Lions Gate Entertainment Corp. reported a decrease in revenues for the three months ended September 30, 2024, totaling $948.6 million, down from $1,015.5 million in the same period of 2023, marking a decline of 6.6%. For the six months ended September 30, 2024, revenues were $1,783.3 million, down from $1,924.1 million, a decrease of 7.3%. The decline was primarily attributed to a significant drop in Media Networks revenue, which fell by 16.7% to $346.9 million, largely due to the exit from most international territories. In contrast, the Studio Business revenues increased by 4.3% to $823.7 million, bolstered by contributions from the recently acquired eOne, which added approximately $126.7 million in Q3 2024.

The company reported a net loss of $177.8 million for the third quarter, a substantial improvement from a net loss of $887.9 million in the prior year. For the six months, the net loss was $240.9 million, down from $959.4 million, reflecting a 74.9% reduction. The basic net loss per share for Q3 2024 was $(0.68), compared to $(3.79) in Q3 2023.

Total expenses for the three months ended September 30, 2024, were $1,037.2 million, significantly lower than $1,833.0 million in the same period of 2023, a decrease of 43.4%. This reduction was driven by lower restructuring and impairment costs, which fell from $222.1 million in Q3 2023 to $6.1 million in Q3 2024. The operating loss for the quarter was $(88.6) million, a notable improvement from $(817.5) million in the prior year.

Strategically, Lions Gate completed a business combination with Screaming Eagle Acquisition Corp. on May 13, 2024, resulting in the formation of Lionsgate Studios Corp., which began trading on Nasdaq under the symbol “LION.” This transaction generated approximately $330.0 million in gross proceeds, which were used to reduce outstanding debt. Additionally, the company acquired eOne from Hasbro for $373.1 million, enhancing its film and television library.

As of September 30, 2024, Lions Gate reported total assets of $7,146.8 million, slightly up from $7,092.7 million at the end of the previous fiscal period. However, total debt increased to $2,097.7 million from $1,619.7 million, contributing to an accumulated deficit of $(3,396.4) million, improved from $(3,576.7) million. The company’s cash and cash equivalents decreased to $229.6 million from $314.0 million as of March 31, 2024.

Overall, Lions Gate's financial performance reflects significant improvements in net loss and operating loss, alongside strategic acquisitions aimed at strengthening its market position, despite challenges in revenue generation from its Media Networks segment.