Wall Street gives RealD some relief
RealD on Wednesday recorded a $2.8-million profit, or 0.05 cents per share, in its third fiscal quarter ended Dec. 31 -- a considerable improvement over the $16.6-million loss from a year ago. Revenue in the quarter was $49 million, down 15% from the same time a year ago, reflecting slower ticket sales from such 3-D movies as "Hugo," "Happy Feet Two," and "Arthur Christmas."
Still, the company pulled in more revenue than the $42 million analysts were expecting, triggering a modest rally in the company's share price, which has plummeted in the last year amid disappointing 3-D ticket sales. RealD's stock closed Wednesday at $9.74, up 11% for the day, but still well below the company's 52-week high of $35.60.
"Prudent management of operating expenses enabled RealD to maintain profitability during the third fiscal quarter despite a relatively muted 3-D film slate," said Michael V. Lewis, chairman and chief executive of RealD.
-- Richard Verrier
Photo: RealD founders Michael V. Lewis, left, and Josh Greer inside a theater at the company's Beverly Hills headquarters. Credit: Ken Hively / Los Angeles Times.