Lions Gate Entertainment Corp. reported a profit of $505,000 for the fiscal quarter ending Sept. 30 -- a significant decline from the same quarter a year earlier, when the studio made $75.5 million.
However, the company beat the expectations of analysts, who had predicted a loss of 7 cents per share, according to investment research firm Zacks.
Shares of Lions Gate were up 42 cents to $32.56 in midday trading on Friday.
The company recorded a small profit after being assessed a $36.2 million charge for paying back debt early. The company refinanced $435 million of debt in July, lowering the interest on the borrowed money from about 10% to about 5%.
"We completed a strong first six months of the year with a solid second quarter in which we generated robust free cash flow, continued to de-lever our balance sheet and lowered our interest expense," said Lionsgate Chief Executive Officer Jon Feltheimer in a statement.
Lions Gate's fiscal years end March 31, making the quarter ending Sept. 30 the company's second of its 2014 fiscal year.
Lions Gate is releasing the second installment of the
"Expendables 3" adds