IMAX(IMAX) - 2025 Q3 - Quarterly Results

Financial Performance - IMAX reported record Q3 2025 revenue of $106.7 million, a 17% increase from $91.5 million in Q3 2024[4] - Net income for Q3 2025 was $22.6 million, representing a 48% year-over-year increase from $15.3 million[5] - IMAX's global box office reached $368 million in Q3 2025, up 50% year-over-year, marking the highest grossing third quarter ever[4] - The company achieved a net income margin of 21.2% in Q3 2025, up from 16.8% in Q3 2024, reflecting a 440 basis points improvement[5] - IMAX Corporation reported revenues of $106.654 million for Q3 2025, an increase of 16.5% compared to $91.452 million in Q3 2024[31] - The net income attributable to common shareholders for Q3 2025 was $20.657 million, up 48.5% from $13.896 million in Q3 2024[31] - Reported net income for the nine months ended September 30, 2025, was $43,001,000, representing a 66.5% increase from $25,836,000 in 2024[50] - Total revenue for the nine months ended September 30, 2025, was $285,005 thousand, compared to $259,536 thousand in 2024, marking a growth of 9.8%[38] - Total Adjusted EBITDA for the twelve months ended September 30, 2025, reached $165,040,000, a 30.0% increase compared to $126,976,000 in 2024[51] System Installations and Backlog - System installations are on track to meet the high end of the 2025 guidance of 150 to 160, with 142 signings year-to-date, surpassing the full-year total for 2024[4] - Total IMAX system signings reached 19 in Q3 2025, compared to 16 in Q3 2024, reflecting a 18.8% increase[27] - The total system backlog as of September 30, 2025, was 478, slightly up from 472 in the same period of 2024[29] - The company installed a total of 38 IMAX systems in Q3 2025, down from 49 in Q3 2024[28] Cash Flow and Liquidity - Cash flow from operating activities for the nine months ended September 30, 2025, increased 65% year-over-year to $98 million[13] - As of September 30, 2025, IMAX had available liquidity of $544 million, including $143 million in cash and cash equivalents[15] - Cash and cash equivalents at the end of the period increased to $143,106 thousand, up from $100,592 thousand at the beginning of the period, representing a growth of 42.5%[35] - Net cash provided by operating activities for the nine months ended September 30, 2025, was $97,694 thousand, compared to $59,352 thousand in 2024, an increase of 64.4%[35] Shareholder Returns and Equity - The company approved an extension of its share repurchase program through June 30, 2027, with a total authority of $500 million, of which approximately $251 million remains available[18] - Total shareholders' equity attributable to common shareholders increased to $349,534 thousand as of September 30, 2025, up from $299,466 thousand at the end of 2024, reflecting a growth of 16.7%[33] Revenue Segments - Revenue from Content Solutions segment reached $44,832 thousand for the three months ended September 30, 2025, a 48.7% increase from $30,129 thousand in 2024[38] - Technology Products and Services segment revenue was $60,420 thousand for the three months ended September 30, 2025, up 4.9% from $57,971 thousand in 2024[38] - Gross margin for the Content Solutions segment improved to $31,923 thousand for the three months ended September 30, 2025, compared to $16,449 thousand in 2024, an increase of 94.5%[38] Other Financial Metrics - IMAX's gross margin for Q3 2025 was $67.271 million, representing a 31.9% increase from $51.019 million in Q3 2024[31] - Technology sales decreased to $19.360 million in Q3 2025 from $26.305 million in Q3 2024, a decline of 26.5%[31] - The company incurred $1,590,000 in write-downs, including asset impairments and credit loss reversal, for the nine months ended September 30, 2025[50] - Adjusted net income attributable to common shareholders for the three months ended September 30, 2025, was $26,240,000, or $0.47 per diluted share, compared to $18,855,000, or $0.35 per diluted share in 2024[54] - Free cash flow for the nine months ended September 30, 2025, was $62,915,000, significantly higher than $29,006,000 in 2024[57] - Adjusted EBITDA per Credit Facility attributable to common shareholders for the twelve months ended September 30, 2025, was $146,902,000, up from $113,554,000 in 2024[51]