Image Entertainment Reports Rise in Profits

Image Entertainment Inc., a Chatsworth laserdisc distributor, reported a gain in its fiscal 1996 profit, despite a soft fourth quarter.

In the three months that ended March 31, Image earned $1.91 million, down 32% from $2.8 million in net income a year earlier. Its quarterly net sales rose 3%, to $20.9 million from $20.3 million.

The company said the weakness in the fourth quarter was due to the soft retail environment at chain retail music stores. The introduction of a competing digital videodisc format could also have been a factor, and Image is trying to break into that market.

Nonetheless, Image’s full-year earnings increased 20%, to $7.6 million from $6.31 million. Its annual net sales were $95.1 million, up 11% from $85.6 million in net sales the previous year.