Revenue surged, and profits were revitalized in Lionsgate’s latest quarter, attributed to the box office success of “The Housemaid.”
Total revenue climbed to $906.5 million, a significant improvement over the $865.6 billion reported the previous year. This increase was largely fueled by the motion picture segment, which experienced a 23% hike in revenue and a 39% rise in segment profit. This positive earnings scenario follows the movie division’s revival after a prolonged slump, marked by successful releases like “The Long Walk” and “Now You See Me: Now You Don’t.”
Significantly, Lionsgate achieved a net profit of $70.2 million for the quarter ending March 31, reversing a $117.4 million loss from the same period last year. The company reported adjusted earnings of 37 cents per share, with an adjusted OIBDA of $165.4 million, surpassing Wall Street’s expectations. Analysts had predicted earnings of 23 cents per share on $810.6 million revenue and an adjusted OIBDA of $154.3 million.
“All of the pieces of our business are coming together,” remarked Lionsgate CEO Jon Feltheimer.
During the period, the film studio also released sequels to “Greenland” and “The Strangers.” Revenue for this division increased to $652 million from $528.5 million in the same period of 2025, with segment profit rising to $187.1 million compared to $135.3 million the previous year. This quarter did not account for ticket sales from “Michael,” the studio’s musical biopic that premiered in April. Additionally, the studio plans to begin production on “The Housemaid’s Secret,” a sequel to “The Housemaid,” set for a December 17, 2027 release.
Lionsgate’s television division, responsible for hits like the Apple TV+ show “The Studio,” along with “Yellowjackets” and “The Rainmaker,” saw a sharp decline in revenue due to episode delivery timing. Revenue fell to $254.6 million from $543.3 million the previous year, with segment profits dropping to $30.5 million from $40.6 million. Lionsgate announced that another season of “The Studio” is slated for release this year and highlighted the extension of its procedural “The Rookie” with a new spinoff, “The Rookie: North.”
“Our success in the quarter is about more than one hit movie,” Feltheimer stated. “We’re beginning to see signs that our operating environment is improving: people are returning to theaters. IMAX, Dolby, XD, and other Premium Large Format screens are transforming the moviegoing experience. Great storytelling is emerging in new and unexpected places across traditional and digital media alike, and Gen Z audiences are enabling shows like ‘The Rookie’ to break out with renewed vitality as we are again seeing the resilience of our business.”
More to come…
