IMAX tops Q3 estimates on box office strength

IMAX

05/11/2026 12:45

Overview
Entertainment technology firm's Q3 revenue rose 64% yr/yr, beating analyst expectations
Adjusted EPS for Q3 surged 370% yr/yr, beating analyst expectations
Company cites record global box office and The Odyssey's performance as key drivers

Outlook
Company expects strong 2027 film slate with major releases including Dune: Part Three and Avengers: Doomsday
IMAX says sales activity is accelerating following record box office performance and strong pre-sales for upcoming releases
Company sees growing demand for premium shared experiences benefiting its business going forward

Result Drivers
BOX OFFICE PERFORMANCE - Record global box office of $712 mln, led by The Odyssey, drove significant revenue and margin growth
CONTENT SOLUTIONS GROWTH - Content Solutions segment revenue and gross margin rose 110% and 125% yr/yr, reflecting higher box office and platform scale
TECHNOLOGY PRODUCTS AND SERVICES - Segment revenue and gross margin increased 28% and 53% yr/yr, driven by rental revenue growth and contract renewals

Company press release: ID:nBw8msDKqa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$174.60 mln
$168.53 mln (12 Analysts)
Q3 Adjusted EPS
Beat
$2.21
$1.02 (11 Analysts)
Q3 EPS
 
$1.96
 
Q3 Adjusted Net Income
Beat
$127.90 mln
$55.93 mln (6 Analysts)
Q3 Net Income
 
$117.10 mln
 
Q3 Adjusted EBITDA Margin
 
69.30%
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the entertainment production peer group is "buy"
Wall Street's median 12-month price target for IMAX Corporation is $60.00, about 15.9% above its November 4 closing price of $51.76
The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 25 three months ago

Reuters Recommended Reads
Nov 4 - AMC Entertainment Q3 revenue beats estimates on strong attendance
Nov 3 - Cinemark posts record Q3 revenue, net income up 146%
Nov 4 - Madison Square Garden beats  Q1 revenue estimates on more concerts

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)