Imax Q2 has been backed by blockbusters but takes a devaluation on China’s woes

Imax rose to $ 74 million in the June quarter from $ 51 million in tickets sold a year earlier. The stock also rallied, up nearly 3% in post-market trading on the news.

Earnings were slashed by $ 3.2 million in a film investment, the company said, in part due to a Covid-related lockdown and low box office levels in China. The situation is improving with Imax China Network up to 91% operational, from 65% on April 26th.

Imax’s global box office grew 128% in the last quarter compared to 2020, thanks to its lineup of Hollywood hits. Top Gun: MaveriKKThe film, which gave the large-format exhibition three consecutive $ 25 million global openings Strange doctor in the multiverse of madness Y domination of the Jurassic world.

The national box office in the second quarter was comparable to the pre-pandemic in 2019. June 2022 outperformed June 2019. The domestic market share was 5.3% in the quarter and 7% in May.

In the first half, despite the first quarter being almost devoid of that blockbuster, Imax’s national box office fell only 5% in 2019, versus a 37% decline in the national exhibition sector over the same period.

Cinema chains screamed last quarter as viewers poured into theaters, but Imax is the first in show business to report numbers. Blockbusters are over-indexed on the big screens.

However, the superhero tide is ebbing, so that’s not a good thing. Avatar: The way of water – the first of four new installments of the highest-grossing Imax film – comes out this December. Earlier this year, the company created a cross-functional team dedicated to the James Cameron film prior to its release.

“Imax is playing a leading role in the resurgence of the global theater, as evidenced by our solid financial results, global box office growth and increased market share in the second quarter,” said Richard Gelfond, CEO of Imax. He also cited recent activities to strengthen key partnerships with global exhibitors, including agreements for new theaters and facilities in Asia, Europe, the Middle East and North America.

The company posted a net loss of $ 2.9 million, or 5 cents per share, compared to 16 cents per share of $ 9.2 million. An adjusted net profit of $ 3.9 million, or 7 cents per share, compared to a loss of $ 7 million, or 12 cents per share, including tax, of 6 cents per share last year.

Gelfond will discuss the numbers of the call at 4:45 am ET.