---
title: IMAX Corporation Reports Fourth Quarter and Full Year 2025 Results
publisher: "IMAX"
description: "IMAX delivers above expectations for full year 2025 across key metrics: Best-ever Revenue of $410 million, up 16% year-over-year Strong operating profitability with Net Income margin of 11% and record Adjusted EBITDA (1) margin of 45% Record Cash from Operating Activities of $127 million, up 79%"
canonical: "https://www.imax.com/pr/imax-corporation-reports-fourth-quarter-and-full-year-2025"
date: 2026-02-25
last_updated: 2026-03-02
---

IMAX Corporation Reports Fourth Quarter and Full Year 2025 Results
==================================================================

Wed, Feb 25, 2026

*   IMAX delivers above expectations for full year 2025 across key metrics:
    *   Best-ever Revenue of $410 million, up 16% year-over-year
    *   Strong operating profitability with Net Income margin of 11% and record Adjusted EBITDA(1) margin of 45%
    *   Record Cash from Operating Activities of $127 million, up 79% year-over-year

*   Highest grossing year ever for IMAX at the global box office with $1.28 billion; IMAX local language box office of $405 million shatters previous full-year record by 66%

*   2025 system installations of 160 at very high-end of full year guidance (145 to 160); signings of 166 eclipse 2024 by 28%

*   2026 guidance points to another strong year including $1.4 billion in IMAX box office, 160 to 175 system installations and Adjusted EBITDA margin in the mid-40’s (above 45%)

NEW YORK\--(BUSINESS WIRE)--Feb. 25, 2026-- IMAX Corporation (NYSE: IMAX) today reported excellent financial results for the fourth quarter and full-year of 2025, demonstrating the value of its unique global entertainment platform and broad content portfolio.

This press release features multimedia. View the full release here: [https://www.businesswire.com/news/home/20260225622890/en/](https://www.businesswire.com/news/home/20260225622890/en/)

![Infographic highlighting IMAX's 4Q and full year 2025 earnings results.](https://mms.businesswire.com/media/20260225622890/en/2730936/4/FY25_IMAX_Earnings_Infographic.jpg)

Infographic highlighting IMAX's 4Q and full year 2025 earnings results.

“2025 was a transformational year for IMAX, in which we took our performance to the next level and firmly established IMAX as a premier global platform for entertainment and events,” said Rich Gelfond, CEO of IMAX. “We exceeded virtually every target for box office and financial performance for the year and expect to deliver a record $1.4 billion in global box office in 2026.”

“Our slate for 2026 is arguably the strongest we’ve ever seen, with a record of at least 12 Filmed For IMAX releases worldwide; a highly anticipated offering of family films in a time where we’re growing market share with family audiences; and more international blockbusters than ever. The year is highlighted by huge, IMAX-centric tentpoles — including Christopher Nolan’s _The Odyssey_, the first theatrical feature shot entirely with IMAX film cameras; and Filmed For IMAX releases including Denis Villeneuve’s _Dune: Part Three_, Jon Favreau’s _The Mandalorian and Grogu_, and Greta Gerwig’s _Narnia_ — and our strong slates for 2027 and 2028 continue to come into view.”

“We are leveraging our box office momentum to expand our global network, particularly in underpenetrated, high-PSA markets including Japan, Australia, Germany, and France. Based on our record box office performance and growing market share, we’ve increased our total addressable market to nearly 4,500 zones worldwide — double our current combined number of systems in operation and backlog.”

“IMAX has become increasingly integral in launching blockbusters around the world, and we believe we are entering a new period of evolution and growth as a result. Blockbuster content continues to grow in importance across the ecosystem — the world’s greatest filmmakers, Hollywood studios, international studios, even streamers are leaning into blockbuster theatrical releases as drivers of IP and value throughout the chain. We look forward to capitalizing on our position to further serve our global audience, drive strong financial results, and deliver positive returns for our shareholders.”

\_\_\_\_\_\_\_\_\_\_

(1)

_Non-GAAP Financial Measure. See the discussion at the end of this earnings release for a description of the non-GAAP financial measures used herein, as well as reconciliations to the most comparable GAAP amounts._

**Fourth Quarter and Full-Year Financial Highlights**

**Three Months Ended December 31,**

**_(Unaudited)_**

**Year Ended December 31,**

_In millions of U.S. Dollars, except per share data_

**2025**

**2024**

**YoY %  
Change**

**2025**

**2024**

**YoY %**

**Change**

Total Revenue

$

125.2

$

92.7

35

%

$

410.2

$

352.2

16

%

Gross Margin

$

72.1

$

48.4

49

%

$

246.2

$

190.2

29

%

Gross Margin (%)

57.6

%

52.2

%

540bps

60.0

%

54.0

%

600bps

Net Income

$

2.5

$

6.9

(64

%)

$

45.5

$

32.7

39

%

Net Income Margin (%)

2.0

%

7.4

%

(540bps)

11.1

%

9.3

%

180bps

Net Income Attributable to Common Shareholders

$

0.6

$

5.3

(89

%)

$

34.9

$

26.1

34

%

Net Income Per Share - Diluted(1)

$

0.01

$

0.10

(90

%)

$

0.63

$

0.48

31

%

Total Adjusted EBITDA(2)(3)

$

57.1

$

37.2

53

%

$

184.9

$

138.9

33

%

Total Adjusted EBITDA Margin (%)(2)(3)

45.6

%

40.1

%

550bps

45.1

%

39.4

%

570bps

Adjusted Net Income(1)(2)

