MGM Revenue Drops 15 Percent, Though Profit Is Saved by Lower Film Expenses

Studio and distributor’s first quarter net income grows $244,000

MGM

MGM’s first-quarter 2016 revenue dropped 15 percent year over year, though the entertainment company was able to salvage slight profit growth with lowered film expenses.

Overall, Q1 revenues totaled $311.3 million this time around. In 2015, the top-line was $364.5 million. Big-screen stuff was the culprit for the drop, while small-screen shows fared better this year.

Net income for the most-recent 90-day period was $57.1 million. Last year, that profit was at $56.8 million.

Recognized expenses on released films has dropped, as have those on current productions. There’s more money tied up in development there, however. Television expenses are up across the board.

This quarter, the production company and distributor released “How to Be Single,” which was co-produced by Warner Bros.

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