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Lionsgate and Lionsgate Studios Report Third Quarter Results for Fiscal 2025

On February 6, 2025, Lionsgate Entertainment Corp. and Lionsgate Studios Corp. revealed their financial performance for the third quarter of the Fiscal Year 2025, delivering a robust report amid a challenging market landscape.

Financial Highlights

Lionsgate reported total revenue of $970.5 million for the quarter, along with an operating income of $35.8 million. However, the net loss attributable to Lionsgate shareholders was $21.9 million, translating to a diluted net loss per share of $0.09 on a weighted average of 240.2 million diluted shares. This marks a notable recovery compared to previous quarters, showcasing Lionsgate’s resilience and adaptability within the industry.

Adjusted net income attributable to shareholders reached $68.4 million, equating to $0.28 adjusted diluted net income per share based on 241.3 million shares. Additionally, the company achieved an adjusted OIBDA of $144.2 million.

Performance Across Divisions

The performance across Lionsgate’s various divisions was mixed yet generally positive. The Studio Business, specifically comprising both Motion Picture and Television Production segments, recorded total revenues of $713.8 million—a 3% increase compared to the same period last year.

While the Motion Picture segment saw revenue dip to $309.2 million, due to strong compare with last year's successful releases such as The Hunger Games: The Ballad of Songbirds and Snakes, the Television Production segment enjoyed a remarkable revenue increase of 63%, amounting to $404.6 million. This rise is attributed to increased episodic deliveries and licensing agreements, reflecting the demand for high-quality television content.

In terms of profitability within the Studio Business, the adjusted OIBDA increased significantly to $112.0 million from the previous year’s $77.4 million. This substantial shift highlights the efficient management and strategic decisions applied by leadership to drive profitability amid fluctuating market conditions.

Subscriber Growth and Strategic Initiatives

Moreover, Lionsgate’s media networks division, which includes their premium subscription platform STARZ, reported North American OTT subscriber growth of 170,000, indicating a positive trend in subscriber engagement.

Lionsgate’s CEO, Jon Feltheimer, expressed optimism following the results, stating, “This quarter’s strong performance illustrates our commitment to creating quality content while ensuring operational efficiency. We remain focused on our strategic initiatives, particularly the planned separation of the studio and STARZ, as we evolve and expand our market presence.”

Feltheimer praised the record performance from the library, reflecting the company’s rich catalog of content that continues to draw in audiences, alongside the profitability of mid-budget films from the Motion Picture Group.

Furthermore, amidst the evolving landscape of the entertainment sector, Lionsgate adapts its strategies to align with market demands and viewer preferences. The company’s ongoing assessment of its content offerings and audience engagement remains paramount as they prepare for future growth and sustainability.

Conclusion

The third quarter for fiscal 2025 positions Lionsgate and Lionsgate Studios favorably against the backdrop of a competitive entertainment industry. As they continue to navigate challenges, focus on content quality, and maintain subscriber growth—stakeholders can anticipate continued strategic expansions and potential profitability. The company plans to host an analyst and investor conference call today at 5:00 PM ET/2:00 PM PT to discuss these results in detail, reflecting their transparency and commitment to investor relations.

For further details, visit the Investors Relations websites for Lionsgate and Lionsgate Studios or tune in to their live webcast.