$

32.6

$

14.5

125

%

$

80.6

$

51.0

58

%

Adjusted Earnings Per Share - Diluted(1)(2)

$

0.58

$

0.27

115

%

$

1.45

$

0.95

53

%

Weighted average shares outstanding (in millions):

Basic

53.9

52.8

2

%

53.6

52.6

2

%

Diluted

56.3

54.7

3

%

55.5

53.9

3

%

\_\_\_\_\_\_\_\_\_\_

_(1)_

_Attributable to common shareholders._

_(2)_

_Non-GAAP Financial Measure. See the discussion at the end of this earnings release for a description of the non-GAAP financial measures used herein, as well as reconciliations to the most comparable GAAP amounts._

_(3)_

_Total Adjusted EBITDA is before adjustments for non-controlling interests. Total Adjusted EBITDA per Credit Facility attributable to common shareholders, excluding non-controlling interests, was $53.1 million and $165.8 for the three months and year ended December 31, 2025, respectively (2024 - $34.2 million and $124.7 million, respectively). The Company’s Credit Facility covenant is calculated on a trailing twelve-month basis._

**Fourth Quarter and Full-Year Segment Results(1)**

**Content Solutions**

**Technology Products and Services**

**Revenue**

**Gross Margin**

**Gross**

**Margin %**

**Revenue**

**Gross Margin**

**Gross**

**Margin %**

**4Q25**

$

38.2

$

21.8

57

%

$

84.6

$

49.1

58

%

**4Q24**

25.5

11.8

46

%

64.0

34.2

53

%

**% change**

50

%

84

%

32

%

44

%

**FY25**

$

151.3

$

99.7

66

%

$

251.3

$

143.2

57

%

**FY24**

124.7

66.5

53

%

216.1

115.6

53

%

**% change**

21

%

50

%

16

%

24

%

\_\_\_\_\_\_\_\_\_\_

_(1)_

_Please refer to the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 for additional segment information._

**Content Solutions Segment**

*   Content Solutions fourth quarter revenue of $38.2 million increased 50% year-over-year. Fourth quarter 2025 IMAX gross box office increased 62% year-over-year to $336.2 million, setting a new fourth quarter record. Gross margin for Content Solutions of $21.8 million increased 84% year-over-year.
*   Content Solutions full year 2025 revenue of $151.3 million increased 21% year-over-year. Full year 2025 IMAX gross box office increased 40% year-over-year to $1.28 billion, setting a new full year record. Gross margin for Content Solutions of $99.7 million increased 50% year-over-year. Content Solutions margin expanded significantly, going from 53% in 2024 to 66% in 2025, driven by the operating leverage in our business that accompanies box office growth.
*   Full year 2025 box office growth of 40% was driven by a diverse mix of global content that resulted in IMAX delivering a record 3.8% of the global box office, an increase in share of 70 basis points year-over-year. Highlights included:
    *   A total of 67 local language titles from 14 countries including two of our top five titles of the year: the breakout animated title _Ne Zha 2_ in China and the Japanese anime hit _Demon Slayer: Infinity Castle_
    *   10 Hollywood Filmed for IMAX releases that included four titles (_Sinners_, _Mission Impossible - The Final Reckoning_, _F1: The Movie_ and _Tron Ares_) where IMAX delivered 20% or more of the opening weekend domestic box office
    *   Record Q4 box office anchored by _Avatar: Fire and Ash_ contributing $112 million in the calendar year box office to become IMAX’s top grossing Hollywood title in 2025

**Technology Products and Services Segment**

*   Technology Products and Services fourth quarter revenue and gross margin increased 32% year-over-year to $84.6 million and 44% year-over-year to $49.1 million, respectively.
*   Technology Products and Services full year 2025 revenue and gross margin increased 16% year-over-year to $251.3 million and 24% year-over-year to $143.2 million, respectively. Technology Products and Services margin increased from 53% in 2024 to 57% in 2025, which primarily reflects the positive incremental flow through of the higher level of box office tied to rental revenues.
*   Demand for IMAX systems is growing. During 2025, the Company installed 160 systems, an increase of 10% compared to 146 systems installed in 2024. Of the 2025 installations, 82 systems were under sales arrangements, compared to 63 in the prior year, and 98 were new locations compared to 77 in the prior year.
*   Commercial network growth continues with the number of IMAX locations increasing to 1,796 from 1,735 in the prior year period. The Company ended 2025 with a backlog of 434 IMAX systems.

**Operating Cash Flow and Liquidity**

Net cash provided by operating activities for 2025 increased 79% year-over-year to $127 million, reflecting higher operating profits and improvements in working capital.

In 2025, the Company renewed and expanded its senior secured revolving credit facility, increasing the Company's borrowing capacity from $300 million to $375 million. The renewed facility includes a reduction in borrowing costs, reflecting improved market conditions and the Company's strong financial position. The facility is designed to provide IMAX with increased financial flexibility to support ongoing operational needs, network expansion, refinancing of existing debt and other general corporate purposes.

As of December 31, 2025, the Company’s available liquidity was $545 million. The Company’s liquidity included cash and cash equivalents of $151 million, $338 million in available borrowing capacity under the Company’s credit facility, and $56 million in available borrowing capacity under IMAX China’s revolving facilities. Total debt, excluding deferred financing costs, was $289 million as of December 31, 2025.

In 2025, the Company issued $250 million of 0.750% Convertible Senior Notes due 2030 (“2030 Convertible Notes”). In connection with the pricing of the Convertible Notes, the Company entered into privately negotiated capped call transactions with an initial cap price of $57.10 per share of the Company’s common shares.

