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    IMAX
    Earnings call· Jun 2026(Q2 FY26)

    IMAX CORP IMAX

    Jul 23, 2026 Source

    Executive summary

    IMAX Q2 FY26 — Record-Breaking Odyssey Performance Drives Strong Results

    IMAX delivered strong financial results in Q2 FY26, significantly exceeding expectations driven by robust system installations and the record-breaking global opening of "The Odyssey." The film's unprecedented success has positioned IMAX at the center of cultural conversation and reinforced its premier platform status for blockbuster content. The company is strategically capitalizing on this momentum through network expansion, enhanced filmmaker partnerships, and new monetization avenues like merchandising, while maintaining financial discipline.

    Highlights

    5

    • Revenue of $103 million, up 12% year-over-year.

    • Adjusted earnings per share of $0.43, up 65% year-over-year.

    • Adjusted EBITDA of $48 million, with a 46.6% margin, up 400 basis points year-over-year.

    • The Odyssey delivered a $52 million global opening, the biggest in IMAX history on a like-for-like basis.

    • Installed 38 systems in Q2, the highest in a second quarter in a decade, and signed 36 new systems.

    Concerns

    2

    • China market performance

    • Competitive film scheduling

    Guidance & targets

    3
    CategoryTargetConfidence
    Full-year Global Box Office
    $1.4 billion
    high materiality
    High
    Full-year Adjusted EBITDA Margin
    mid-40s
    high materiality
    High
    Full-year System Installations
    160-175
    medium materiality
    High

    Segment performance

    2
    SegmentRevenueYoYQoQMargin
    Content Solutions
    Revenue growth was driven by international markets, excluding China, with 'Michael' highlighted as a breakout title. Gross profit was roughly flat year-over-year.
    Gross Margin: 63%
    		$35 million2%—$22 million gross profit
    Technology Products and Services
    Revenue growth was driven by higher system installations, renewals, and rental revenues. The gross profit margin increased significantly due to a positive mix shift to higher-margin revenue streams. Installations were the highest in a second quarter in a decade, with strong demand from diverse geographies.
    Gross Profit Margin YoY Change: +600 bpsSystem Installations: 38System Installations (Joint Revenue Sharing): 20System Installations (Sales): 18System Installations (Upgrades): 21System Installations (New Locations): 17System Signings: 36System Signings (New Locations): 80%
    		$65 million16%—60% gross profit margin

    Operational metrics

    31
    Adjusted EBITDA
    $48 millionup $8.9 million YoY
    Q2 FY26

    Adjusted EBITDA growth outpaced revenue growth.

    Adjusted Net Income
    $24 millionup 66% YoY
    Q2 FY26

    Strong growth flowing to the bottom line.

    Gross Margin
    61%up 270 bps YoY
    Q2 FY26

    Reflects improvement driven by higher system installations and renewals.

    Operating Expenditures (excluding stock-based compensation)
    $29 millionvs $30 million prior year
    Q2 FY26

    Reflects continued cost discipline, offsetting modest R&D growth.

    IMAX Film Shot for The Odyssey
    2.1 million
    production

    Distance from New York to Toronto, highlighting the scale of the production.

    Odyssey Global Opening Weekend Box Office
    $52 millionbiggest in history (like-for-like)
    opening weekend

    Record-breaking performance for the film.

    Odyssey Share of Worldwide Debut
    20%
    opening weekend

    Achieved on a small fraction of total screens.

    Odyssey Occupancy
    75%unheard of number
    opening weekend

    Indicates very strong demand for the film.

    Odyssey Grossing Monday
    $11 millionhighest grossing Monday in history
    Monday

    Unprecedented hold from the opening weekend.

    Odyssey Grossing Tuesday
    $10.6 millionbiggest Tuesday of all time
    Tuesday

    Continued strong performance into the weekdays.

