Starz shines but Lionsgate fails to roar in Q3 | Major Businesses | Business
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Global content leader Lionsgate has revealed a mixed end to 2018 with its third quarter of fiscal 2019 showing losses and failing revenue across line apart from its Starz business.
starz 2Jan2018
At the end of the third quarter ended 31 December 2018, Lionsgate reported revenue of $933.2 million, tumbling 18.33% compared with the end of the same period in 2017 while revenues for the first nine months of the year were $2.767 billion, falling 10.4% on an annual basis.

Net income for the third quarter was $20.1 million, a dramatic turnaround from the $191.1 million posted at the end of Q3 2017. On a nine-month basis, the company moved from a $378.5 million profit at the end of the first nine months of fiscal 2018,p to a loss of $140.5 million at the end of Q3 2019.

Looking at the performance of individual business lines during the quarter, the Media Networks segment revenues increased to $366.8 million due to strong OTT subscriber growth. Segment profits increased 9.6% to $134.1 million from the prior year quarter. Overall US subscribers were sequentially consistent in the quarter at 25.1 million and up 1.1 million year over year.

Premium cable network Starz was by far the stand-out performer posting strong revenue and subscriber growth quarter. The line ended the quarter with 25.1 million overall domestic subscribers, which was consistent sequentially and up 1.1 million subscribers compared with the prior year quarter. Starz achieved also achieved strong over-the-top (OTT) subscriber growth for the sequential quarter as well as year-over-year.

By comparison, the results showed that Lionsgate’s motion picture segment revenues were $362.6 million. Segment profits decreased by 19.9% to $43.5 million. The company said this reflected underperformance of certain titles in fiscal 2019 compared to the outperformance of Wonder in the prior year quarter. Television production segment revenues were $216.5 million in the quarter. Segment profits were $21.2 million compared to $27.8 million in the prior year quarter, driven in part by timing of certain episodic deliveries which moved out of fiscal 2019.