DreamWorks Animation Finishes Strong in Q4

With no new feature film releases, DreamWorks Animation SKG Inc. relied on DVD sales, cable sales, and television specials and series to drive its fourth quarter financial results. The Glendale-based animation studio reported net income of $43.6 million or $0.50 per diluted share, on revenues of $194.2 million for the quarter ending Dec. 31. For the same period in 2008, the company had net income of $51.6 million, or $0.58 per diluted share, on revenues of $199.8 million. For the full year, DreamWorks Animation brought in net income of $151 million, or $1.73 per diluted share, on revenues of $725.2 million. That is a 6 percent increase over the net income of $142.5 million, or $1.57 per diluted share, on revenues of $650.1 million for the previous year. Having released only one feature in 2009 – “Monsters vs. Aliens” – DreamWorks Animation is coming out of the gate much stronger in 2010 with an unprecedented three films, starting with “How to Train Your Dragon” in March, followed by the summer release of the latest installment of the “Shrek” franchise, and concluding with “Megamind” in November. All three films will be released in the 3D format. First quarter revenues are expected to be driven by the merchandising and consumer product tie-ins with “Dragon” and the domestic and overseas television sales of previous titles. Mark R. Madler