In Lionsgate’s Q2 earnings release, the company reported that they have crossed 16.1 million streaming subscribers across its platforms including STARZ and STARZPLAY INTERNATIONAL. That number includes 10.4 million domestically, an improvement of 700,000 from last quarter and up 1.2 million year-over-year. International streaming subscribers were up 500,000 in the quarter and 3.8 million year-over-year.
Like other media companies, Lionsgate is benefitting from the streaming spike due to the pandemic. With more people staying at home and watching shows and movies instead of going out, streaming services are reaching record numbers.
“I’m pleased to report another solid financial quarter with strong content generation across our business,” said Lionsgate CEO Jon Feltheimer. “Starz drove growth of 1.3 million global streaming subscribers with the strong premieres of three new series in the quarter, our Television Group launched six new series and renewed six current shows, and our Motion Picture Group added to an already robust pipeline with the production starts of nine new films.”
Lionsgate's streaming revenue has been growing rapidly throughout the past five years. “Our AVOD revenue — just in the U.S. in 2016, we had about 14 clients, and we were doing less than $10 million of revenue in that segment of my business. In 2021, we have close to 40 AVOD clients, and we’re going to do almost — well, I think we’re going to do over $100 million,” Jim Packer, Lionsgate’s President of Worldwide Television and Digital Distribution, said.
In fact, Lionsgate’s reported revenue from its 17,000-title film and television library was $784 million for the trailing 12 months.
Further accelerating the company’s success, Lionsgate is seizing the opportunity to be an “arms dealer” to other media companies, such as The Roku Channel. The company is now making deals with streaming services to give them the rights to programming. Last month, the media company reached a multi-year agreement with Redbox. Lionsgate’s library has 17,000 titles, and Redbox now has licensing rights to a variety of TV series and movies. The company is focusing on the many possible means to profit off of the streaming spike.
STARZ
STARZ offers a subscription video streaming service that gives access to content on the STARZ channel without the need of a cable subscription. With your subscription, you’ll get access to 7,500+ films and episodes, including all of their current originals like “Outlander,” The Serpent Queen,” “BMF,” and “Power.”