Independent film studio Lionsgate Entertainment has reported higher than expected revenue for the first quarter due to strong performance at Mandate Pictures and its TV production arm.
The studio, the largest producer and distributor of independent film, saw revenue of $36.3m over the period compared to $3.5m in the first quarter of its previous financial year.
Film revenue rose by 5.7% to $272.2m despite a 26% decrease in theatrical revenue, with Crank: High Voltage the only new release over the period. Meanwhile, Mandate Pictures, which the studio acquired in August 2007, grew to $53.1m from $8.5m a year earlier attributed to strong performances by from Juno, Drag Me To Helland Passengers.
The company’s home entertainment division from DVD releases, including Madea Goes To Jail and My Bloody Valentine, fell 6% on the previous year.
Meanwhile, Lionsgate’s TV production revenues soared to by 112% due to domestic licensing deals. The studio produces hit TV show Mad Men.
The studio has continued its stand-off with billionaire investor, Carl Ichan, over the period, turning down his bid to take a seat in the board although he continued to raise his stake in the company. He now owns 16.9%.
The strong first quarter for its 2010 fiscal year follows a $163m loss for the previous year, which ended on March 31. Box office flops The Spirit and Punisher: War Zoneand a disappointing US performance of Transporter 3 were blamed for the loss.