×

Diversification Changes the Way DreamWorks Animation Discusses Earnings

AwesomenessTV generated $3.6 million in revenue for the company during the third quarter

Buying companies like Classic Media and AwesomenessTV, and expanding into new areas of business, has changed the way DreamWorks Animation reports its quarterly results.

“We are introducing four new reporting segments — feature films, television series and specials, consumer products and all other — to align with the ways in which we operate DreamWorks Animation’s business today,” said Lew Coleman, chief financial officer of DreamWorks Animation while announcing the company’s third quarter performance. “Our financial reports will now include revenue and gross profit contributions from these segments, which we believe will also serve to provide more detail behind our growth and diversification efforts going forward.”

DreamWorks’ films generated revenue of $120.7 million and gross profit of $55.4 million for the third quarter, which ended Sept. 30.

“The segment remains at the core of the business,” said DreamWorks Animation CEO Jeffrey Katzenberg during an earnings call with Wall Street analysts.

Despite the disappointing box office performance of “Turbo,” which earned just $82 million domestically and $246 million worldwide, “we believe ‘Turbo’ is a profitable movie,” Katzenberg said, with the $127 million toon set to continue to be promoted on homevideo (out Nov. 12), through a new Netflix series and Mattel toys well into next year. DWA spent between $150 million and $175 million to market the film.

Compare that to “The Croods,” which has grossed more than $587 million worldwide, since March, making it the year’s sixth highest-grossing film. Pic earned $4 million for the studio during the quarter.

Library titles earned $52 million in revenue, with “Rise of the Guardians” bringing in $42 million, mostly from worldwide pay TV deals. It’s sold 4.2 million units on homevideo to date. “Madagascar 3: Europe’s Most Wanted” and “Puss In Boots” generated $10.9 million and $4.8 million during the third quarter, respectively, with the third “Madagascar” moving 8.1 million homevid units and “Puss in Boots” 7.5 million to date.

Overall, DreamWorks generated $10 million in profits, down 58.8% over the same frame last year, on $154.5 million in revenues, off 17%. Sales came in higher than Wall Street expected.

TV series and specials earned $18 million in revenue and $4 million profits, largely from Classic Media-related programming and “DreamWorks Dragons: Riders of Berk “on Cartoon Network.

Consumer products generated $12 million in revenue and $3 million profits during the quarter, primarily from the sale of “Turbo” toys and Classic Media-related merchandise.

AwesomenessTV added $3.6 million in revenue to DreamWorks’s coffers during the quarter in the “all other items” segment. The online entertainment network, which primarily targets teens and tweens, saw its viewership increase 75% during the third quarter to 2.1 billion.

DreamWorks Animation’s stock rose $0.25 on Tuesday to close at $27.82.

More Film

  • Ford v Ferrari BTS

    Cinema Audio Society Nominees Represent Wide Range of Genres

    There’s an exceptional level of craftsmanship among this year’s nominees for the Cinema Audio Society Awards, which recognizes outstanding accomplishments in sound mixing, a collaborative discipline that requires sound editors, re-recording mixers, Foley and ADR artistry to work together to create a harmonious finished product. The categories considered are: live action, animated and documentary features, [...]

  • A security guard wears a mask

    As Coronavirus Spreads, China Cinemas Make Costly Choice to Shut Over New Year Holiday

    China’s cinemas are shutting down during the Lunar New Year holidays as the country is gripped by the deadly coronavirus epidemic. The news comes after seven titles collectively pulled out from their scheduled new year release on Thursday. The virus has so far led to quarantine measures in at least 10 cities in Hubei province [...]

  • My Name is Baghdad

    Reel Suspects Acquires Berlinale Generation Title 'My Name is Baghdad' (EXCLUSIVE)

    Reel Suspects has acquired international sales rights to Caru Alves de Souza’s coming-of-age tale “My Name is Baghdad,” which will world premiere at the Berlin Film Festival in the Generation 14 section. The film was produced by Manjericão Filmes and Tangerina Entretenimento. It follows a 17-year-old female skater named Baghdad who lives in a working-class [...]

  • My Salinger Year

    Berlin Film Festival to Open With Sigourney Weaver, Margaret Qualley Starrer 'My Salinger Year'

    The 70th edition of the Berlinale will open with Philippe Falardeau’s anticipated “My Salinger Year,” headlined by a powerful female duo, Sigourney Weaver and Margaret Qualley. Set in New York’s literary world in the 90’s, the coming-of-age story is based on Joanna Rakoff’s international bestseller and follows Joanna (Qualley), who leaves graduate school to pursue [...]

  • Bad Hair

    'Bad Hair': Film Review

    The year is 1989 and New Jack Swing is about to push black culture from the margins to the mainstream. The question for the black employees of Culture, the music TV station at the center of writer-director Justin Simien’s delightfully macabre horror-dramedy “Bad Hair,” is what image do they — and their white executive Grant [...]

  • Bad Hair

    Justin Simien's 'Bad Hair' is a Tribute to Exploited Black Women Everywhere, Director Says

    Deeply personal but indulgently campy, Justin Simien’s Sundance opener “Bad Hair” is a genre-blending horror show that the director said serves as a tribute to the struggles of black women. The mind behind  “Dear White People” staged the world premiere for the project at Park City’s Ray Theater on Thursday night, before a cast that [...]

  • Taylor Swift: Miss Americana

    'Taylor Swift: Miss Americana': Film Review

    Fly-on-the-wall portraits of pop-music stars used to be dominated by, you know, pop music. The life and personality and woe-is-me-I’m-caught-in-the-media-fishbowl spectacle of the star herself was part of the equation, yet all that stuff had a way of dancing around the edges. Now, though, it’s front and center. In “Taylor Swift: Miss Americana,” we catch [...]

More From Our Brands

Access exclusive content