I'd love to see LGF partner up, take on Netflix and beat them at their own game. In fact, I'd like to see LGF lead everyone else in all platforms.
Since February 2013, when Michael Burns stated on CNBC that LGF could be bought for the right price, there have been numerous discussions/negotiations to buy DWA, LGF & STRZA. None have succeeded so far. Content creators are obviously demanding a higher multiple, so I'll be jumping for joy when the first deal is finally done as other deals will likely follow.
Alas, I called Canadian Stock Transfer Company, and they said they aren't the agent anymore since LGF was delisted on the TSX exchange
Looks like I was kinda close in my call. I am feeling the need for one of the big studios to pick up LGF in order to break ahead in the box office- so LGF will either join Fox, Paramount or Warner Bros. Then again maybe a few more franchises have to hit first- could be a few years away, but the cheap money is gonna be gone soon.
Three BIG investment presentations next week. One given by Burns at Goldman. Also have a couple movies opening next Fri but limited release set to expand. One will be an Oscar contender. Speaking of awards we will receive a few emmys not this weekend but next imo. Lots and lots of wood being put on this fire this fall. While I maintain a core position I am stocking up on Dec 34 calls.
Forbes didn't cover it so I will. Pantelion's limited release "Un Gallo Con Muchos Huevos" did 3.4 million in 395 theaters which on a return per theater would make it the number 1 movie of this past weekemd. "American Ultra" which cost 28 million to produce has recouped 13 million to date and won't do much more till it hits the VOD circuit. I saw the movie and really wasnt' a fan. Shaun the Sheep movie which LGF paid 15 million for US distribution rights is currently at 17 million. I saw this one also and I thought it was better than "Inside Out." Maybe if they distribute another one the fan base will grow.
LIONSGATE REPORTS RESULTS FOR FIRST QUARTER 2016
Adjusted EBITDA is $70.3 Million; Net Income is $40.7 Million or Basic EPS of $0.28
Company Reports Free Cash Flow of $94.7 Million
Results Reflect Strong Television Performance Driven by 73% Increase in International Licensing
Record Filmed Entertainment Backlog Increases to Over $1.3 Billion
August 6, 2015 4:00 PM
SANTA MONICA, Calif. and VANCOUVER, British Columbia, Aug. 6, 2015 /PRNewswire/ -- Lionsgate (LGF) today reported revenue of $408.9 million, adjusted EBITDA of $70.3 million, adjusted net income of $48.9 million or adjusted basic EPS of $0.33, net income of $40.7 million or basic EPS of $0.28 and free cash flow of $94.7 million for the first quarter of fiscal 2016 (quarter ended June 30, 2015).
The Company's EBITDA and EPS results in the quarter reflected another strong performance from its television production business, driven by a 73% surge in revenue from licensing of international programming, continued momentum at its EPIX pay television partnership and lower theatrical marketing expenses.
"We're pleased to report strong financial results with continued robust free cash flow contributing to the strongest balance sheet in the Company's history," said Lionsgate Chief Executive Officer Jon Feltheimer.
Go to yahoo NFLX and read the headline articles. They explain the company thinking and direction well. Original content purchase from LGF sure but no buyout.
Well Burns is giving an investment presentation today in NY and there are 5 more in the next month. Plus new short interest is down another 800k just reported. Plus tomorrow LGF has its first wide release in India for the remake of Warriors from 2011 film which is now called Brothers with Indian actors. Trailer is on u tube with 10 mil views.
Ditto about being Burns' best interview. Burns wasn't shy about justifying LGF's current PE ratio and said an even higher multiple is deserved for content suppliers. I found some entertainment watching Tim Seymour's reaction to Burns' interview/presentation. Tim Seymour had recommended taking profit yesterday.
Great interview - basically explained that LGF is a content seller to all media (TV, OTT, Cable, etc). He also advised how busy the head of the TV division is and probably should get a helicopter to try and get him to all his appointments on time. He talked about skinny bundles and fat bundles and how they provide content to both. AH uptick is due to the interview. He was excited about the upcoming movies and potential franchises.
I actually think it was his best interview for all the years I've been watching him.
Macro conditions (China, Europe) may hold us in a range for while but when we break through resistance watch out! GLTA