IMAX's Q4 2024 Earnings Call: Unpacking Contradictions in Screen Growth, Streaming Strategies, and Market Performance

These are the key contradictions discussed in IMAX's latest 2024 Q4 earnings call, specifically including: Screen Count Growth and Box Office Impact, Netflix Deal and Streaming Strategy, China Market Performance and Strategy, IMAX Camera Usage and Studio Requirements, and Margin Expansion Opportunities in Content Solutions:



Strong Financial Performance:
- IMAX Corporation reported adjusted EBITDA of $37 million for Q4 2024, up 48% from the previous year, and adjusted EPS grew by 59% to $0.27 per share.
- The growth was attributed to solid results from the Thanksgiving weekend and the re-release of Interstellar, despite softness in China's box office.

China Box Office Recovery:
- The Chinese New Year slate delivered over $120 million in box office, surpassing the previous record by double.
- The recovery was driven by an improved movie slate, including local language films, and strong audience demand for spectacle-driven content.

Content Portfolio Expansion:
- IMAX released a record 118 films, events, and experiences worldwide in 2024, with 61 being local language films.
- The expansion was due to increased studio relationships, strategic partnerships, and a focus on local language films.

Global Network Growth:
- IMAX guided for 145 to 160 system installations in 2025, with 60% under joint revenue sharing arrangements.
- Growth will continue through strategic partnerships, notably with Wanda and AMC, and expansions in high revenue markets like Japan and Western Europe.