Get your 3-D glasses and your popcorn ready, the IMAX
Competitors like RealD
Despite a tough comparison to the Avatar release last year, fourth-quarter revenue was up 28%, to $69.2 million, and adjusted earnings per share increased a penny to $0.21.
The company is also experimenting with exclusive early releases for some films, which could give IMAX a further advantage over competitors like RealD. IMAX had a special early release window for Harry Potter and the Deathly Hallows in France and I Am Number Four in Mexico. If the model proves successful, we could see an expansion of special releases.
Directors are also buying in; a large portion of upcoming films like Mission: Impossible -- Ghost Protocol and The Dark Knight Rises will be filmed with IMAX cameras.
In 2011, growth is focusing on international locations, including China, Japan, and the Middle East. After installing 91 new theaters in 2010, the company expects 80 to 90 new theaters in 2011, which will likely rise as more deals are signed.
So far IMAX has 21 titles on the slate for 2011, and looking at the quality of titles it should be another good year for the company. As directors begin to leverage the IMAX format, more theaters are installed, and the company perfects movie launches, I expect the box office to continue its rapid growth. This Motley Fool Rule Breakers pick and my top stock for 2011 is ready for big things going forward.
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