Dreamworks Drops 11% On Disappointing Q2 Results
Dreamworks Animation Skg (NASDAQ: DWA) shares fell nearly nine percent after-hours Tuesday after the company posted a wider-than-expected loss on revenue below analysts' consensus.
The company offered no outlook but said third quarter results will be driven primarily by its feature films including How to Train Your Dragon 2.
CEO Jeffrey Katzenberg said Dragon 2 will be "highly profitable" and is the ninth highest-grossing film of the year so far.
Dreamworks swung to a second-quarter net loss of $15.4 million, or $0.18 per share, from year-earlier earnings of $22.3 million or $0.26 per share.
Revenue fell from $213.4 million to $122.3 million a year earlier.
Analysts expected a loss of $0.02 per share, on revenue of $137.9 million.
Dragon 2, released June 13, contributed revenue of $2.6 million to the $69.7 million of feature film revenue in the second quarter.
Television revenue of $20 million in the second quarter came through Netflix, Classic Media content and Cartoon Network. Consumer products produced $18.5 million in revenue.
In the pre-market, Dreamworks changed hands recently at $20.00, down 11.7 percent.
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