Film and television studio Metro-Goldwyn-Mayer Inc. Wednesday reported a rise in fourth-quarter profit spurred by sales of DVDs such as ”Legally Blonde 2” and videos from older films in its library, although revenue fell sharply.
The Los Angeles-based company said net income rose to $60.3 million, or 25 cents a share, from $58.7 million, or 24 cents a share, a year earlier, when it posted a $32.5 million one-time gain. Excluding the gain, 2002 fourth-quarter profit was 6 cents a share.
Fourth-quarter revenue fell to $543.1 million from $620.9 million a year earlier, when the company released the box office hit “Die Another Day,” a James Bond film.
Analysts’ average forecasts were earnings of 21 cents a share on sales of $508.8 million, according to Reuters Research, a unit of Reuters Group Plc.
In October, when it reported its third-quarter earnings, MGM’s chief financial officer said the company expected to earn 18 cents a share to 21 cents a share in the fourth quarter.
