MGM Reports Q1 Windfall From ‘Hobbit’ And ‘Skyfall’

The numbers do the roaring for MGM. In the first three months of this year it generated net income of $57.4M, +150.7% vs the period last year, on revenues of $481.7M, +168.4%. It shouldn’t be a surprise. With the late 2012 release of the James Bond film Skyfall, and a 50% stake in The Hobbit: An Unexpected Journey, the studio had $139.5M in worldwide box office revenues, up from $0.5M last year. The company says that it has to wait for costs to be covered before it can recognize revenue from two films it co-financed: Hansel & Gretel: Witch Hunters and G.I. Joe: Retaliation. Home entertainment also was way up — to $201.7M from $36.2M — with the home video release of Skyfall and piggy-back promotions for its James Bond library. But worldwide television licensing was -3.2% to $109.3M. MGM’s 19.1% stake in EPIX delivered $5M to net earnings, +16.3%. The results “exceeded our expectations” and “position us well to deliver on our financial goals” for 2013, CEO Gary Barber told investors. (more…)

This article was printed from https://deadline.com/2013/05/mgm-q1-earnings-501899/