**Share Count and Capital Return**

The weighted average basic and diluted shares outstanding in the fourth quarter of 2025 were 53.9 million and 56.3 million, respectively, compared to 52.8 million and 54.7 million in the fourth quarter of 2024. The weighted average basic and diluted shares outstanding for the full year of 2025 were 53.6 million and 55.5 million, respectively, compared to 52.6 million and 53.9 million for the full year of 2024.

In June 2025, the Company’s Board of Directors approved an extension of its share repurchase program through June 30, 2027 and an increase of approximately $100.0 million in the Company’s share repurchase program. As of December 31, 2025, the Company’s total share repurchase authority is $500.0 million with approximately $250.7 million available under the program.

**Supplemental Materials**

For more information about the Company’s results, please refer to the IMAX Investor Relations website located at [investors.imax.com](https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Finvestors.imax.com&esheet=54433661&newsitemid=20260225622890&lan=en-US&anchor=investors.imax.com&index=1&md5=f73fdfab2ad210183ea8a3c6bf8ef624).

**Investor Relations Website and Social Media**

On a monthly basis, the Company posts quarter-to-date box office results on the IMAX Investor Relations website located at [investors.imax.com](https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Finvestors.imax.com&esheet=54433661&newsitemid=20260225622890&lan=en-US&anchor=investors.imax.com&index=2&md5=b884f90724e9c7be18a123171f4a3d6a). The Company expects to provide such updates within five business days of month-end, although the Company may change this timing without notice.

The Company may post additional information on the Company’s corporate and Investor Relations websites, which may be material to investors. Accordingly, investors, media and others interested in the Company should monitor the Company’s website in addition to the Company’s press releases, United States Securities and Exchange Commission (the “SEC”) or in Canada, the System for Electronic Data Analysis and Retrieval (“SEDAR+”) filings and public conference calls and webcasts, for additional information about the Company. References to our website address and domain names throughout this release are for informational purposes only, or to fulfill specific disclosure requirements of the SEC’s rules or The New York Stock Exchange Listing Standards. These references are not intended to, and do not, incorporate the contents of our websites by reference into this release.

**Conference Call**

The Company will host a conference call today at 4:30 PM ET to discuss its fourth quarter and full-year 2025 financial results. This call is being webcast and can be accessed at [investors.imax.com](https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Finvestors.imax.com&esheet=54433661&newsitemid=20260225622890&lan=en-US&anchor=investors.imax.com&index=3&md5=840c18aea674bf594752bd20f6c9c8a1). To access the call via telephone, interested parties please pre-register at: [https://register-conf.media-server.com/register/BI6f3cab72c3ba4e84be745616efc53096](https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Furldefense.com%2Fv3%2F__https%3A%2Fregister-conf.media-server.com%2Fregister%2FBI6f3cab72c3ba4e84be745616efc53096__%3B%21%21CzU9WQTM%21v1TsnMvh2b3k5UE8wmLF0YPt6ZXdnDZCS68v-f-fpt0-1f20Myr6kjNq5NzgZhciiVwc0AP-cqZDLt0bukdLMk7TY4w%24&esheet=54433661&newsitemid=20260225622890&lan=en-US&anchor=https%3A%2F%2Fregister-conf.media-server.com%2Fregister%2FBI6f3cab72c3ba4e84be745616efc53096&index=4&md5=640e2cf186a298f9c5ebfe4730a57b0f) and you will be provided with a dial-in number and unique pin. To avoid delays, we encourage participants to dial into the conference call ten minutes ahead of the scheduled start time. A replay of the call will be available via webcast at [investors.imax.com](https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Finvestors.imax.com&esheet=54433661&newsitemid=20260225622890&lan=en-US&anchor=investors.imax.com&index=5&md5=ea2c536b0d9bf8cdde56713d9461316a).

**About IMAX Corporation**

IMAX, an innovator in entertainment technology, combines proprietary software, architecture, and equipment to create experiences that take you beyond the edge of your seat to a world you’ve never imagined. Top filmmakers and studios are utilizing IMAX systems to connect with audiences in extraordinary ways, making IMAX’s network among the most important and successful theatrical distribution platforms for major event films around the globe.

IMAX’s principal executive offices are located in Mississauga, Ontario, Canada and New York, New York. As of December 31, 2025, there were 1,864 IMAX systems (1,796 commercial multiplexes, 10 commercial destinations, 58 institutional locations) operating in 91 countries and territories.

Shares of IMAX China Holding, Inc., a subsidiary of IMAX Corporation, trade on the Hong Kong Stock Exchange under the stock code “1970”.

IMAX®, IMAX® 3D, Experience It In IMAX®, _The_ IMAX _Experience_®, DMR®, Filmed For IMAX®, IMAX Live®, and IMAX Enhanced® are trademarks and trade names of the Company or its subsidiaries that are registered or otherwise protected under laws of various jurisdictions. For more information, visit [www.imax.com](https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.imax.com&esheet=54433661&newsitemid=20260225622890&lan=en-US&anchor=www.imax.com&index=6&md5=ab43e104c6f7428b3104ade61c220f6b). You can also connect with IMAX on Instagram ([www.instagram.com/imax](https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.instagram.com%2Fimax&esheet=54433661&newsitemid=20260225622890&lan=en-US&anchor=www.instagram.com%2Fimax&index=7&md5=c8900419651b39d93eec8c5acf5a31c1)), Facebook ([www.facebook.com/imax](https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.facebook.com%2Fimax&esheet=54433661&newsitemid=20260225622890&lan=en-US&anchor=www.facebook.com%2Fimax&index=8&md5=a0fed2b1b2b993eaad07d580ed186ba6)), LinkedIn ([www.linkedin.com/company/imax](https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.linkedin.com%2Fcompany%2Fimax&esheet=54433661&newsitemid=20260225622890&lan=en-US&anchor=www.linkedin.com%2Fcompany%2Fimax&index=9&md5=143056cc5be14ae0802eebac42e7830c)), X ([www.twitter.com/imax](https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.twitter.com%2Fimax&esheet=54433661&newsitemid=20260225622890&lan=en-US&anchor=www.twitter.com%2Fimax&index=10&md5=b1c5a4c5b92780d8204d07c3a447cbd6)), and YouTube ([www.youtube.com/imaxmovies](https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.youtube.com%2Fimaxmovies&esheet=54433661&newsitemid=20260225622890&lan=en-US&anchor=www.youtube.com%2Fimaxmovies&index=11&md5=47c5d51586d7fdbf41973c2c321015ec)).

