Marvel’s Second Quarter Fizzles
Marvel’s second quarter earnings reports are in, and while they beat expectations, it wasn’t by much. They made (almost) exactly the same amount in the first quarter as they did in the second, which is not really a good thing for a business to do.
Publishers Weekly summarized the reports thusly:
Publishing revenue at Marvel Entertainment was flat in the second
quarter, slipping from $31.8 million to $31.7 million. Operating income
fell more noticeably, dropping 6.8%, to $10.9 million. A lower level of
high-margin advertising and custom publishing sales was cited as the
reason for the decline in earnings. For the first six months of 2009,
sales in the publishing segment fell 1.4%, to $57.5 million, and
operating income declined 17.1%, to $17.9 million. The company said it
expects the publishing segment to finish 2009 with revenue between $115
million and $120 million; in 2008 sales were $125.4 million.
DeadlineHollywoodDaily.com’s Nikki Finke has more detail:
The company said it benefited from growth at its film production segment, primarily in initial revenue for Iron Man DVD
sales and domestic pay TV window. But Marvel’s profit fell 38% after a
decline in licensing sales for toys and character-related products
following its Iron Man and Incredible Hulk bonanzas.
Marvel’s 2nd-quarter revenue fell 26%, and net income fell. But Marvel
also raised the low end of its full-year profit and sales forecasts
with Iron Man 2 coming out in 2010.
Heidi MacDonald over at The Beat says it’s a sign of a slower Q2 for comics all around. What do you think?