Friday, August 23, 2019

DWA TAKES BIG WRITE-OFF ON UNDERPERFORMING PEABODY

April 30, 2014 by · Leave a Comment 

It’s hard to believe that a film that has earned $261 million worldwide in theaters and untold millions more in future home-video sales can in fact be a big loser for a movie studio. But such is the case with DreamWorks Animation’s Mr. Peabody & Sherman, which, the studio said on Monday, has resulted in its taking a $57 million write-down on the movie. That write-down was principally responsible for the studio’s $42.9-million loss reported for the quarter against a profit of $5.6 million for the same quarter a year ago. In a statement, DWA chief Jeffrey Katzenberg said that the shortfall of Peabody “is evidence of the current challenges we face within our feature film segment, and restoring the strength in our core business is my No. 1 priority today. … Our next film is How to Train Your Dragon 2 on June 13 … and I am confident that its performance will put us back on track to once again reach the levels of box office success that we’ve achieved historically.” Peabody was the second big loser for DWA, which churns out animated features faster than most other studios. It took a $13.5 million write-down on Turbo earlier this year and last year took a huge $87-million write-down on Rise of the Guardians.