**Forward-Looking Statements**

_This earnings release contains forward looking statements that are based on IMAX Corporation (the “Company”) management’s assumptions and existing information and involve certain risks and uncertainties which could affect our future results and cause those results or other outcomes to differ materially from future results expressed or implied by such forward looking statements. In some cases, you can identify these statements by forward-looking words such as “accelerate,” “anticipate,” “believe,” “continue,” “could,” “expand,” “expect,” “future,” “goal,” “grow,” “guidance,” “intend,” “look forward to,” “may,” “plan,” “potential,” “promising,” “momentum,” “positioned,” “prospects,” “runway,” “subject to,” “target,” “will” or the negative or other variations thereon or comparable terminology._

_These forward-looking statements include, but are not limited to statements regarding: the Company’s business and technology strategies and measures to implement such strategies, including with respect to its brand extensions and new business initiatives; the Company’s belief and expectations regarding its competitive strengths, differentiation, goals, market opportunity and penetration, including opportunities in and expected growth from international markets, momentum and runway for evolution, expansion and growth of business, networks, operations and technology; future cash flow and revenue realization; capital allocation, including the amount and nature of future capital expenditures and the sufficiency of capital and liquidity to fund the Company’s anticipated operating needs; the Company’s capital structure, including the incurrence and repayment of debt and the impact of its restrictive debt covenants to operating and financial flexibility; the Company’s belief in its ability to exceed its record metrics; the Company’s technological capabilities and the differentiation thereof; the Company’s ability to enhance its brand equity and brand awareness and the benefits thereof; industry prospects and shifts in consumer behavior; future industry developments and films and other content released to the IMAX network, including expected releases, the timing of such releases, the anticipated box office revenues, and other effects thereof; and plans and references to the future success of the Company and expectations regarding its future operating, financial and technological results, including its box office and financial guidance for 2026._

_These forward-looking statements are based on certain assumptions and analyses made by the Company in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors it believes are appropriate in the circumstances. However, whether actual results and developments will conform with the expectations and predictions of the Company is subject to a number of risks and uncertainties, including, but not limited to: risks associated with the Company’s investments, operations, and future expansion in foreign jurisdictions, including the impact of economic, political and regulatory policies and laws of the United States, Canada, and China, tariffs and other trade regulations, and economic and trade tensions, trade wars, and geopolitical conflicts; risks related to the Company’s growth and operations in China, including the impact of industry conditions to both the Company and its partners; the performance of IMAX remastered films and other films released to the IMAX network; conditions, changes and developments in the commercial exhibition industry; the Company’s ability to enter into new sales, IMAX theater system agreements, and lease agreements and the effects thereof to revenue; fluctuations in operating results and cash flow and the resulting volatility of the Company’s share price; the potential impact of increased competition in the markets within which the Company operates, including competitive actions by other companies; the ability of the Company to respond to change and advancements in technology, including success in enhancing the Company’s artificial intelligence (“AI”) products while responding to competition from AI-generated content; the potential impacts of consolidation among commercial exhibitors and studios; success of brand extensions and new business initiatives; conditions and competition in the in-home (including streaming) and out-of-home entertainment industries; the Company’s ability to identify and pursue new business opportunities (or lack thereof); breaches to cybersecurity and data privacy; the Company’s ability to protect its intellectual property and to avoid infringing, misappropriating, or violating the intellectual property rights of others; effects of environmental laws and regulations; weather conditions and natural disasters that may disrupt or harm the Company’s business; effects of the Company’s indebtedness on its cash flow and business activities and the Company’s ability to comply with its debt agreements; general economic, market or business conditions; sustained inflationary pressure; political, economic and social instability; the Company’s ability to convert system backlog into revenue and cash flows; any statements of belief and any statements of assumptions underlying any of the foregoing; other factors and risks outlined in the Company’s periodic filings with the United States Securities and Exchange Commission (the “SEC”) or in Canada, the System for Electronic Data Analysis and Retrieval (“SEDAR+”); and other factors, many of which are beyond the control of the Company. Consequently, all of the forward-looking statements made in this annual report are qualified by these cautionary statements, and actual results or anticipated developments by the Company may not be realized, and even if substantially realized, may not have the expected consequences to, or effects on, the Company. These factors, other risks and uncertainties and financial details are discussed in the Company’s most recent Annual Report on Form 10-K, as may be updated in filings the Company makes from time to time with the SEC, including the Company’s Quarterly Reports on Form 10-Q. The forward-looking statements herein are made only as of the date hereof and the Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements, whether as a result of new information, future events or otherwise._

