Madagascar Sequel Boosts DreamWorks’ ProfitThursday, November 1, 2012
DreamWorks Animation SKG Inc. said late Thursday that its third-quarter profit jumped 24 percent from last year, with a strong overseas contribution from the film "Madagascar 3: Europe's Most Wanted."
After the markets closed, the Glendale animated film studio reported net income of $24.4 million (29 cents a share), compared with $19.7 million (23 cents) in the same period a year earlier. Revenue rose 16 percent to more than $186 million.
Analysts surveyed by FactSet on average expected profit of 11 cents a share on revenue of $138 million.
"Madagascar 3," which was released in June, has brought in $720 million in global ticket sales so far. About 70 percent of its revenue in the third quarter came from international markets. Chief Executive Jeffrey Katzenberg described the third film in the “Madagascar” franchise as a “blockbuster international box office success” that has become the fifth-highest grossing film of the year on a global basis.
Global pay television and home video revenue for “Puss In Boots,” “Kung Fu Panda 2” and “Megamind” also contributed to the earnings results. The company’s next film, "Rise of the Guardians," is scheduled to hit theaters Nov. 21.
Shares earlier closed up 20 cents, or less than 1 percent, to $20.61, and rose 1.4 percent in after-market trading.