MGM Loss Narrows on Strong DVD Sales

Metro-Goldwyn-Mayer Inc. cut its first-quarter loss to $55.8 million, or 22 cents a share, from a year-earlier loss of $90.8 million, or 37 cents. Revenue climbed 25% to $395.2 million.

The studio credited its film “Agent Cody Banks” and strong DVD sales.

MGM was hurt last year by costly flops such as “Hart’s War” and “Rollerball.”

Analyst David Miller of Sanders Morris Harris said MGM had relatively little at stake financially in films that did poorly in the first quarter. Those included “A Guy Thing” and “Dark Blue.”

Jeffrey Logsdon, an analyst with Gerard Klauer Mattison, said the quarter’s disappointments mattered less than DVD sales of “Die Another Day” and results from coming sequels to “Legally Blonde” and other films.