Box office hits can be hard to predict. Just ask DreamWorks Animation (DWA +0.00%), whose 2012 results were torpedoed by poor ticket sales for its film Rise of the Guardians.
However, the company behind hits such as Kung Fu Panda and Puss in Boots is busy diversifying its business so that in the future it won't need each theatrical release to be a Jack Black-fueled blockbuster. In the following video, Fool contributor Demitrios Kalogeropoulos explains how DreamWorks' latest deals with Netflix (NFLX 0.91%) are making it less dependent on box office revenue, and why that's great news for DreamWorks' shareholders.
