On the net income front, DreamWorks took a restructuring charge of $20.9 million, but after excluding the impact of that extraordinary item, adjusted net losses of $11.6 million worked out to $0.13 per share, just half the loss in the consensus forecast. “The appetite for premium content across platforms continues to grow both domestically and internationally”, Katzenberg said, “and it’s clear DreamWorks Animation is well-positioned to capitalize on the growing demand”.
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Dreamworks shares have increased slightly more than 7 percent since the beginning of the year. The company has a market cap of $1,855 million and there are 77,896,000 shares in outstanding. This consensus number is based on the 8 brokers that are providing estimates. Post opening the session at $24.57, the shares hit an intraday low of $24.02 and an intraday high of $24.79 and the price vacillated in this range throughout the day. Television revenue for the quarter more than doubled to $54.5 million from last year’s $20 million. The increase was primarily driven by favorable amortization rates associated with our episodic series, partially offset by higher up-front marketing costs associated with the release of our new television series. The studio is expected to make a significant merchandising push with its November 2016 release, “Trolls“. Coming into Tuesday afternoon’s second-quarter financial report, DreamWorks investors were bracing for another round of severe losses but hoping that the studio’s revenue would pick up dramatically from year-ago levels. The company, he added, is still “successfully diversifying our revenue mix”. FBR & Co. upgraded shares of Dreamworks Animation Skg from an “underperform” rating to a “market perform” rating and boosted their target price for the company from $17.00 to $26.00 in a research note on Thursday, July 23rd. The increase in revenues was attributable to a significantly higher number of episodes delivered under our episodic content licensing arrangements. In the prior year period, the Company reported certain advertising and talent management revenues in this segment on a “gross” basis rather than on a “net” basis.
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DreamWorks Animation SKG Inc. had a wider net loss than anticipated in the second quarter, but beat analyst expectations for revenue. (NASDAQ:DWA) and offer projections on earnings and future stock movement.
