Lionsgate Shrinks Quarterly Loss After Starz Spin-Off
Lionsgate released its latest financial report as an independent film and television studios company following the separation from its Starz streaming service. The move marked the studio’s first quarter operating fully on its own.
Financial Performance
The Hollywood studio, led by CEO Jon Feltheimer, posted a net loss attributable to shareholders of $113.5 million for the second quarter of fiscal 2026, narrowing from a $163.3 million loss a year earlier. Revenue declined to $475.1 million, compared to $604 million for the same period last year. Earnings per share showed a 39-cent loss, improving from a 68-cent loss previously.
Adjusted OIBDA totaled $14.1 million, reflecting a more stable operating base after the Starz spin-off. Investors reacted modestly, with Lionsgate’s stock falling 36 cents, or 5 percent, to $6.67 in after-market trading.
Studio Breakdown
The newly formed Lionsgate Studios now unites the Motion Picture Group and Television Studio divisions. Together, they oversee a vast library of approximately 20,000 film and television titles.
Within these segments, the Motion Picture division reported revenue of $276.4 million, compared to $409.4 million in the prior-year quarter, demonstrating the broader industry’s uneven post-pandemic performance.
Independent Starz Reporting
Following the spin-off, Starz operates as a standalone, publicly traded company with its own financial disclosures separate from Lionsgate Studios.
“Lionsgate posted a net loss attributable to shareholders at $113.5 million, compared to a year-earlier $163.3 million loss.”
Author’s summary: After separating from Starz, Lionsgate reduced its quarterly loss but reported lower overall revenue as it adjusted to life as an independent studio entity.