    Odyssey IMAX 70mm Weekend Box Office
    $6.3 million
    opening weekend

    Strong performance from the premium 70mm format.

    Odyssey IMAX Box Office (less than a week)
    north of $80 million
    less than a week

    Rapid accumulation of box office revenue.

    Oppenheimer IMAX Box Office
    $190 million
    full run

    Previous strong performer for comparison with Odyssey.

    Odyssey Opening Weekend vs Oppenheimer
    47%higher
    opening weekend

    Odyssey's opening significantly outpaced Oppenheimer's.

    Odyssey IMAX 70mm Locations vs Oppenheimer
    almost 40%more
    release

    Odyssey was presented in more 70mm locations.

    IMAX 70mm Projector Cost
    $50,000
    per piece

    Cost to put a 70mm projector in a theater.

    Regal LA Live Theater Performance (first 6 months)
    $800,000
    first 6 months

    Initial performance of a new theater before Odyssey.

    Regal LA Live Theater Performance (Odyssey first 6 days)
    $400,000
    first 6 days of Odyssey

    Significant boost from The Odyssey, showing new client acquisition.

    Spider-Man Presales Share in China
    over 50%
    presales

    Consistent with Avatar 3's presales, indicating strong interest.

    Avengers End Game China Opening Weekend
    $45 million
    opening weekend

    Historical strong performance for comparison with future releases.

    Box Office Incrementality Threshold
    $250 million
    quarterly

    The level at which incrementality starts to kick in for the business model.

    Box Office for Tech Products and Services
    $284 million
    Q2 FY26

    Exceeded the incrementality threshold for the segment.

    Cash Flows from Operations
    $36 millionvs $30 million prior year
    H1 FY26

    Strong net inflow reflecting higher net income and working capital improvements.

    Incentive Lease Payments
    $10 million
    H1 FY26

    Investment in growth, partnering with exhibitors.

    Share Repurchases
    $13.7 million
    Q2 FY26

    Deployed opportunistically to drive shareholder returns.

    Cash and Marketable Securities
    $160 million
    as of June 30, 2026

    Balance sheet position.

    Total Debt
    $292 million
    as of June 30, 2026

    Balance sheet position.

    Net Leverage
    0.7x
    as of June 30, 2026

    Strong capital structure.

    IMAX JV Systems Installed
    31
    YTD

    More than sales systems, continuing investment in JVs.

    Popcorn Buckets Sold
    over 10,000
    so far

    Demonstrates the potential of the merchandising program.

    Ticket Scalping Price
    $1,000
    current

    Indicates extreme demand for premium IMAX experiences, suggesting room for price increases by exhibitors.

    Industry KPIs

    2
    MetricValueDetails
    Share buyback capital returned$13.7 millionUSD
    Content spend title performance—

    Product announcements

    1
    ProductTypeDetails
    IMAX in-vehicle entertainment systemlaunch

    Deals & partnerships

    4
    HoytsAgreement for new IMAX systems

    Signed a 10-system deal in Australia and New Zealand.

    Georgia TheatreAgreement for new IMAX systems

    Signed a 5-system deal in the U.S.

    Multiple (India, Turkey, Vietnam)Agreements for new IMAX systems

    Meaningful 3-system deals in underpenetrated countries.

    GeelyDevelopment of IMAX in-vehicle entertainment system

    Partnership to integrate IMAX entertainment into vehicles, particularly targeting the high-end auto market in China and future autonomous vehicles.

    Risks & headwinds

    2
    China market performanceH1 FY26

    disappointing in H1 FY26

    Mitigation: Recent pickup in box office, strategic delayed release of The Odyssey, strong presales for Spider-Man, promising slate for FY27.

    Competitive film schedulingQ2 FY26

    Spider-Man dated right on top of Odyssey

    Mitigation: IMAX prioritizes the most advantageous film for its network, confident in Odyssey's strong performance and long run.

