IMAX (IMAX) Q1 2026 earnings summary

Executive summary

• Achieved $260 million global box office in Q1 2026, with strong growth in North America (+75%) and Rest of World excluding Greater China (+60%), despite lower box office in Greater China; reaffirmed 2026 guidance for $1.4 billion global box office and robust content slate with at least 14 Filmed For IMAX releases.

• IMAX network expanded to 1,865 systems in 91 countries, with 435 systems in backlog (73% international), and over 40 new and upgraded systems signed year-to-date across 10 countries.

• Project Hail Mary exceeded expectations, earning over $90 million in IMAX and capturing over 18% of global box office share.

• CEO Rich Gelfond resumed leadership after medical leave, with management maintaining operational continuity.

• Diversified content strategy and new partnerships, including exclusive streaming and live events, continue to fuel demand and network growth.

Financial highlights

• Q1 2026 revenue was $81.4 million, down 6% year-over-year, with gross margin at $45.8 million (56.3%), and adjusted EBITDA at $30.5 million (37.5% margin), both down from prior year.

• Adjusted net income grew 33% to $9.6 million ($0.17 per diluted share); net income attributable to common shareholders rose 83% to $4.2 million ($0.07 per diluted share).

• 2025 revenue reached $410 million, with a 45.1% adjusted EBITDA margin and $1.45 adjusted EPS.

• Cash and cash equivalents were $146 million as of March 31, 2026, with total liquidity of $528 million and net leverage at 0.86x.

• Free cash flow was negative $2.9 million in Q1 2026, compared to negative $7.7 million in Q1 2025.

Outlook and guidance

• 2026 guidance reaffirmed: $1.4 billion global box office, 160–175 system installations, and at least 45% adjusted EBITDA margin.

• Management expects sufficient capital and liquidity for the next twelve months and anticipates continued growth in local language content and alternative programming.

• Long-term targets include high single to low double-digit revenue CAGR, adjusted EPS growth twice the rate of revenue, and ~50% free cash flow conversion by 2026.