DreamWorks Reports Q4
DreamWorks Animation SKG, Inc., announced financial results for its fourth quarter ended December 31, 2012. In the quarter, the company reported total revenue of $264.7 million and a net loss of $82.7 million, or a loss of $0.98 per share. For the 12 months ended December 31, 2012, the company reported total revenue of $749.8 million and a net loss of $36.4 million, or a loss of $0.43 per share.
Impacting DreamWorks Animation’s fourth quarter and full-year 2012 results is a charge of approximately $165 million, which includes a write-down of film costs for Rise of the Guardians in the amount of $87 million, charges totaling $54 million related to the company’s decision to return Me & My Shadow back to development, a write-off of a number of other development projects in the amount of $20 million, and a charge of $4.6 million related to restructuring activities.
“While Rise of the Guardians did not achieve the level of box office success that we have come to expect from a DreamWorks Animation film, we have made several changes to our future slate that we believe will position us well for the next two years,” said Jeffrey Katzenberg, CEO of DreamWorks Animation. “We are now looking ahead to our next release—and our first under our new distribution agreement with Twentieth Century Fox—The Croods on March 22, 2013.”
Rise of the Guardians, which has grossed $302.3 million at the worldwide box office, contributed revenue of $6.1 million to the quarter.
Madagascar 3: Europe’s Most Wanted, which has grossed $746.6 million at the worldwide box office, contributed revenue of $95.2 million to the quarter, primarily from home entertainment and international box office. The film reached an estimated six million net home entertainment units sold worldwide through the end of the fourth quarter, net of actual and estimated future returns.
Puss In Boots contributed $10.5 million of revenue to the quarter, primarily from pay television and home entertainment. The film reached an estimated 6.2 million home entertainment units sold worldwide through the end of the fourth quarter, net of actual and estimated future returns.
Kung Fu Panda 2 contributed $4.8 million of revenue to the quarter, primarily from home entertainment. The film reached an estimated 6.5 million home entertainment units sold worldwide through the end of the fourth quarter, net of actual and estimated future returns.
Library, which now includes Megamind, contributed approximately $63.4 million of revenue to the quarter. Other items, including holiday television specials and live theatrical properties, contributed approximately $53.1 million of revenue to the quarter. Classic Media contributed approximately $31.6 million of revenue to the quarter.
Costs of revenue for the quarter equaled $354 million. Selling, general, and administrative expenses totaled $36.5 million, including approximately $3.1 million of stock-based compensation expense.
DreamWorks has $125 million remaining under its current share repurchase authorization.
The company’s full year 2013 results are expected to be driven primarily by the performance of The Croods, which is scheduled to be released on March 22, 2013, and Turbo, which is scheduled to be released on July 19, 2013.
Cartoon Network Theme Park Opens in Dubai
Ilyas & Mustafa Galadari Group (IMG Group) announced that it has partnered with Turner CN Enterprises to bring a dedicated Cartoon Network Zone to the IMG Theme Park in Dubai.
IMG Group’s collaboration with Turner CN Enterprises will deliver a number of world firsts for both companies and fans, including the world’s first themed attractions for the The Amazing World of Gumball, Adventure Time, and LazyTown. The IMG Theme Park will also feature the world’s largest Ben 10 retail store and the first ever Ben 10 5-D ride, along with branded restaurants and other branded immersive experiences across the 200,000 sq. foot experience.
The Cartoon Network name and characters have been licensed to the IMG Group by Turner CN Entertainment. Cartoon Network World is owned, managed, and operated by the IMG Group which has developed the complex including the combination of family, adventure, action, and comedy entertainment experiences.
The overall facility for the themed-entertainment destination will be in excess of 1.2 million sq. feet in its first stage and will be the largest temperature-controlled indoor-entertainment destination in the world. It is designed to attract 10,000 plus visitors per day. The Cartoon Network Zone is the second publically released partner and zone within a total of four zones on the property.