    What to watch in Q3 FY26

    5

    Odyssey Box Office Performance

    Next quarter
    CurrentNorth of $80M in less than a week
    TargetContinued strong weekday grosses and sustained occupancy

    Why it matters

    The continued performance of The Odyssey will demonstrate the long-term impact of the film on IMAX's box office and brand momentum.

    I'm extremely optimistic that the occupancy will hold up. And if you look at our slate going forward⏳, Omar, we have room to play Odyssey for a pretty long time.

    Q&A highlights

    7

    What metrics best demonstrate the power of The Odyssey, the IMAX partnership, and confidence for future momentum?

    Rich Gelfond highlighted qualitative metrics like social media buzz and unprecedented presales (e.g., BFI selling out 7-8 weeks in advance), alongside quantitative metrics such as record-breaking weekday grosses ($11M on Monday, Tuesday, Wednesday) and the performance of new theaters like LA Live, which saw significant boosts from the film. He also pointed to future film releases and the expansion of the 70mm film network.

    “I mean, I know those are statistics on an earnings call. But one of you ever heard of a movie selling out 2 months in advance.”

    asked by Michael Hickey · answered by Richard L. Gelfond

    2 min read5 chapters

    Detailed Narrative

    01

    The Odyssey's Transformational Impact

    Christopher Nolan's "The Odyssey" has been a transformational event for IMAX, delivering the biggest global opening weekend in its history with $52 million and achieving a staggering 20% share of the film's worldwide debut on less than 1% of total screens. The film's success, including a 75% occupancy rate across the domestic network and record-breaking weekday grosses, has made IMAX the centerpiece of cultural conversation and a premier global platform for blockbuster content. This performance is seen as accelerating IMAX's growth thesis, with the film expected to play for months in IMAX 70-millimeter locations.

    02

    Filmmaker Partnerships & Innovation

    IMAX's deep collaboration with filmmakers, exemplified by Christopher Nolan's ambition to shoot "The Odyssey" entirely with IMAX film cameras, highlights its technological leadership. The company re-engineered its legacy film camera and developed an advanced sound blimp to enable sync sound shooting, allowing Nolan to shoot 2.1 million feet of IMAX film. This innovation not only made "The Odyssey" possible but also represents an investment in future filmmakers, with the 'film for IMAX' program fueling market share gains and attracting top talent like Denis Villeneuve and Ryan Coogler.

    03

    Network Expansion & Exhibitor Demand

    Momentum from "The Odyssey" and a strong second-half slate are driving increased demand from exhibition partners. IMAX reported 62 signings for new and upgraded systems year-to-date and installed 38 systems in Q2, the highest in a decade. These installations included 20 joint revenue sharing and 18 sales, with 17 new locations expanding the network globally. The strong performance of IMAX locations, such as Regal LA Live's $400,000 gross in the first 6 days of "The Odyssey" after $800,000 in its first 6 months, underscores the value proposition for exhibitors.

    04

    Merchandising & Direct Fan Engagement

    IMAX is actively capitalizing on its loyal fan base through new monetization avenues, particularly merchandising. The launch of an IMAX 70-millimeter camera replica popcorn bucket for "The Odyssey" saw rapid sell-outs, with the first drop selling out in under 2 hours and the second in 7 minutes. Over 10,000 units have been sold through IMAX channels alone, demonstrating a significant untapped opportunity. The company plans to expand its merchandising program for upcoming titles like Dune Part Three and next year's slate.

    05

    China Market Dynamics

    China's box office performance was disappointing in the first half of FY26, but has shown recent signs of pickup. Management expressed cautious optimism for upcoming releases like "Spider-Man: Brand New Day," which has strong presales, and "Avengers Dooms Day." The strategic decision to open "The Odyssey" a month later in China than the rest of the world is expected to leverage global momentum. The outlook for FY27 in China is more promising with titles like "Wandering Earth" sequels.

    AI-generated summary of the company’s earnings call. Not investment advice.