**IMAX Network and Backlog**

**Three Months Ended**

**Years Ended**

**December 31,**

**December 31,**

**2025**

**2024**

**2025**

**2024**

System Signings(1):

Sales Arrangements

23

14

72

54

Traditional JRSA

1

5

94

76

Total IMAX System Signings

24

19

166

130

_(1) System signings include new signings of 9 in Q4 2025, 88 in YTD 2025, 15 in Q4 2024 and 57 YTD 2024._

**Three Months Ended**

**Years Ended**

**December 31,**

**December 31,**

**2025**

**2024**

**2025**

**2024**

System Installations(1):

Sales Arrangements

39

27

82

63

Hybrid JRSA

—

—

1

—

Traditional JRSA

26

31

77

83

Total IMAX System Installations

65

58

160

146

_(1) System installations include new systems installations of 43 in Q4 2025, 98 in YTD 2025, 32 in Q4 2024, and 77 in YTD 2024._

**As of December 31,**

**2025**

**2024**

System Backlog:

Sales Arrangements

139

164

Hybrid JRSA

92

94

Traditional JRSA

203

182

Total System Backlog

434

440

**As of December 31,**

**2025**

**2024**

System Network:

Commercial Multiplex Systems

Sales Arrangements

885

838

Hybrid JRSA

118

126

Traditional JRSA

793

771

Total Commercial Multiplex Systems

1,796

1,735

Commercial Destination Systems

10

11

Institutional Systems

58

61

Total System Network

1,864

1,807

 

**IMAX CORPORATION**

**CONSOLIDATED STATEMENTS OF OPERATIONS**

_(In thousands of U.S. dollars, except per share amounts)_

 

**Three Months Ended**

**December 31,**

**_(Unaudited)_**

**Years Ended**

**December 31,**

**2025**

**2024**

**2025**

**2024**

**Revenues**

Technology sales

$

46,613

$

33,136

$

98,339

$

87,765

Image enhancement and maintenance services

55,290

42,769

217,926

192,197

Technology rentals

20,455

13,794

82,218

62,560

Finance income

2,849

2,973

11,729

9,686

**125,207**

**92,672**

**410,212**

**352,208**

**Costs and expenses applicable to revenues**

Technology sales

19,418

13,641

45,447

38,235

Image enhancement and maintenance services

26,156

23,187

90,042

96,558

Technology rentals

7,492

7,479

28,533

27,215

**53,066**

**44,307**

**164,022**

**162,008**

**Gross margin**

**72,141**

**48,365**

**246,190**

**190,200**

Selling, general and administrative expenses

35,472

32,414

138,455

132,701

Research and development

1,451

1,150

5,816

5,103

Amortization of intangible assets

2,070

1,550

7,516

5,758

Credit loss expense (reversal), net

409

(10

)

696

(973

)

Goodwill impairment

7,000

—

7,000

—

Restructuring charges and other impairments

1,635

3,749

2,478

3,749

**Income from operations**

**24,104**

**9,512**

**84,229**

**43,862**

Realized and unrealized investment (losses) gains

(966

)

33

(867

)

127

Retirement benefits non-service expense

(57

)

(64

)

(243

)

(387

)

Interest income

589

460

2,800

2,180

Interest expense

(1,802

)

(1,617

)

(7,362

)

(8,084

)

Induced conversion expense on settlement of convertible notes

(15,264

)

—

(15,264

)

—

**Income before taxes**

**6,604**

**8,324**

**63,293**

**37,698**

Income tax expense

(4,079

)

(1,458

)

(17,767

)

(4,996

)

**Net income**

**2,525**

**6,866**

**45,526**

**32,702**

Net income attributable to non-controlling interests

(1,888

)

(1,560

)

(10,650

)

(6,643

)

**Net income attributable to common shareholders**

**$**

**637**

**$**

**5,306**

**$**

**34,876**

**$**

**26,059**

**Net income per share attributable to common shareholders:**

Basic

$

0.01

$

0.10

$

0.65

$

0.49

Diluted

$

0.01

$

0.10

$

0.63

$

0.48

**Weighted average shares outstanding (in thousands):**

Basic

53,859

52,770

53,636

52,650

Diluted

56,272

54,706

55,544

53,864

Additional Disclosure:

Depreciation and amortization

$

16,031

$

16,601

$

62,446

$

65,503

Amortization of deferred financing costs

$

492

$

492

$

1,984

$

1,969

 

**IMAX CORPORATION**

**CONSOLIDATED BALANCE SHEETS**

_(In thousands of U.S. dollars, except share amounts)_

 

**December 31,**

**December 31,**

**2025**

**2024**

**Assets**

Cash and cash equivalents

$

151,168

$

100,592

Accounts receivable, net of allowance for credit losses

108,079

107,669

Financing receivables, net of allowance for credit losses

121,954

119,885

Variable consideration receivables, net of allowance for credit losses

91,402

82,593

Inventories

32,505

32,840

Prepaid expenses

14,881

13,121

Film assets, net of accumulated amortization

15,529

8,686

Property, plant and equipment, net of accumulated depreciation

242,910

240,133

Other assets

24,820

22,441

Deferred income tax assets, net of valuation allowance

12,577

14,499

Goodwill

45,815

52,815

Other intangible assets, net of accumulated amortization

32,391

35,124

**Total assets**

**$**

**894,031**

**$**

**830,398**

**Liabilities**

Accounts payable

$

19,478

$

19,803

Accrued and other liabilities

105,293

100,916

Deferred revenue

50,395

52,686

Revolving credit facility borrowings, net of unamortized debt issuance costs

34,577

36,356

Convertible notes and other borrowings, net of unamortized discounts and debt issuance costs

