DreamWorks Reports Profitable Quarter

DreamWorks Animation SKG Inc. beat Wall Street expectations in earnings and revenue in the fourth quarter. The Glendale film and television studio reported Tuesday net income of $42.1 million (48 cents a share) in the quarter ended Dec. 31, compared with a net loss of $263.2 million (-$3.08) in the same period a year earlier. Revenue increased 36 percent to $319 million. Analysts on average expected earnings of 16 cents a share on revenue of $274 million, according to Thomson Financial Network. When adjusted to exclude a $6.1 million pre-tax charge connected to a restructuring plan announced a year ago, net income was $48.1 million, or 55 cents a share. Chief Executive Jeffrey Katzenberg called 2015 a transitional year for the company but one in which DreamWorks Animation gained momentum in meeting objectives set out a year ago. “Our continued focus on executing on our strategic goals will not only ensure sustainable and profitable growth over the long term, but create shareholder value for years to come,” Katzenberg said in a prepared statement. The studio released only one film last year, “Home,” in March. Results were announced after market close. Shares closed down 45 cents, or more than 2 percent, to $21.06 on the Nasdaq.