with Netflix carrying the studio’s animated series Turbo FAST — and says the film’s failure doesn’t mean the TV show will skid off track. “We believe the overall Turbo franchise…will be a successful and profitable piece of business for years to come,” Jeffrey Katzenberg told analysts in a call to discuss Q4 earnings. He noted that Netflix says Turbo FAST is “one of the most popular kids series ever on their platform.” The DWA chief called the $13.5M writedown on the film “a modest impairment charge” needed because it “fell short of our expectations,” especially overseas. But the loss stung: When an analyst said it was small enough to constitute a rounding error he fired back that “it’s not a rounding error for us,” adding that the company wants to be transparent. Distributor Fox will recoup its costs for Turbo in the current quarter. The spinoff TV series may still complicate DWA’s 2014 financials. It expects to deliver a big slug of episodes to Netflix in Q4 and will have to rev up spending to market them. But DWA said that will pay off in 2015: It raised its TV revenue forecast for next year to more than $250M from more than $200M.
Subscribe to Deadline Breaking News Alerts and keep your inbox happy.