IMAX Corporation's joint chiefs Richard Gelfond andBradley Wechsler announced a fourth quarter loss of one cent per shareyesterday but rallied behind what they described as a 'pivotal' 2003 that positioned the company for continued growth.
The companyposted a profit of two cents per share a year earlier and said lastquarter's unexpected performance was due to the cost of debt refinancing.
Fourth quarterrevenues were $29.9m compared to $37m in 2002, system revenue fell marginallyfrom $20.3m to $19.9m and film revenue dropped from $11.5m to $6.2m due to therecord-breaking run of Space Station in 2002. During the fourth quarter the company signed newcontracts for seven IMAX theatre systems with an aggregate value of$10.8m - compared to 11 in the same period a year before, including twoIMAX MPX theatres with Nakheel LLC in Dubai, UAE, and a contract with YelmoCineplex, a Loews Cineplex joint venture in Spain, for three retrofit IMAX MPXsystems.
The companysigned 25 theatre system contracts compared to 21 in 2002, including there-opening of five theatres in Regal multiplexes resulting from the settlementof bankruptcy litigation with Edwards Theatres.
Total revenuesfor the 12-month period ending Dec 31 2003 amounted to $119.3m compared to$129.1m in 2002.
Systems revenueclimbed to $75.8m from $71m the year before, film revenues were $25.8m comparedto $40.6m and other revenue came to $4.5m compared to $5.3m reported in 2002.
'2003 was apivotal year for IMAX as we significantly furthered implementation of ourcommercial strategy with the successful release of two IMAX DMR titles, built asolid release slate for 2004 and introduced the IMAX MPX theatre system,'IMAX co-chairmen and co-chief executive officers Gelfond and Wechsler said in ajoint statement.
'Given thestrong operating momentum of our business right now, we are extremelyoptimistic about our future.'