Company revenues up 40% to $189 million in third quarter
DreamWorks Animation’s highest grossing international film, “Shrek Forever After,” helped boost the studio’s revenues by 40% to $189 million and its net profits by more than 100% to $40 million in the third quarter.
Those numbers, reported after the market close on Tuesday, clobbered analysts’ expectations. In after hours trading, DreamWorks shares traded up $1.26 to $35.90.
“Our strong third quarter was driven primarily by the international box office success of Shrek Forever After, which has become DreamWorks Animation’s highest grossing international release of all time,” said CEO Jeffrey Katzenberg. “2010 has already been a historic year for the company and we are still looking forward to the theatrical release of Megamind on November 5th as well as home entertainment results from both How to Train Your Dragon and Shrek Forever After yet to come this year.”
Released on May 21, Shrek Forever After contributed $120 million in revenues to DreamWorks’ coffers in the quarter, while How To Train Your Dragon, released on March 26, continued to make a contribution — $800,000 in the quarter.
Looking ahead for the rest of the year, the company said it expect fourth quarter results to be bolstered by DVD sales and rentals of How To Train Your Dragon, Shrek Forever After and box office revenue forom Megamind, due ot debut in U.S. theaters on Nov. 5.