Lionsgate Studios Q2 revenue beats estimates; reaffirms FY forecast

By Reuters News


Overview

  • US film and TV studio's fiscal Q2 revenue rose 41%, beating analyst expectations

  • Adjusted net income for fiscal Q2 was $20.3 mln, or $0.07 per share

  • Company cites strong motion picture and TV production segment growth for quarterly gains


Outlook

  • Lionsgate reaffirms forecast of significant adjusted OIBDA growth for fiscal 2027

  • Company anticipates doubling scripted episodic deliveries in fiscal 2027 versus fiscal 2026 in its Television Production segment

  • Lionsgate sees growing visibility into continued growth trajectory in fiscals 2028 and 2029


Result Drivers

  • MOTION PICTURE SEGMENT - Co said revenue and segment profit rose due to ongoing contribution of Michael and continued library strength

  • TELEVISION PRODUCTION SEGMENT - Co said revenue and segment profit rose due to significant increase in scripted episodic deliveries, including Power: Origins and second seasons of The Studio and The Hunting Wives

  • LIBRARY PERFORMANCE - Co reported trailing 12-month library revenue of $1.04 bln, second highest ever


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q2 Revenue

Beat

$668.8 mln

$661.71 mln (12 Analysts)

Q2 Net loss attributable

$15.5 mln

Q2 Income from Operations

$29.1 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"

  • The average consensus recommendation for the entertainment production peer group is "buy"

  • Wall Street's median 12-month price target for Lionsgate Studios Corp. is $16.50, about 29.7% above its November 4 closing price of $12.72

  • The stock recently traded at 27 times the next 12-month earnings vs. a P/E of 37 three months ago


Reuters Recommended Reads

  • Nov 4 - AMC Entertainment Q3 revenue beats estimates on strong attendance

  • Nov 5 - Sony Q2 profit jumps on 'Spider-Man' and PlayStation boost

  • Nov 3 - Cinemark posts record Q3 revenue, net income up 146%


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.