Hollywood studio DreamWorks Animation (DWA) reported a better-than-expected 36.3% jump in quarterly revenue, boosted by the television release of its movie “Home” and higher licensing fees.
Shares of the company, which made the popular “Shrek” and “Kung Fu Panda” movies, rose 10.4% to $23.25 in after-hours trading on Tuesday.
DreamWorks has been reducing its dependence on the volatile feature films business to concentrate on increasing revenue from licensing its original content to media houses and video streaming companies such as Netflix (NFLX) and Verizon Communications’ Go90 (VZ).
Revenue from its television series and specials business more than doubled to $104.9 million in the fourth quarter ended Dec. 31.
Revenue from its feature film business rose 11.5% to $146.4 million, helped by “Home” worldwide pay television release.
Net income attributable to DreamWorks was $42.1 million, or 48 cents per share, in the quarter, compared with a loss of $263.2 million, or $3.08 per share, a year earlier.
The company took a pre-tax charge of about $210 million in the year-earlier quarter.
Excluding items, the company earned 55 cents per share.
Revenue rose to $319.3 million from $234.2 million.
Analysts on average had estimated revenue of $274 million, according to Thomson Reuters I/B/E/S.