IMAX (NYSE:IMAX) Announces Earnings Results, Beats Expectations By $1.19 EPS

Key Points

• IMAX reported $2.21 EPS, beating the $1.02 consensus by $1.19, and revenue of $174.55 million, up 63.6% year over year. EPS included a $36.7 million tax benefit; excluding it, adjusted EPS was a record $1.58.
• Management expects 2026 box office to significantly exceed its $1.4 billion guidance and sees adjusted EBITDA margin reaching about 50%, above its prior outlook.
• IMAX signed 105 system deals year to date, most at new locations, and is exploring further theater expansion. Despite the results, shares fell $3.64 to $48.12 in Thursday trading.

IMAX (NYSE:IMAX - Get Free Report) issued its quarterly earnings results on Thursday. The company reported $2.21 EPS for the quarter, topping the consensus estimate of $1.02 by $1.19, FiscalAI reports. The firm had revenue of $174.55 million during the quarter, compared to analyst estimates of $168.53 million. IMAX had a net margin of 9.84% and a return on equity of 15.47%. IMAX's revenue for the quarter was up 63.6% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.47 earnings per share.

Here are the key takeaways from IMAX's conference call:

• IMAX reported its strongest quarter ever, with $175 million in revenue, $121 million in adjusted EBITDA and $712 million in global box office. Adjusted EPS was $2.21, including a $36.7 million tax benefit; excluding that one-time benefit, adjusted EPS was still a quarterly and full-year record at $1.58.
• Management expects 2026 box office to significantly exceed its $1.4 billion guidance and adjusted EBITDA margin to reach approximately 50%, above its prior mid-40s outlook. The company remains on track for 160–175 system installations this year.
• Demand is driving network expansion: IMAX has signed 105 systems year-to-date, 65% at new locations, and is negotiating a pipeline of roughly 150 potential new or upgraded theaters. Management is also exploring faster installation timelines, smaller-format auditoriums and 10–15 additional IMAX 70mm locations.
• Management highlighted a strong upcoming film slate, including Dune: Part Three, Avengers releases and multiple Filmed for IMAX titles, as support for continued box-office growth. It is also pursuing merchandise, licensing and technology partnerships, though executives said these opportunities are early and not yet quantifiable.
• Installations eased to 32 systems in the quarter, compared with 38 a year earlier, as exhibitors prioritized keeping auditoriums open during major releases. The company said the installation schedule is weighted toward the fourth quarter and depends on construction and opening timelines.

IMAX Price Performance

IMAX stock traded down $3.64 during midday trading on Thursday, hitting $48.12. 2,494,230 shares of the stock were exchanged, compared to its average volume of 1,143,875. IMAX has a 1 year low of $32.71 and a 1 year high of $57.73. The firm has a market cap of $2.64 billion, a P/E ratio of 66.83, a P/E/G ratio of 1.30 and a beta of 0.54. The company has a 50 day moving average price of $52.30 and a two-hundred day moving average price of $43.10.

Insiders Place Their Bets

In other IMAX news, VP Robert Lister sold 22,500 shares of the company's stock in a transaction that occurred on Thursday, September 10th. The stock was sold at an average price of $51.58, for a total value of $1,160,550.00. Following the transaction, the vice president directly owned 182,375 shares of the company's stock, valued at $9,406,902.50. This represents a 10.98% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider Kenneth Weissman sold 8,000 shares of the firm's stock in a transaction that occurred on Tuesday, August 25th. The stock was sold at an average price of $54.54, for a total transaction of $436,320.00. Following the sale, the insider directly owned 28,205 shares of the company's stock, valued at $1,538,300.70. The trade was a 22.10% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 507,257 shares of company stock valued at $26,673,571 in the last three months. 20.55% of the stock is owned by insiders.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on IMAX. B. Riley Financial boosted their price objective on shares of IMAX from $61.00 to $64.00 and gave the company a "buy" rating in a research note on Thursday, October 8th. HC Wainwright reissued a "buy" rating on shares of IMAX in a research report on Friday, July 24th. Roth Capital reissued a "buy" rating and set a $62.00 price target on shares of IMAX in a research report on Friday, October 23rd. Wedbush upped their price target on IMAX from $54.00 to $60.00 and gave the stock an "outperform" rating in a research note on Wednesday, October 14th. Finally, JPMorgan Chase & Co. lifted their price objective on IMAX from $50.00 to $58.00 and gave the company an "overweight" rating in a research note on Friday, October 23rd. One analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average price target of $58.15.

IMAX News Roundup

Here are the key news stories impacting IMAX this week:

• Positive Sentiment: IMAX reported its best quarter in company history. Revenue reached $174.55 million, up 63.6% year over year and ahead of estimates, while EPS of $2.21 more than doubled the roughly $1.02 consensus. Record box office, led by The Odyssey, was the major driver. IMAX Q3 results
• Positive Sentiment: The Odyssey is set to return to theaters, including IMAX 70mm, in December. Another run could extend box-office momentum and reinforce demand for premium-format screenings. The Odyssey rerelease
• Positive Sentiment: IMAX China renewed service agreements with IMAX Corporation through 2029, supporting the ongoing relationship and associated service business. IMAX China agreement
• Neutral Sentiment: CEO Rich Gelfond discussed a planned two-week IMAX engagement for Netflix’s The Further Mis-Adventures of Cliff Booth, while expressing confusion that some theater circuits may not show it. The run could add content, but participation across theaters remains uncertain. Cliff Booth IMAX run
• Negative Sentiment: The supplied snapshot indicates shares are lower despite the earnings beat. It provides no specific bearish catalyst; profit-taking or valuation concerns may be contributing, with the stock’s reported P/E near 67 making expectations a possible consideration.

IMAX Company Profile

IMAX Corporation NYSE: IMAX is a global entertainment technology company that specializes in premium large-format cinema experiences. The company designs and supplies specialized theater systems that combine large screens, high-resolution projection, advanced sound, and immersive theater design to present feature films, documentaries, live events, and other content.

IMAX supports its theater partners with projection and sound equipment, theater design and installation services, and technology and maintenance support.

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