Financial Performance - IMAX Corporation reported first-quarter 2025 adjusted earnings of 13 cents per share, beating the Zacks Consensus Estimate by 18.18% but decreasing 13.3% year over year [1] - Total revenues reached $86.7 million, surpassing the Zacks Consensus Estimate by 3.57% and increasing 9.5% year over year [1] Revenue Breakdown - Image Enhancement & Maintenance Services, technology rentals, and finance income increased by 0.8%, 3.8%, and 35.6% year over year to $50.7 million, $19.3 million, and $3.1 million, respectively [2] - Technology sales revenues surged 71.1% year over year to $13.5 million [2] - Content Solutions revenues increased 0.7% year over year to $34.2 million [2] Box Office Performance - The first-quarter box office, including booking fees in China, was $298 million, reflecting a 12% increase year over year [5] - Top-grossing titles included Ne Zha 2 ($161 million), Captain America: Brave New World ($27 million), Mickey 17 ($11 million), and Interstellar re-release ($10 million) [5] Operating Metrics - Gross margin expanded by 210 basis points to 61.4% in the first quarter of 2025 [11] - Operating income was reported at $16.7 million, a surge of 38.7% year over year [12] Cash Flow and Liquidity - Net cash provided by operating activities for the first quarter of 2025 was $7 million, down from $11 million in the prior-year period [13] - As of March 31, 2025, IMAX's available liquidity was $401 million, including $97 million in cash and cash equivalents [14] System Installations and Market Penetration - IMAX installed 21 systems in the first quarter of 2025, compared to 15 systems in the same quarter of 2024 [7] - The company estimates a worldwide commercial multiplex addressable market of 3,619 locations, with a market penetration of only 48% as of March 31, 2025 [8] Future Guidance - IMAX expects to deliver a record box office of more than $1.2 billion in 2025, along with a total adjusted EBITDA margin of over 40% and system installations of 145 to 160 [17]

Core Insights - Imax reported revenue of $86.67 million for Q1 2025, a 9.5% year-over-year increase, with an EPS of $0.13 compared to $0.15 a year ago [1] - The revenue exceeded the Zacks Consensus Estimate of $83.68 million by 3.57%, and the EPS surpassed the consensus estimate of $0.11 by 18.18% [1] Financial Performance Metrics - Imax's stock has returned -13.5% over the past month, underperforming the Zacks S&P 500 composite's -6.6% change [3] - The company holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market [3] Installation and System Metrics - Total IMAX System installations were 21, below the average estimate of 29 [4] - Total Commercial Multiplex Systems at period end were 1,738, slightly below the estimated 1,746 [4] - Domestic total of Commercial Multiplex Systems was 416, slightly above the estimate of 414 [4] - International total of Commercial Multiplex Systems was 1,322, slightly below the estimate of 1,326 [4] Revenue Breakdown - Technology Products and Services revenue was $50.59 million, exceeding the estimate of $45.91 million, representing a 17.3% year-over-year increase [4] - Content Solutions revenue was $34.25 million, slightly below the estimate of $35.19 million, with a 0.7% year-over-year increase [4] - Other revenues were $1.83 million, below the average estimate of $2.59 million, reflecting a 6.9% year-over-year decline [4] Specific Revenue Categories - System Rentals revenue was $19.14 million, below the estimate of $19.70 million, with a 2.9% year-over-year increase [4] - Maintenance revenue was $15.66 million, slightly below the estimate of $15.68 million, with a 3.3% year-over-year increase [4] - System Sales revenue was $12.72 million, significantly above the estimate of $8.98 million, reflecting a 78.7% year-over-year increase [4] - Finance Income was $3.08 million, exceeding the estimate of $2.48 million, with a 35.6% year-over-year increase [4] - Film Remastering and Distribution revenue was $32.16 million, above the estimate of $31.10 million, representing an 8.2% year-over-year increase [4]

I N V E S T O R P R E S E N T A T I O N A P R I L 2 0 2 5 ® IMAX Corp. F O R W A R D - L O O K I N G S T A T E M E N T S This presentation contains "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 or "forward-looking information" within the meaning of Canadian securities laws that are based on IMAX management's assumptions and existing information and involve certain risks and uncertainties which could cause actual results to differ materially from ...

