Strong second-quarter (ended Sept. 30) sales of catalog titles, including recently acquired third-party libraries, contributed to the Lionsgate home entertainment unit driving a 28.5% increase in motion picture segment revenue to $330.9 million, from $257.5 million in the previous-year period. Operating profit increased 22.7% to $101.8 million, from $83 million a year ago.
The motion picture group consists of the development and production of feature films, acquisition of North American and worldwide distribution rights, North American theatrical, home entertainment and television distribution of feature films produced and acquired, and worldwide licensing of distribution rights to feature films produced and acquired.
Revenue from Lionsgate’s 17,000-title film and television library totaled a record $784 million for the trailing 12 months. The Santa Monica, Calif.-based studio/distributor completed the acquisition of the 200-title Spyglass Media Group library in the quarter.
Specifically, Lionsgate generated $31.2 million from the sale of DVD and Blu-ray Disc titles, down 8% from $33.9 million in revenue during the previous-year period. Digital retail revenue neared $130 million, compared with $116 million a year earlier.
That said, physical and digital retail media revenue dwarfed theatrical, which totaled just $16 million in the quarter.
Through six months of the fiscal year, packaged-media revenue tops $65 million, down about 11% from $75.3 million a year ago. Digital transactions reached $242 million, which was down slightly from $243.9 million last year.
“Our motion picture group added to an already robust pipeline with the production starts of nine new films,” CEO Jon Feltheimer said in a statement. “[We had] another solid financial quarter with strong content generation across our business.”