For Marvel Entertainment
Nice job, Shellhead. Now get ready for a curtain call. Marvel and THQ
Of course, a look at THQ's recent financial results makes me wonder whether Marvel will make much, if anything, from this deal. Fair enough. But I wouldn't undersell it, either. Marvel's licensing business is already underrated.
Chief Financial Officer Ken West told me in an interview recently that Marvel has been booking 80-100 new licensing contracts per quarter. More of them are more like the deal Marvel inked with Crocs
Even so, Marvel has produced nearly $220 million in cash flow over the trailing 12 months on the strength of these small arrangements. Penny by penny, Marvel has built the world's sixth-largest licensing business, according to the latest survey by LICENSE magazine.
Today, it has a few more of those pennies for the bank.
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Fool contributor and Rule Breakers writer Tim Beyers had positions in Marvel shares and LEAP options at the time of publication. See Tim's portfolio and his latest blog entry. The Motley Fool's disclosure policy is so money ... and it knows it, too.