IMAX Corporation (NYSE:IMAX) Q1 2025 Earnings Conference Call April 23, 2025 4:30 PM ET Company Participants Jennifer Horsley - Head of Investor Relations Rich Gelfond - Chief Executive Officer Natasha Fernandes - Chief Financial Officer Rob Lister - Chief Legal Officer Conference Call Participants Eric Wold - Texas Capital Securities Chad Beynon - Macquarie David Karnovsky - JP Morgan Eric Handler - ROTH Capital David Joyce - Seaport Research Partners Omar Mejias - Wells Fargo Steven Frankel - Rosenblatt S ...

IMAX System Growth and Expansion - As of March 31, 2025, IMAX had a total of 1,810 IMAX Systems in 89 countries, an increase from 1,772 Systems in the previous year, representing a growth of 2.1%[174] - The Company continues to expand its IMAX network into underpenetrated international markets, particularly in China, Japan, India, France, and South Korea[188] - As of March 31, 2025, the Company had 893 locations under joint revenue sharing arrangements in its global commercial multiplex network, with contracts in backlog for 346 systems[211] - Approximately 74% of IMAX System arrangements in backlog as of March 31, 2025, are scheduled for installation in international markets, up from 32% in 2024[237] - The IMAX network includes 1,738 commercial systems, with 76% located in international markets as of March 31, 2025[224] Financial Performance - Net income attributable to IMAX China for Q1 2025 was $20.4 million, with $14.6 million attributable to IMAX shareholders, compared to $7.5 million and $5.4 million in Q1 2024, indicating a significant increase of 94.7%[166] - Total revenues for the three months ended March 31, 2025, increased by $7.5 million, or 10%, to $86.7 million, driven by a higher number of installations and stronger IMAX box office performance[246][247]. - The gross margin for the company increased by $6.3 million, or 13%, to $53.2 million for the same period, reflecting improved box office performance and higher revenues[246][247]. - For the three months ended March 31, 2025, the company reported a net income attributable to common shareholders of $2.3 million, or $0.04 per diluted share, compared to $7.9 million, or $0.13 per diluted share in the same period of 2024[244][245]. - Adjusted net income attributable to common shareholders for Q1 2025 was $7.2 million, or $0.13 per diluted share, compared to $7.9 million, or $0.15 per diluted share in Q1 2024[283] Box Office Performance - The company achieved a box office record of $298.2 million in Q1 2025, driven by 33 new film releases, including the notable performance of "Ne Zha 2"[179] - IMAX box office generated by films totaled $298.2 million for the three months ended March 31, 2025, a $30.9 million, or 12%, increase compared to $267.3 million in the prior year[249]. - During the three months ended March 31, 2025, local language films generated over $202 million in box office, representing 68% of the Company's global box office[188] - The highest IMAX box office totals during this period were from Chinese local language films Ne Zha 2 and Creation of the Gods II: Demon Force, along with Captain America: Brave New World[191] Technology and Innovation - IMAX continues to expand its technology offerings, including the deployment of IMAX Laser Systems, which enhance image quality and are expected to facilitate a major upgrade cycle for the IMAX network[181] - IMAX is actively utilizing AI for image enhancement and data analysis, exploring additional use cases to improve operational efficiency and product offerings[182] - The company has developed several new technologies, including IMAX StreamSmart and IMAX StreamAware, aimed at enhancing video quality and cost efficiency for streaming content[217] - The Technology Products and Services segment earns revenue from the sale or lease of IMAX Systems, as well as maintenance services, contributing to the Company's overall revenue[201] Revenue Segments - The Content Solutions segment generates revenue primarily from IMAX Film Remastering, with additional income from large-format documentaries and events[185] - The Technology Products and Services segment revenue increased by $7.4 million, or 17%, to $50.6 million, with gross margin rising by $5.5 million, or 23%, to $29.1 million[253][254]. - The Content Solutions segment revenues increased by $0.2 million, or less than 1%, to $34.2 million, while gross margin rose by $1.5 million, or 7%, to $23.6 million[249][250]. Cash Flow and Financial Position - Net cash provided by operating activities increased by $17.9 million in Q1 2025, primarily due to a decrease in cash used for working capital expenditures[266] - As of March 31, 2025, the company had cash and cash equivalents of $97.1 million, down from $100.6 million at the end of 2024[268] - The company has $250.0 million in available borrowing capacity under its Credit Agreement and additional capacities of $26.5 million and $27.9 million under two revolving credit facilities in China[269] - Total contractual obligations as of March 31, 2025, amount to $355.9 million, with $88.3 million due within one year[272] Market and Strategic Partnerships - The company partnered with various studios and organizations for exclusive releases and events, including collaborations with Sony Pictures and NBC Universal[180] - The Company has announced an agreement with Netflix to debut Greta Gerwig's upcoming film, Narnia, exclusively across the IMAX network starting Thanksgiving 2026[196] - The Company is actively negotiating with studios for additional films to enhance its short- and long-term film slate for the IMAX network[196] Operational Efficiency - Selling, general and administrative expenses increased by $2.2 million, or 7%, to $33.5 million, primarily due to timing of industry events and higher professional service fees[256][257]. - Research and Development expenses decreased by $0.9 million, or 40%, to $1.3 million, mainly due to the capitalization of film camera costs[258]. - The effective tax rate for the company was 47.2% for the three months ended March 31, 2025, compared to 48.8% in the same period of 2024[262].

