On the heels of X-Men Origins: Wolverine‘s US$85-million opening weekend, Marvel Entertainment has posted positive Q1 2009 results.
The company reported net sales of US$197 million and net income of US$44.5 million, up from US$112.6 million in net sales and US$45.2 million in net income earned during the same period in 2008.
The US$90.4 million in film production segment revenues helped drive year-over-year growth and licensing revenues also helped boost this quarter. As a result, Marvel has raised the low-end of its financial guidance for 2009, reflecting the stronger than expected Q1 performance in its licensing and film production segments and a decline in the anticipated full year tax rate.
Meanwhile, Q1 net sales in the licensing segment hit US$80.8 million, which were higher than anticipated, thanks to its interactive games and royalties from worldwide licensee sales. But, those net sales were still down from Q1 ’08, reflecting a US$24.5 million decrease from the Spider-Man feature film merch joint venture with Sony as well as lower Marvel Studios’ entertainment licensing revenue than in the previous period.
The dips were offset by bigger contributions from domestic and international consumer products, which in aggregate rose by US$30.3 million versus the same period in 2008. Net sales in the publishing segment decreased by US$0.7 million to US$25.8 million this quarter, as compared to last year’s US$26.5 million, a reflection of lower levels of advertising revenue, though there was some improvement in mass market channel with higher average selling prices that were initiated in Q4 2008.