244,034

229,901

Deferred income tax liabilities

12,521

12,521

**Total liabilities**

**466,298**

**452,183**

**Commitments, contingencies and guarantees**

**Non-controlling interests**

**666**

**680**

**Shareholders’ equity**

Capital stock common shares — no par value. Authorized — Unlimited number. 53,921,676 issued and outstanding (December 31, 2024 — 52,946,200 issued and outstanding)

419,162

401,420

Other equity

164,782

185,268

Statutory surplus reserve

4,219

4,051

Accumulated deficit

(239,967

)

(274,675

)

Accumulated other comprehensive loss

(10,305

)

(16,598

)

**Total shareholders’ equity attributable to common shareholders**

**337,891**

**299,466**

Non-controlling interests

89,176

78,069

**Total shareholders’ equity**

**427,067**

**377,535**

**Total liabilities and shareholders’ equity**

**$**

**894,031**

**$**

**830,398**

 

**IMAX CORPORATION**

**CONSOLIDATED STATEMENTS OF CASH FLOWS**

_(In thousands of U.S. dollars)_

 

**Years Ended**

**December 31,**

**2025**

**2024**

**Operating Activities**

Net income

$

45,526

$

32,702

Adjustments to reconcile net income to cash provided by operating activities:

Depreciation and amortization

62,446

65,503

Amortization of deferred financing costs

1,984

1,969

Credit loss expense (reversal), net

696

(973

)

Write-downs, including goodwill and asset impairments

9,202

3,973

Deferred income tax expense (recovery)

772

(5,631

)

Share-based and other non-cash compensation

26,824

23,209

Unrealized foreign currency exchange gain

(134

)

(2,770

)

Realized and unrealized investment loss (gain)

867

(127

)

Induced conversion expense on settlement of convertible notes

15,264

—

Changes in assets and liabilities:

Accounts receivable

(1,319

)

29,105

Inventories

(76

)

(1,501

)

Film assets

(25,280

)

(25,122

)

Deferred revenue

(2,396

)

(14,308

)

Changes in other operating assets and liabilities

(7,308

)

(35,192

)

**Net cash provided by operating activities**

**127,068**

**70,837**

**Investing Activities**

Purchase of property, plant and equipment

(8,167

)

(8,428

)

Investment in equipment for joint revenue sharing arrangements

(28,425

)

(24,341

)

Acquisition of other intangible assets

(5,324

)

(8,447

)

**Net cash used in investing activities**

**(41,916**

**)**

**(41,216**

**)**

**Financing Activities**

Proceeds from issuance of convertible notes, net

243,125

—

Redemption of capped calls related to convertible notes

30,747

—

Debt issuance costs related to convertible notes

(24

)

—

Cash paid related to repurchase of convertible notes

(275,415

)

—

Purchase of capped calls related to convertible notes

(21,925

)

—

Proceeds from revolving credit facility borrowings

109,000

55,000

Repayments of revolving credit facility borrowings

(109,000

)

(42,000

)

Repayments of other borrowings

(1,116

)

(874

)

Credit facility amendment fees paid

(2,280

)

—

Repurchase of common shares - IMAX Corporation

—

(17,855

)

Repurchase of common shares - IMAX China

(1,454

)

(116

)

Taxes withheld and paid on employee stock awards vested

(9,742

)

(4,978

)

Common shares issued - stock options exercised

4,005

5,291

Principal payment under finance lease obligations

—

(509

)

**Net cash used in financing activities**

**(34,079**

**)**

**(6,041**

**)**

Effects of exchange rate changes on cash

(497

)

812

**Increase in cash and cash equivalents during year**

**50,576**

**24,392**

**Cash and cash equivalents, beginning of year**

**100,592**

**76,200**

**Cash and cash equivalents, end of year**

**$**

**151,168**

**$**

**100,592**

**Primary Reporting Groups**

The Company’s Chief Executive Officer (“CEO”) is its Chief Operating Decision Maker (“CODM”), as such term is defined under U.S. GAAP. The CODM assesses segment performance based on segment revenues and segment gross margins. Selling, general and administrative expenses, research and development costs, the amortization of intangible assets, provision for (reversal of) current expected credit losses, certain write-downs, interest income, interest expense, and income tax (expense) benefit are not allocated to the Company’s segments.

The Company has two reportable segments:

1.  Content Solutions, consists of services provided to studios and other content creators, which principally includes the digital remastering of films and other content into IMAX formats for distribution to the IMAX network. To a lesser extent, the Content Solutions segment also earns revenue from the distribution of large-format documentary films and exclusive experiences ranging from live performances to interactive events with leading artists and creators, as well as film post-production services.  
      
    
2.  Technology Products and Services, which includes results from the sale or lease of IMAX Systems, as well as from the maintenance of IMAX Systems to exhibition customers. To a lesser extent, the Technology Product and Services segment also earns revenue from certain ancillary theater business activities, including after-market sales of IMAX System parts and 3D glasses.