Financial Performance - IMAX reported Q1 2025 revenues of $87 million, a 10% increase year-over-year, with net income of $8 million, up 52% YoY, and total adjusted EBITDA of $37 million, reflecting a 15% increase YoY[4]. - The net income attributable to common shareholders for Q1 2025 was $2.33 million, a decrease of 29% from $3.27 million in Q1 2024[28]. - Total revenue for the three months ended March 31, 2025, was $86,667,000, an increase of 9.8% from $79,123,000 in the same period of 2024[35]. - Reported net income attributable to common shareholders for Q1 2025 was $8,150,000, up from $5,420,000 in Q1 2024[47]. - Adjusted net income attributable to common shareholders for Q1 2025 was $7,178,000, or $0.13 per diluted share, compared to $7,941,000, or $0.15 per diluted share in Q1 2024[50]. - Free cash flow for the three months ended March 31, 2025, was $(7,673,000), an improvement from $(18,108,000) in the same period of 2024[51]. Revenue Breakdown - First quarter Content Solutions revenues increased 1% YoY to $34 million, while gross margin improved by 7% YoY to $24 million[14]. - Technology Products and Services revenues rose 17% YoY to $51 million, with gross margin increasing 23% YoY to $29 million[14]. - Content Solutions segment revenue was $34,249,000, slightly up from $34,013,000, while Technology Products and Services segment revenue increased to $50,593,000 from $43,150,000, reflecting growth of 17.2%[35]. System Growth and Backlog - IMAX experienced significant system growth with 95 system signings (+87 systems YoY) and 21 system installations (+40% YoY) in Q1 2025[4]. - The company ended Q1 2025 with a backlog of 516 IMAX systems, contributing to its market expansion strategy[14]. - Total system backlog increased to 516 units as of March 31, 2025, up from 442 units a year earlier, representing a growth of 16.7%[26]. - IMAX signed a total of 95 new systems in Q1 2025, significantly higher than the 8 signings in Q1 2024[24]. - The company installed 21 new systems in Q1 2025, compared to 15 installations in Q1 2024, marking a 40% increase[25]. - The company reported a total of 1,810 systems in its network as of March 31, 2025, an increase from 1,772 systems a year earlier[26]. Cash and Liquidity - The company's liquidity as of March 31, 2025, was $401 million, including $97 million in cash and cash equivalents and $250 million in available borrowing capacity[12]. - Cash and cash equivalents decreased to $97.07 million as of March 31, 2025, down from $100.59 million at the end of 2024[30]. - IMAX's net cash provided by operating activities was $7 million in Q1 2025, compared to a net cash used of $11 million in the prior year[11]. - Operating cash flow for Q1 2025 was $6.95 million, a recovery from a cash outflow of $10.97 million in Q1 2024[32]. - The company reported a net cash provided by operating activities of $6,951,000 for Q1 2025, compared to $(10,968,000) in Q1 2024[51]. Shareholder Returns - IMAX is authorized to repurchase up to $400 million of its common shares, with approximately $151 million remaining available as of March 31, 2025[15]. - The weighted average diluted shares outstanding increased to 55 million in Q1 2025 from 53.4 million in Q1 2024[15]. - The weighted average shares outstanding for Q1 2025 were 53,145,000, compared to 52,501,000 in Q1 2024[50]. Cost Management - IMAX's gross margin improved to $53.18 million in Q1 2025, compared to $46.89 million in Q1 2024, reflecting better cost management[28]. - Research and development expenses decreased to $1.32 million in Q1 2025 from $2.19 million in Q1 2024, indicating a focus on cost efficiency[28]. - The total adjusted EBITDA margin for the twelve months ended March 31, 2025, was 40.0%, down from 44.9% in the previous year[48]. - Adjusted EBITDA for the three months ended March 31, 2025, was $36,975,000, representing a margin of 42.7%, compared to $32,051,000 and a margin of 40.5% in the same period of 2024[47].

