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]

Financial Data and Key Metrics Changes - For Q4 2024, adjusted EBITDA increased by 48% to $37 million, and adjusted EPS rose by 59% to $0.27 per share [14][44] - Full year revenues for 2024 reached $352 million, with adjusted EBITDA of $139 million, resulting in an adjusted EBITDA margin of 39% [38] - Operating cash flows improved by 21% year-over-year to $71 million [45] Business Line Data and Key Metrics Changes - Content Solutions revenues for Q4 2024 grew by 34% year-over-year to $26 million, driven by strong box office performance [40] - Technology Products and Services revenues for Q4 2024 were $64 million, up 2% year-over-year [41] - System installations totaled 146 systems in 2024, with 57% under joint revenue sharing arrangements [39] Market Data and Key Metrics Changes - The Chinese New Year slate in 2025 has already surpassed $120 million, significantly exceeding the previous record of $66 million in 2023 [24] - IMAX's global market share increased from approximately 2.5% pre-pandemic to 3.1% globally and from 3% to 4.5% domestically [18] - The average indexing on Hollywood titles in China increased to 15%, up from 9% five years ago [27] Company Strategy and Development Direction - The company aims for 2025 to be its best year ever at the global box office, projecting over $1.2 billion in IMAX grosses [16] - IMAX is focusing on expanding its global network and diversifying its content portfolio, including partnerships with Netflix and Apple [19][20] - The company is optimistic about the growth potential in China, with a strong slate of local language films and increased production budgets [29][50] Management's Comments on Operating Environment and Future Outlook - Management noted a significant turnaround in the Chinese box office, with a strong start to 2025 and expectations for continued growth [14][50] - The company highlighted the importance of strong relationships with studios and filmmakers, which are driving demand for IMAX releases [12][58] - Management expressed confidence in the long-term growth trajectory, supported by a robust film slate and expanding market presence [56][57] Other Important Information - The company has renewed its partnership with Wanda and is expanding its IMAX with laser technology in AMC locations [30] - IMAX's cash position improved to $101 million, up from $76 million at the end of 2023, while debt increased to $269 million [46][47] - The company is focused on operational efficiencies and cost management to enhance profitability [55] Q&A Session Summary Question: Insights on screen count growth in North America versus China - Management indicated that while they guided for 145 to 160 installs, the impact on box office in any one region would not be material [62] Question: Most opportunistic markets for growth - Japan was highlighted as a strong market with ongoing signings, along with activity in Western Europe [64] Question: Thoughts on convertible notes maturing - Management is evaluating options for the convertible notes, which have a favorable interest rate and conversion price [68] Question: Details on the Netflix partnership for Narnia - The deal was complex, requiring alignment among various stakeholders, and is seen as a potential template for future collaborations [72][74] Question: Impact of Chinese New Year performance on market recovery - Management attributed the strong performance to a favorable mix of movies and pent-up demand, with expectations for continued growth [80][84] Question: Live event strategy amidst a strong film slate - The live event strategy is seen as complementary, bringing new audiences to IMAX and enhancing overall market share [98][101] Question: Adjusted EBITDA margin guidance sources - The margin growth is expected to come from a mix of operational efficiencies and revenue growth, with significant operating leverage anticipated [104][106] Question: Renewal of screen relationships and pricing opportunities - Management indicated that renewals are ongoing, with a focus on upgrading technology to enhance box office performance [110][112] Question: Demand for IMAX and negotiating leverage with studios - The company is leveraging its strong market position to enhance marketing visibility and negotiate better terms with studios [114][116]

Core Insights - Imax reported revenue of $92.67 million for Q4 2024, a year-over-year increase of 7.7%, with EPS of $0.27 compared to $0.17 a year ago [1] - The revenue fell short of the Zacks Consensus Estimate by 11.56%, while the EPS also missed the consensus estimate by 6.90% [1] Financial Performance - Total IMAX System installations were 58, below the average estimate of 62 [4] - Total System Network reached 1,807, slightly above the estimated 1,776 [4] - Revenue from Content Solutions was $25.51 million, compared to the average estimate of $28.72 million, reflecting a year-over-year increase of 33.6% [4] - Revenue from All Other segments was $3.12 million, significantly below the estimate of $4.66 million, showing a year-over-year decline of 29.7% [4] - Revenue from Technology Products and Services was $64.04 million, below the average estimate of $71.40 million, with a year-over-year increase of 2.5% [4] Gross Margin Analysis - Gross Margin for Content Solutions was $11.84 million, compared to the average estimate of $15.82 million [4] - Gross Margin for All Other segments was $2.31 million, below the average estimate of $5.61 million [4] - Gross Margin for Technology Products and Services was $34.22 million, compared to the average estimate of $38.01 million [4] Stock Performance - Imax shares returned +16.2% over the past month, outperforming the Zacks S&P 500 composite's +2.4% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market [3]

分组1 - Imax reported quarterly earnings of $0.27 per share, missing the Zacks Consensus Estimate of $0.29 per share, but showing an increase from $0.17 per share a year ago, resulting in an earnings surprise of -6.90% [1] - The company posted revenues of $92.67 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 11.56%, compared to year-ago revenues of $86.02 million [2] - Imax shares have increased approximately 5.6% since the beginning of the year, outperforming the S&P 500's gain of 4.2% [3] 分组2 - The current consensus EPS estimate for the coming quarter is $0.19 on revenues of $83.29 million, and for the current fiscal year, it is $1.24 on revenues of $417.5 million [7] - The Zacks Industry Rank for Film and Television Production and Distribution is currently in the top 13% of over 250 Zacks industries, indicating a favorable outlook for the industry [8]

I N V E S T O R P R E S E N T A T I O N F E B R U A R Y 2 0 2 5 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 future ...