Lions Gate Entertainment Corp on Monday reported a net loss in its fiscal third quarter due to poor box office performances on some of its films and expenses related to a DVD distribution deal.
After the market closed, Santa Monica-based Lions Gate reported a net loss of $93.4 million (-81 cents a share), compared with net income of $7.3 million (6 cents) a year ago. Revenue rose 8 percent to $324 million.
Excluding gains on retiring debt, Lions Gate's loss of 84 cents per share. That was worse than the 27 cents per share average expectation of analysts surveyed by Reuters Estimates.
Lions Gate saw TV production revenue rise 82 percent as it increased the episodes of series such as "Mad Men" and "Crash" that it delivered to clients.
Overall motion picture revenue fell 2 percent to nearly $255 million, with disappointing box office receipts for films such as "The Spirit" and "Transporter 3." Home entertainment revenue fell 11 percent to more than $101 million.
"During the quarter, we were negatively impacted by some of the same broad economic factors reported by other companies in the media and entertainment sector," Chief Executive Jon Feltheimer said in a statement. "However, the primary factor contributing to this quarter's loss was the underperformance of our feature film slate. "
Shares of Lions Gate dropped nearly 8 percent in after-hours trade after closing down 3.1 percent at $5.33 on the New York Stock Exchange.
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