Financial Performance - Total revenues for the three months ended September 30, 2024, were $948.6 million, a decrease of 6.6% compared to $1,015.5 million for the same period in 2023[18]. - Operating loss for the three months ended September 30, 2024, was $(88.6) million, significantly improved from $(817.5) million in the same period last year[18]. - Net loss attributable to Lions Gate Entertainment Corp. shareholders for the three months ended September 30, 2024, was $(163.3) million, compared to $(886.2) million in the prior year[18]. - Lions Gate Entertainment Corp. reported a net loss of $177.8 million for the three months ended September 30, 2024, compared to a net loss of $887.9 million for the same period in 2023[21]. - The comprehensive loss attributable to Lions Gate shareholders was $163.9 million for the three months ended September 30, 2024, down from $888.4 million in the prior year[21]. - The company had a basic net loss per common share of $(0.68) for the three months ended September 30, 2024, compared to $(3.79) for the same period in 2023[19]. - For the six months ended September 30, 2024, Lions Gate Entertainment Corp. reported a net loss of $240.9 million, an improvement from a net loss of $959.4 million in the same period of 2023[29]. Assets and Liabilities - Total current liabilities decreased to $3,790.5 million as of September 30, 2024, from $3,992.1 million as of March 31, 2024[15]. - Cash and cash equivalents decreased to $229.6 million as of September 30, 2024, down from $314.0 million as of March 31, 2024[15]. - Total assets increased slightly to $7,146.8 million as of September 30, 2024, compared to $7,092.7 million as of March 31, 2024[15]. - Debt, including the short-term portion, increased to $2,460.3 million as of September 30, 2024, from $2,479.9 million as of March 31, 2024[15]. - The accumulated deficit for Lions Gate was $3,396.4 million as of September 30, 2024, compared to $3,467.5 million as of September 30, 2023[26]. - Lions Gate's total equity (deficit) was $(224.6) million as of September 30, 2024, compared to $(218.8) million as of September 30, 2023[26]. Investments and Acquisitions - Investment in films and television programs and program rights increased to $3,284.8 million as of September 30, 2024, up from $2,762.2 million as of March 31, 2024[15]. - The company completed a business combination with Screaming Eagle Acquisition Corp., resulting in approximately $330.0 million of gross proceeds, including $254.3 million from private investments in public equities (PIPE) financing[42]. - The acquisition of a film library for approximately $35.0 million was completed, with the total investment in the library valued at $68.6 million[37]. - The acquisition of eOne was completed for an adjusted cash purchase price of $373.1 million, enhancing the company's film and television library and expanding its presence in Canada and the U.K.[47]. - The preliminary fair value of net assets acquired from eOne was estimated at $362.2 million, with goodwill recognized at $10.9 million[51]. Revenue Streams - Motion Picture revenues totaled $407.1 million for the three months ended September 30, 2024, compared to $395.9 million in the prior year, reflecting a 2.9% increase[125]. - Digital Media revenue for Home Entertainment was $114.5 million, down 30.8% from $165.7 million in the same quarter of 2023[125]. - Television Production revenues increased to $416.6 million for the three months ended September 30, 2024, up from $393.9 million in the same period of 2023, representing a 5.1% growth[125]. - Individual monetization for the three months ended September 30, 2024, was $348.8 million, up from $223.3 million in 2023, representing a 56.2% increase[62]. Expenses and Costs - The company reported a significant reduction in restructuring and other expenses to $6.1 million for the three months ended September 30, 2024, compared to $222.1 million in the same period last year[18]. - Total direct operating expenses were $643.2 million for the three months ended September 30, 2024, an increase from $557.1 million in the same period of 2023, representing a 15.4% increase[188]. - Interest expense increased to $74.3 million for the three months ended September 30, 2024, from $63.8 million in the same period of 2023[168]. - Total share-based compensation expense for the three months ended September 30, 2024, was $22.5 million, a decrease of 16.9% from $27.1 million in the same period of 2023[141]. - The company recorded a total of $6.1 million in restructuring and other costs for the three months ended September 30, 2024, compared to $222.1 million in the same period of 2023[151]. Cash Flow and Liquidity - The company reported a net cash flow used in operating activities of $(240.9) million, a decrease from $330.3 million in the prior year[29]. - As of September 30, 2024, the company had cash and cash equivalents of $229.6 million, down from $314.0 million as of March 31, 2024, indicating a decrease of 26.8%[194]. - The total cash, cash equivalents, and restricted cash amounted to $289.3 million as of September 30, 2024, compared to $371.4 million as of March 31, 2024, a decline of 22.1%[194]. Shareholder Information - The weighted average number of common shares outstanding was 239.3 million for the three months ended September 30, 2024, compared to 234.0 million for the same period in 2023[19]. - The Company had 500 million authorized Class A voting shares and 500 million authorized Class B non-voting shares as of September 30, 2024[140]. - The company has repurchased approximately $288.1 million in common shares to date, with $179.9 million remaining for potential repurchases[145]. Strategic Initiatives - The company anticipates continued focus on restructuring and potential market expansion strategies in the upcoming quarters[9]. - The company is focusing on market expansion and new product development as part of its strategic initiatives moving forward[21].
Lions Gate Entertainment(LGF_A) - 2025 Q2 - Quarterly Report