MGM Boosts Its 4th-Quarter Forecast
- Share via
Powered by the DVD sales of “Legally Blonde” and “Hannibal,” Metro-Goldwyn-Mayer Inc. increased its fourth-quarter profit estimate to about $29 million, or at least 12 cents a share.
The Santa Monica-based studio previously projected earnings of 1 cent to 3 cents a share. During the fourth quarter of 2000, the company had a profit of $12.4 million, or 6 cents a share. MGM executives predicted the final quarter of 2001 will be the 77-year-old studio’s most profitable quarter.
In addition to “Legally Blonde,” MGM released DVD versions of “Fiddler on the Roof,” “The Princess Bride” and a special edition of “The Terminator” during the quarter. The company released “Hannibal” on DVD earlier this year; sales of that movie remain strong, said Joe Fitzgerald, MGM spokesman.
MGM’s revised estimate incorporates new accounting rules that require studios to immediately report film print and marketing costs rather than amortizing those expenses.
MGM shares rose 26 cents to close at $20.50 on the New York Stock Exchange.
The biggest entertainment stories
Get our big stories about Hollywood, film, television, music, arts, culture and more right in your inbox as soon as they publish.
You may occasionally receive promotional content from the Los Angeles Times.
