Hit films like “The Housemaid” and “Now You See Me: Now You Don’t” helped lift Lionsgate‘s quarterly earnings, off-setting a softer period in its television operations. Revenues at the studio increased 15.3% to $724.3 million. However, losses at the company widened from $21.9 million to $46.2 million, and the company reported losses of 16 cents per share compared to 9 cents in the prior-year period.
“I’m pleased to report a quarter that keeps us on track for our fiscal 2026 financial targets and positions us for significant growth in fiscal 2027 and beyond,” said Lionsgate CEO Jon Feltheimer in a statement. “Our investment in our IP portfolio is achieving its intended results: our film and television pipelines are strong, our library continues to grow, and our extension of franchise properties across multiple platforms continues to increase.”
Lionsgate’s motion picture segment, which has struggled in recent years, showed signs of revival. Revenue grew 35% year-over-year to $421.2 million driven by the releases of “The Housemaid” and “Now You See Me: Now You Don’t,” two mid-budget hits. However, much of “The Housemaid’s” box office revenue will factor into the next quarter because the film was released on Dec. 19, with only a few more weeks left int the reporting period. Segment profit decreased from $82.7 million to $58.5 million, which was impacted the increased marketing spending on films released in the quarter.
Lionsgate’s television segment saw revenue decrease 25% to $303.1 million, while profits for the division dipped slight from $60.9 million to $55.7 million. The studio attributed the decline to “the timing of episodic deliveries,” which it said was offset by licensing fees related to its library of shows.
Shares of Lionsgate were up slightly in after-hours trading with the stock hovering just under $9 a share. The company is looking noticeably slimmer after spinning off its streaming platform, Starz, in 2025.