Lionsgate sells 1.3m discs above projections after end of format war

[Grubert]

Hollywood Reporter

Lionsgate Entertainment will benefit greatly from Blu-ray's victory in the DVD format war, so shareholders will naturally be rewarded.

SMH Capital analyst David Miller said this week that Lionsgate clears $15 per Blu-ray unit in clear margin for library titles and a whopping $21 for new titles like "War."

And, the kicker is, he estimates Lionsgate sold an additional 1.3 million units of Blu-ray library product relative to his projections just a few weeks ago as the demise of HD DVD has sparked sales for Blu-ray.

As a result, Miller boosted his fiscal fourth-quarter revenue projection from $400.1 million to $419.1 million and his earnings-per-share estimate from 44 cents to 46 cents.

Besides "War," Miller says that Lionsgate has seen improved Blu-ray sales of "Total Recall, "Terminator," the "Saw" series and the "Rambo" box set.

As per usual, Miller noted in his most recent note that, with 5,600 titles, Lionsgate has the "unappreciated distinction of having the largest film library" compared with all major studios.

[Blu Titan]

Great news! Blu-ray baby

[jurassic_pork]

jeez if they are clearing that much on blu-rays they better start lowering some of those prices

[goodstuff]

And they'd better start releasing some catalog titles again.

[BluBluWorld]

Great news.. How would have thought lower prices moved more units

Good start, now please keep them low and give me "High Tension" next

[Grubert]

Originally Posted by BluBluWorld

Great news.. How would have thought lower prices moved more units

Good start, now please keep them low and give me "High Tension" next

...and...

High Noon
Pi
Requiem for a Dream
Jacob's Ladder
Bob Roberts
Away from Her
Last Seduction

...to name a few...

[Grubert]

Of course all of the above is BS, right?

Everybody knows that no studios are making money now by releasing on BD.

BD revenues are a rounding error next to DVD.

and

If Lionsgate switched to HD DVD then they'd make even more money per unit because replication is cheaper.

Therefore it is so obvious that Lionsgate will go format neutral before the summer.



Oh and...

Lionsgate expects downloads to grow a lot so it doesn't matter
(that actually got just posted here - I'd gladly smack that down now but I'm on a self-imposed exile from the site).

[BluOgre]

Originally Posted by jurassic_pork

jeez if they are clearing that much on blu-rays they better start lowering some of those prices

Don't hold your breath.

btw, Fox is clearing about $23 per for New releases and catalog (unless your talking about the recently discounted older ones).

Every studio is making as much as Lionsgate per unit....hopefully as the sales pick up they'll start to slowly lower the price.

[DetroitSportsFan]

Originally Posted by Grubert

Of course all of the above is BS, right?

Everybody knows that no studios are making money now by releasing on BD.

Especially since I bought 5 Lionsgate titles at the JR.com sale a few weeks ago for $50 shipped.

[desmond]

Originally Posted by Grubert

Of course all of the above is BS, right?

Everybody knows that no studios are making money now by releasing on BD.

BD revenues are a rounding error next to DVD.

and

If Lionsgate switched to HD DVD then they'd make even more money per unit because replication is cheaper.

Therefore it is so obvious that Lionsgate will go format neutral before the summer.



Oh and...

Lionsgate expects downloads to grow a lot so it doesn't matter
(that actually got just posted here - I'd gladly smack that down now but I'm on a self-imposed exile from the site).

http://www.highdefforum.com/showpost...84&postcount=3

[richieb1971]

Thats not welcome news to me. $21 profit per movie? Isn't that more than a DVD costs in total over there?


I hate shareholders, since i'm not one myself. I feel like a poor boy.

[Blu Titan]

For a new technology or product to take off, the providers have to see the potential for profits. CE manufacturers, studios, and retailers are interested in profitable ventures. It is great news to read that blu-ray is profitable, since that assures increased promotion and dedication to the format. We just have to be very "wise" in our purchasing decisions.

[Blinkman987]

Just to echo everyone else- wow, that's some good margin on a media product.

ps - Someone actually bought War? Wow. /pity

[Blu Titan]

Originally Posted by Blinkman987

Just to echo everyone else- wow, that's some good margin on a media product.

ps - Someone actually bought War? Wow. /pity

I own the movie, and it is pretty bad. The story line is just plain silly. The performances by the main characters is weak, and Jet Li does NOT showcase his skills.

[frank_t]

Now if they could just do a proper Total Recall and Terminator release, life would be grand...

Oh, and they would have at least 2 more sales...

[KenThompson]

Lionsgate is the studio that I've barely supported. I believe I only have 4 titles. They may have alot to offer but when will that be. I guess that number will swell to 5 when I get 3:10 To Yuma tomorrow. I can't say I'm all that impressed with their transfers. Right now the run away leader in bds is Fox followed by Sony. I have all my titles stacked according to studio releasing them. I find it easier than alphabetically because if the wife touches them they end up out of place.

[HeavyHitter]

Originally Posted by Grubert

Of course all of the above is BS, right?

Everybody knows that no studios are making money now by releasing on BD.

BD revenues are a rounding error next to DVD.

and

If Lionsgate switched to HD DVD then they'd make even more money per unit because replication is cheaper.

Therefore it is so obvious that Lionsgate will go format neutral before the summer.



Oh and...

Lionsgate expects downloads to grow a lot so it doesn't matter
(that actually got just posted here - I'd gladly smack that down now but I'm on a self-imposed exile from the site).

Hehe. Don't you miss that good ole' DUD boy logic?

[Blu n Gold]

I have always been a big fan of what Lions Gate does. The movies from them that I have are awesome. I am especially fond of their gears intro.

[Scorxpion]

3:10 to Yuma and War including SawIV after Saw III were my last purchases.

Just wait Lionsgate for Rambo this is will be more than expected

[owa]

Good news. Hopefully news like that will sway some of the smaller studios reluctant to jump on the bandwagon. You'd think Weinstein would be excited about news like that unless their problem is that they don't have the money to get started

Originally Posted by KenThompson

Lionsgate is the studio that I've barely supported. I believe I only have 4 titles.

Heh, just doing a quick count, I think they have 31 titles available on blu-ray and I own 21 of them.

Anyway, hopefully with news like this they'll start releasing more and more titles sooner rather than later.