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DreamWorks Wants to Be Disney

Demitrios Kalogeropoulos
August 1, 2013

DreamWorks Animation (NASDAQ: DWA) isn't happy just being the creator of hit films like Shrek and Kung Fu Panda. The company has a much bigger dream in mind. It wants to be more like Disney (NYSE: DIS).

That's clear enough from its corporate communications. In yesterday's earnings release, CEO Jeffrey Katzenberg said that DreamWorks continues to "diversify and evolve into a branded family entertainment company." That sounds more than a bit like Disney, which defines itself as "a diversified worldwide entertainment company" that pulls revenue from its studio business while also profiting from consumer products, television, and theme parks.

Not just movies
Investors could see evidence of the diversity that DreamWorks is after in its latest quarterly results. Yes, it still got the vast majority of revenue from theatrical releases, with The Croods standing out as a hit and bringing in $72 million of DreamWorks' $213 million in sales. But the company also booked significant revenue from a licensing deal with Netfl