M8 Entertainment Inc. ("M8" or the "Corporation"), a leading Canadian film entertainment company engaged in the production, financing, development, and worldwide licensing of theatrical feature films, reported today its financial results of operations for the third quarter and nine months ended June 30, 2004. M8 reported a significant rise in operating revenues and net earnings for the third quarter and nine months ended June 30, 2004 compared to the same periods in the preceding fiscal year.
Operating revenues increased a whopping 137%, to $11.7 million for the three month period ended June 30, 2004 as compared to $4.9 million in the preceding fiscal year, while operating revenues for the nine-month period rose 64% to $43.2 million as compared to $26.3 million in the preceding fiscal year.
Net earnings nearly doubled to $1.0 million for the three month period ended June 30, 2004 as compared to $500,000 in the preceding fiscal year, while net earnings for the nine month period ended June 30, 2004 increased to $2.9 million as compared to $2.2 million in the preceding fiscal year.
General and administrative expenses were 14.5% of operating revenues for the third quarter ended June 30, 2004, as compared to 22.4% of operating revenues for the preceding fiscal year, while general and administrative expenses for the nine month period ended June 30, 2004 were 10% of operating revenue, as compared to 14% the preceding fiscal year.
“On the heels of the success of our Oscar-winning film ‘Monster,' we are now beginning to reap significant benefits from our subsequent slate of new feature films. The exceptional financial results of operations reported this quarter were driven primarily by the completion of our new feature film ‘The Upside of Anger,' starring Academy Award winner Kevin Costner and three time Academy Award nominee Joan Allen,” stated Sammy Lee, Vice Chairman of the Board for M8 Entertainment. “We are hopeful that our strong slate of future films will continue to bring favourable financial results for the Corporation over the remainder of this fiscal year and in the upcoming fiscal year.”
“The Corporation is winding up its fourth consecutive year of profitability,” stated Devin Cutler, Vice President of Finance and Controller, “and we intend to continue our strategy of producing, financing, and distributing commercially and artistically successful feature films, while aggressively controlling our operating overhead. It is our business strategy to utilize our continuing profitability to develop the Corporation in a measured and logical fashion.” |