**_Segment Revenue and Gross Margin_** 

**Three Months Ended December 31,**

**_(Unaudited)_**

**Years Ended**

**December 31,**

_(In thousands of U.S. dollars)_

**2025**

**2024**

**2025**

**2024**

**Revenue**

Content Solutions

$

38,212

$

25,513

$

151,258

$

124,731

Technology Products and Services

84,625

64,043

251,277

216,062

Sub-total for reportable segments

122,837

89,556

402,535

340,793

All Other(1)

2,370

3,116

7,677

11,415

**Total**

**$**

**125,207**

**$**

**92,672**

**$**

**410,212**

**$**

**352,208**

**Gross Margin**

Content Solutions

$

21,798

$

11,837

$

99,706

$

66,523

Technology Products and Services

49,138

34,222

143,222

115,553

Sub-total for reportable segments

70,936

46,059

242,928

182,076

All Other(1)

1,205

2,306

3,262

8,124

**Total**

**$**

**72,141**

**$**

**48,365**

**$**

**246,190**

**$**

**190,200**

\_\_\_\_\_\_\_\_\_\_

_(1) All Other includes the results from the Company’s Streaming and Consumer Technology business, as well as other ancillary activities._

**IMAX CORPORATION  
****NON-GAAP FINANCIAL MEASURES**

In this release, the Company presents adjusted net income attributable to common shareholders and adjusted net income attributable to common shareholders per basic and diluted share, EBITDA, Adjusted EBITDA per Credit Facility, Adjusted EBITDA margin and free cash flow as supplemental measures of the Company’s performance, which are not recognized under U.S. GAAP.

A reconciliation from net income (loss) attributable to common shareholders and the associated per share amounts to adjusted net income attributable to common shareholders and adjusted net income attributable to common shareholders per diluted share is presented in the table below. Net income (loss) attributable to common shareholders and the associated per share amounts are the most directly comparable U.S. GAAP measures because they reflect the earnings relevant to the Company’s shareholders, rather than the earnings attributable to non-controlling interests.

Adjusted net income or loss attributable to common shareholders and adjusted net income or loss attributable to common shareholders per basic and diluted share exclude, where applicable: (i) share-based compensation; (ii) realized and unrealized investment gains or losses; (iii) goodwill impairments (iv) restructuring charges and other impairments; (v) employee retention credits; and (vi) induced conversion expense on settlement of convertible notes; as well as the related tax impact of these adjustments.

The Company believes that these non-GAAP financial measures are important supplemental measures that allow management and users of the Company’s financial statements to view operating trends and analyze controllable operating performance on a comparable basis between periods without the after-tax impact of share-based compensation and certain unusual items included in net income attributable to common shareholders. Although share-based compensation is an important aspect of the Company’s employee and executive compensation packages, it is a non-cash expense and is excluded from certain internal business performance measures.

In addition to the non-GAAP financial measures discussed above, management also uses “EBITDA,” as such term is defined in the Credit Agreement, and which is referred to herein as “Adjusted EBITDA per Credit Facility” as well as “Adjusted EBITDA margin.” As defined in the Credit Agreement, Adjusted EBITDA per Credit Facility includes adjustments in addition to the exclusion of interest, taxes, depreciation and amortization. Accordingly, this non-GAAP financial measure is presented to allow a more comprehensive analysis of the Company’s operating performance and to provide additional information with respect to the Company’s compliance with its Credit Agreement requirements, when applicable. In addition, the Company believes that Adjusted EBITDA per Credit Facility and Adjusted EBITDA margin present relevant and useful information widely used by analysts, investors and other interested parties in the Company’s industry to evaluate, assess and benchmark the Company’s results.

EBITDA is defined as net income or loss excluding: (i) income tax expense or benefit; (ii) interest expense, net of interest income; (iii) depreciation and amortization, including film asset amortization; and (iv) amortization of deferred financing costs. Total Adjusted EBITDA is defined as EBITDA excluding: (i) share-based and other non-cash compensation expense; (ii) realized and unrealized investment losses or gains; (iii) restructuring and other charges; (iv) write-downs, net of recoveries, including asset impairments and credit loss reversal and (v) induced conversion expense on settlement of convertible notes. Adjusted EBITDA per Credit Facility is defined as EBITDA excluding: (i) share-based and other non-cash compensation; (ii) realized and unrealized investment gains or losses; (iii) restructuring charges and other impairments; (iv) write-downs, net of recoveries, including goodwill, asset impairments and credit loss expense or reversal and (v) induced conversion expense on settlement of convertible notes. Adjusted EBITDA Margin is defined as Adjusted EBITDA divided by revenue.

A reconciliation of net income (loss) attributable to common shareholders, which is the most directly comparable GAAP measure, to EBITDA, Adjusted EBITDA per Credit Facility and Adjusted EBITDA Margin is presented in the table below. Net income (loss) attributable to common shareholders is the most directly comparable U.S. GAAP measure because it reflects the earnings relevant to the Company’s shareholders, rather than the earnings attributable to non-controlling interests.

In this release, the Company also presents free cash flow, which is not recognized under U.S. GAAP, as a supplemental measure of the Company’s liquidity. The Company definition of free cash flow deducts only normal recurring capital expenditures, including the Company’s investment in joint revenue sharing arrangements, the purchase of property, plant and equipment and the acquisition of other intangible assets (from the Consolidated Statements of Cash Flows), from net cash provided by or used in operating activities. Management believes that free cash flow is a supplemental measure of the cash flow available to reduce debt, add to cash balances, and fund other financing activities. Free cash flow does not represent residual cash flow available for discretionary expenditures. A reconciliation of cash provided by operating activities to free cash flow is presented below.

