Lionsgate Reports Reduced Quarterly Loss After Spin-Off
Lionsgate released its latest financial results as an independent film and TV studio company following the separation of its Starz streaming platform. For the second quarter of fiscal 2026, the newly standalone Lionsgate posted significantly lower revenues but also a smaller net loss.
Financial Performance
- The net loss attributable to shareholders was $113.5 million, down from $163.3 million in the previous year after the Starz spin-off.
- Overall studio business revenue dropped to $475.1 million from $604 million a year earlier.
- Earnings per share loss improved to 39 cents compared to 68 cents the previous year.
- Adjusted operating income before depreciation and amortization (OIBDA) reached $14.1 million.
Market Reaction
Investors responded in after-hours trading by pushing the studio's stock down by 5 percent, or 36 cents, to $6.67.
Company Structure and Segments
Lionsgate Studios now includes the Motion Picture Group, Television Studio business, and a library of 20,000 film and TV titles. Starz operates independently as a publicly-traded company with separate financial disclosures.
The studios business combining motion picture and TV production saw the Motion Picture segment’s revenue fall to $276.4 million, compared to $409.4 million in the same period last year.
Summary
Lionsgate’s spin-off of Starz has narrowed its quarterly losses despite lower revenue, marking a transition into a standalone studio focusing on content production.