Lionsgate reported first quarter revenue of $834.7 million, operating income of $18.8 million, and net loss attributable to Lionsgate shareholders of $59.4 million or $0.25 diluted net loss per share on 235.6 million diluted weighted average common shares outstanding. Adjusted net income attributable to Lionsgate shareholders in the quarter was $20.9 million or $0.09 adjusted diluted net earnings per share on 240.4 million diluted weighted average common shares outstanding. Adjusted OIBDA was $104.5 million in the quarter.
“We’re pleased to report a solid quarter despite unprecedented industry disruption and the aftereffects of the strikes,” said Lionsgate and Lionsgate Studios CEO Jon Feltheimer. “Our Motion Picture Group, STARZ and our library performed well, though financial results in our television segment reflected a heavily backloaded year. Importantly, we generated great momentum during and after the quarter by taking a number of steps toward full separation by calendar year-end, subject to the timing of normal regulatory approvals.”
Trailing 12-month library revenue was $882 million.
First Quarter Results
The Studio Business, comprised of the Motion Picture and Television Production segments, reported revenue of $588.4 million, a decrease of 5.9% from the prior year quarter. Studio Adjusted OIBDA of $58.3 million decreased by 5.5% from the prior year quarter.
Motion Picture segment revenue decreased by 15% to $347.3 million and segment profit increased by 24% to $86.1 million. The year-over-year revenue decline was due to the difficult comparison with the prior year’s first quarter, which included carryover theatrical revenue from John Wick: Chapter Four. Motion Picture performance was driven by strong theatrical results from The Strangers: Chapter One, robust home entertainment performances from several theatrical titles, and lower P&A spend and content amortization.
Television Production segment revenue increased 10% to $241.1 million while segment profit decreased 53% to $10.7 million. Revenue growth was driven by contributions from eOne, while segment profit growth was impacted by lingering impacts of the strike on the timing of deliveries in a heavily backloaded year.
Media Networks North American revenue grew 1% to $345.3 million and segment profit grew 54% to $58.5 million. Revenue growth was driven by the June 2023 price increase and OTT subscriber growth, partially offset by linear declines. Segment profit growth was driven primarily by lower content amortization. North American OTT subscribers increased 5.5% to 13.2 million compared to the prior year quarter, while on a sequential basis, North American OTT subscribers decreased by 180K. Overall North American subscribers decreased by 500K sequentially. Earlier this week, STARZ notified its U.S. customers of a $1.00 rate increase to the service’s monthly cost.
Lionsgate and Lionsgate Studios senior management will hold their analyst and investor conference call to discuss fiscal 2025 first quarter results today, August 8th, at 6:00 PM ET/3:00 PM PT. The consolidated financial results of Lionsgate and the operating results of Lionsgate Studios’ segments will be discussed on a single call. Interested parties may listen to the live webcast by visiting the events page on either the Lionsgate Investor Relations website or the Lionsgate Studios Investor Relations website. Alternatively, interested parties can join the webcast directly via the following link. A full replay will be available this evening by clicking the same link.
