Lions Gate Entertainment Corp. reported a strong jump in its fiscal first quarter profit boosted by strong revenues at its Mandate Pictures unit and the addition of its new TV Guide properties.
After Monday's market close, the TV and movie studio with headquarters in Vancouver, British Columbia and main operations in Santa Monica, reported net income of $36.3 million (30 cents per share), compared with $3.5 million (3 cents) a year ago.
Revenue rose 30 percent to nearly $388 million, boosted by the first full quarter of results after the acquisition of TV Guide Network and TV Guide.com. Motion picture revenue was up 6 percent to nearly $273 million and television production revenue more than doubled to $87.2 million.
Revenue from Mandate Pictures, acquired in August 2007, rose 535 percent $53.1 million on strong sales of "Drag Me To Hell," "Juno" and "Passengers."
Analysts surveyed by Thomson Reuters on average were expecting a 5 cent per share loss on revenue less than $331 million.
"As anticipated, we had a strong and profitable growth quarter that puts us on track to meet our financial targets for the year," said Chief Executive Officer Jon Feltheimer said in a statement.
Lions Gate shares were up 15 cents, or 2 percent, to $6.61 in midday trading on the New York Stock Exchange.
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