IMAX (IMAX) Q4 2025 earnings summary

Executive summary

• Achieved record global box office of $1.28 billion in 2025, up 40% year-over-year, with 36% from local language content and a record $405 million in local language box office; global box office share reached 3.8%, up 700 basis points.

• Installed 160 new systems worldwide in 2025, a 10% increase year-over-year, and signed 166 new and upgraded system agreements, driving 3.5% network growth.

• Delivered record total revenue of $410.2 million, up 16% over 2024, and record Adjusted EBITDA of $184.9 million, with a 45.1% margin, exceeding guidance.

• Cash from operating activities rose 79% year-over-year to $127 million, with free cash flow conversion at 46%.

• Stock performance outpaced global media and entertainment peers, up over 44% in 2025.

Financial highlights

• Q4 2025 revenue grew 35% year-over-year to $125.2 million; full-year revenue up 16% to $410.2 million.

• Gross margin for the year was $246.2 million at 60%, up 600 basis points year-over-year; Q4 gross margin at 57.6%.

• Adjusted EBITDA margin reached a record 45.1% for the year, up 570 basis points year-over-year.

• Adjusted EPS was $1.45, up $0.50 year-over-year.

• Operating cash flow hit a record $127 million; free cash flow was $85.2 million, with a 46% Adjusted EBITDA conversion.

Outlook and guidance

• 2026 guidance projects $1.4 billion in global box office, 160–175 system installations, and Adjusted EBITDA margin above 45%.

• Targeting high single to low double-digit revenue CAGR through 2028, Adjusted EBITDA margin over 50% by 2028, and Adjusted EPS growth at twice the rate of revenue.

• Free cash flow conversion expected at approximately 50% in 2026 and growing.

• Content slate for 2026 includes at least 12 Filmed For IMAX releases and a strong lineup of family and international films.

• Expanding network in high-potential markets such as Japan, Australia, Germany, and France.