Cineplex, Imax buoyed by Batman

A prediction made three months ago by Imax bosses Richard Gelfond and Bradley Wechsler came true this week, as losses at the large-format exhibitor slowed, thanks in part to The Dark Knight.

Imax’s net losses during the three months ending Sept. 30 slowed to US$2.1 million, improving on the US$7.5-million hit it took in the same period last year.

The numbers ‘reflect the strength of The Dark Knight: The IMAX Experience, coupled with operating expenses that were flat versus last year,’ said co-CEOs Gelfond and Wechsler in a statement. The pair had predicted at the end of Q2 that the large version of the Warner Bros. blockbuster, together with the Imax’s transition to digital projection, would contribute to the troubled company’s recovery.

Imax’s revenue increased 13.2% to $33.5 million, due largely to a busier box office.

‘We believe the seeds of our financial turnaround are beginning to take root,’ they said in the most recent report, adding that, as before, they plan to return to profitability in 2009.

Batman also had an impact on Cineplex, nudging up the per-patron revenue for its third quarter, even as total revenue and attendance dipped. Cineplex Galaxy Income Fund saw total revenues drop to $239.1 million, down 2% from last year, while attendance slumped 6% to 18 million moviegoers.

‘We are satisfied with our results this quarter given the tough comparison to Cineplex’s and the industry’s record breaking third quarter of 2007 coupled with the Olympics in August 2008,’ said Cineplex president and CEO Ellis Jacob, adding that though Dark Knight ‘dominated’ the quarter it could not keep up with the wave of high-grossing titles seen last summer, including The Bourne Supremacy, Transformers and Harry Potter and the Order of the Phoenix.

But because Dark Knight drew an older crowd than some of those kiddie-friendly titles, Cineplex made slightly more money per moviegoer (up $0.20 to $8.06) in Q3 2008, thanks to higher ticket prices.

‘IMAX and 3D product during the quarter also contributed to this increase in box office revenue per patron,’ said the company.