Core Insights - AMC Entertainment is expanding its partnership with IMAX Corporation to introduce IMAX with Laser technology to over 180 locations in the U.S., including 12 new and 68 upgraded IMAX theaters, marking the largest IMAX systems agreement since 2018 [1][2][5] Group 1: Strategic Initiatives - The AMC Go Plan emphasizes investment in advanced technology to attract audiences seeking immersive experiences, with IMAX with Laser technology being a crucial part of this strategy [2][4] - AMC's commitment to premium formats has historically driven higher per-screen revenues compared to standard formats, focusing on high-performing locations to enhance profitability [4][6] Group 2: Competitive Positioning - AMC holds a dominant position in the IMAX ecosystem, with eight of the top ten highest-grossing IMAX locations in the U.S., reinforcing its leadership in the premium theatrical segment [5][6] - The expansion of premium formats aligns with a broader industry trend of providing experiences that cannot be replicated at home, positioning AMC favorably in a changing market [7][9] Group 3: Market Performance - Despite the expansion and focus on premium offerings, AMC's stock has declined by 7.6% over the past year, compared to a 2.6% decline in the industry, indicating potential challenges ahead [8][10] - The company is well-positioned to benefit from increased ticket prices and concession sales due to strong IMAX attendance for blockbuster films [6][9]

Core Insights - IMAX's total revenue for the quarter ending December 2024 was $92.67 million, reflecting a 7.7% increase year-over-year [4] International Revenue Trends - Latin America contributed $2.32 million, accounting for 2.51% of total revenue, which was a significant decline of 43.37% from the expected $4.1 million [5] - Asia excluding Greater China generated $22.05 million, representing 23.79% of total revenue, exceeding expectations by 34.85% compared to the forecast of $16.35 million [6] - Western Europe accounted for $12.37 million, or 13.35% of total revenue, falling short of the $13.1 million expected by 5.56% [7] - The Rest of the World brought in $3.87 million, constituting 4.18% of total revenue, which was 37.75% below the anticipated $6.22 million [8] - Greater China generated $15.47 million, making up 16.69% of total revenue, which was a 43.04% shortfall from the expected $27.16 million [9] - Canada contributed $2.09 million, accounting for 2.26% of total revenue, which was 44.71% lower than the forecast of $3.78 million [10] Revenue Forecasts - Analysts project IMAX will achieve revenues of $82.35 million for the ongoing fiscal quarter, a 4.1% increase year-over-year, with contributions from various regions detailed [11][12] - For the full year, total revenue is expected to reach $406.79 million, up 15.5% from the previous year, with specific contributions from different regions outlined [13] Closing Remarks - The reliance on global markets for revenue presents both opportunities and challenges for IMAX, making the analysis of international revenue trends crucial for future forecasts [14] - Wall Street analysts are closely monitoring these trends, especially in light of increasing global interconnections and geopolitical tensions [15]