**_Adjusted EBITDA per Credit Facility_**

**Three Months Ended _(Unaudited)_**

_(In thousands of U.S. Dollars)_

**December 31, 2025**

**December 31, 2024**

**Revenues**

**$**

**125,207**

**$**

**92,672**

Reported net income

$

2,525

$

6,866

Add (subtract):

Income tax expense

4,079

1,458

Interest expense, net of interest income

721

665

Depreciation and amortization, including film asset amortization

16,026

16,601

Amortization of deferred financing costs(1)

492

492

EBITDA

$

23,843

$

26,082

Share-based and other non-cash compensation

7,774

5,948

Unrealized investment losses (gains)

966

(33

)

Restructuring charges and other impairments

1,635

3,749

Write-downs, including goodwill, asset impairments and credit loss expense

7,621

1,452

Induced conversion expense on settlement of convertible notes

15,264

—

**Total Adjusted EBITDA**

**$**

**57,103**

**$**

**37,198**

Less: Non-controlling interest

(4,045

)

(2,990

)

Adjusted EBITDA per Credit Facility - attributable to common shareholders

$

53,058

$

34,208

_\_\_\_\_\_\_\_\_\_\_  
(1) The amortization of deferred financing costs is recorded within Interest Expense in the Condensed Consolidated Statement of Operations._

**_Adjusted EBITDA per Credit Facility_**

**Twelve Months Ended**

_(In thousands of U.S. Dollars)_

**December 31, 2025**

**December 31, 2024**

**Revenues**

**$**

**410,212**

**$**

**352,208**

Reported net income

45,526

$

32,702

Add (subtract):

Income tax expense

17,767

4,996

Interest expense, net of interest income

2,578

3,936

Depreciation and amortization, including film asset amortization

62,446

65,503

Amortization of deferred financing costs(1)

1,984

1,969

EBITDA

$

130,301

$

109,106

Share-based and other non-cash compensation

26,824

23,209

Unrealized investment losses (gains)

867

(127

)

Restructuring charges and other impairments

2,478

3,749

Write-downs, including goodwill, asset impairments and credit loss expense

9,211

2,999

Induced conversion expense on settlement of convertible notes

15,264

—

**Total Adjusted EBITDA**

**$**

**184,945**

**$**

**138,936**

Less: Non-controlling interest

(19,193

)

(14,191

)

Adjusted EBITDA per Credit Facility - attributable to common shareholders

$

165,752

$

124,745

\_\_\_\_\_\_\_\_\_\_

_(1) The amortization of deferred financing costs is recorded within Interest Expense in the Condensed Consolidated Statement of Operations._

**_Adjusted Net Income Attributable to Common Shareholders and Adjusted Net Income Per Share_**

**Three Months Ended December 31,**

**_(Unaudited)_**

**2025**

**2024**

_(In thousands of U.S. Dollars, except per share amounts)_

**Net Income**

**Per Diluted**

**Share**

**Net Income**

**Per Diluted**

**Share**

Net income attributable to common shareholders

$

637

$

0.01

$

5,306

$

0.10

Adjustments(1):

Share-based compensation

7,599

0.14

5,768

0.11

Unrealized investment losses (gains)

966

0.02

(33

)

—

Goodwill impairment

7,000

0.12

—

—

Restructuring charges and other impairments

1,604

0.03

3,749

0.07

Induced conversion expense on settlement of convertible notes

15,264

0.27

—

—

Tax impact on items listed above

(511

)

(0.01

)

(322

)

(0.01

)

Adjusted net income(1)

$

32,559

$

0.58

$

14,468

$

0.27

Weighted average shares outstanding (in thousands):

Basic

53,859

52,770

Diluted

56,272

54,706

_\_\_\_\_\_\_\_\_\_\_  
(1) Reflects amounts attributable to common shareholders._

**Years Ended December 31,**

**2025**

**2024**

_(In thousands of U.S. Dollars, except per share amounts)_

**Net Income**

**Per Diluted**

**Share**

**Net Income**

**Per Diluted**

**Share**

Net income attributable to common shareholders

$

34,876

$

0.63

$

26,059

$

0.48

Adjustments(1):

Share-based compensation

26,133

0.47

22,454

0.42

Unrealized investment losses (gains)

867

0.02

(127

)

—

Goodwill impairment

7,000

0.13

—

—

Restructuring charges and other impairments

2,447

0.04

3,749

0.07

Employee retention credits

(3,971

)

(0.07

)

—

—

Induced conversion expense on settlement of convertible notes

15,264

0.27

—

—

Tax impact on items listed above

(2,032

)

(0.04

)

(1,125

)

(0.02

)

Adjusted net income(1)

$

80,584

$

1.45

$

51,010

$

0.95

Weighted average shares outstanding (in thousands):

Basic

53,636

52,650

Diluted

55,544

53,864

_\_\_\_\_\_\_\_\_\_\_  
(1) Reflects amounts attributable to common shareholders._

**_Free Cash Flow_**

**Years Ended December 31,**

_(In thousands of U.S. Dollars)_

**2025**

**2024**

Net cash provided by operating activities

$

127,068

$

70,837

Purchase of property, plant and equipment

(8,167

)

(8,428

)

Acquisition of other intangible assets

(5,324

)

(8,447

)

Free cash flow before growth CAPEX(1)

113,577

53,962

Investment in equipment for joint revenue sharing arrangements

(28,425

)

(24,341

)

Free cash flow

$

85,152

$

29,621

_\_\_\_\_\_\_\_\_\_\_  
(1) Growth CAPEX is defined as capital expenditures associated with investments in equipment for joint revenue sharing arrangements._

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**_Investors:_**  
IMAX Corporation, New York  
Jennifer Horsley  
212-821-0154  
[jhorsley@imax.com](mailto:jhorsley@imax.com)  
  
**_Media:_**  
IMAX Corporation, New York  
Mark Jafar  
212-821-0102  
[mjafar@imax.com](mailto:mjafar@imax.com)

Source: IMAX