Core Insights - IMAX is projected to achieve a record box office revenue of $1.2 billion in the current year, according to CEO Rich Gelfond [1][2] - The anticipated strong performance is attributed to a robust slate of upcoming blockbuster films [2] Group 1: Financial Performance - The expected $1.2 billion box office haul would represent the best performance in IMAX's history [1] - This projection indicates a significant growth opportunity for the company in the film exhibition market [1] Group 2: Upcoming Film Releases - Key titles contributing to the strong outlook include a new "Mission Impossible," a live-action "How to Train Your Dragon," another "Jurassic Park" installment, a sequel to "Zootopia," and a third "Avatar" release [2] - The diverse range of blockbuster films set for release over the next 10 months is expected to drive audience attendance and revenue [2]

Core Insights - IMAX Corporation reported fourth-quarter 2024 adjusted earnings of 27 cents per share, missing the Zacks Consensus Estimate by 6.9% but showing a year-over-year increase of 58.8% [1] - Total revenues for the quarter were $92.6 million, which missed the Zacks Consensus Estimate by 11.56% but increased by 7.7% year over year [1] Revenue Breakdown - Category-wise, revenues from Image Enhancement & Maintenance Services, technology rentals, and finance income increased by 20.4%, 6.5%, and 34% year over year, reaching $42.7 million, $13.7 million, and $2.9 million, respectively [2] - Technology sales revenues decreased by 6.2% year over year to $33.1 million [2] Segment Performance - Content Solutions revenues rose by 33.6% year over year to $25.5 million, driven by higher box office performance, including a record Thanksgiving weekend box office of $24 million [3] - Technology Products and Services revenues increased by 2.5% year over year to $64.04 million, supported by higher box office-related rental revenues [4] - All Other revenues declined by 29.7% year over year to $3.11 million [4] Box Office Performance - The fourth-quarter box office reached $204 million, a 20% increase year over year, contributing to near-record annual domestic box office figures [6] - Top-grossing titles included Gladiator 2 and Venom: The Last Dance, each earning $31 million [6] System Installations and Network Growth - IMAX installed 58 systems in the fourth quarter of 2024, compared to 69 systems in the same quarter of 2023, totaling 146 installations for the year [8] - As of December 31, 2024, IMAX operated 1,807 systems across 90 countries, with a market penetration of 48% in the addressable market of 3,619 locations [9] Financial Metrics - Gross margin expanded by 140 basis points to 52.2% in the fourth quarter, with Content Solutions gross margin contracting to 46.4% and Technology Products and Services gross margin expanding to 53.4% [12] - Adjusted EBITDA increased by 48.6% year over year to $34.2 million [12] - Operating income surged by 247.3% year over year to $9.51 million [13] Cash Flow and Liquidity - Net cash provided by operating activities for 2024 was $71 million, up from $59 million in the prior year [14] - As of December 31, 2024, IMAX had available liquidity of $418 million, including cash and cash equivalents of $101 million [15] Share Repurchase Program - IMAX repurchased 1,166,370 common shares at an average price of $13.99, totaling $16 million for the year [17] - The company is authorized to repurchase up to $400 million of its common shares, with approximately $151 million remaining [18] Future Guidance - IMAX anticipates a record box office of over $1.2 billion in 2025, with an adjusted EBITDA margin of over 40% and system installations projected between 145 to 160 [19]