** FINANCIAL TABLES ATTACHED**
DREAMWORKS ANIMATION SKG, INC.
CONSOLIDATED BALANCE SHEETS
June 30, December 31,
2008 2007
(unaudited)
(in thousands, except par
value and share amounts)
Assets
Cash and cash equivalents $401,617 $292,489
Trade accounts receivable, net of allowance
for doubtful accounts 14,172 3,470
Receivable from Paramount, net of reserve
for returns and allowance for doubtful accounts 84,266 272,647
Film costs, net 581,631 541,917
Prepaid expenses and other assets 33,049 47,609
Property, plant, and equipment, net of accumulated
depreciation and amortization 96,070 86,772
Deferred taxes, net 50,039 48,664
Goodwill 34,216 34,216
Total assets $1,295,060 $1,327,784
Liabilities and Stockholders' Equity
Liabilities:
Accounts payable $8,959 $3,169
Accrued liabilities 87,315 108,457
Payable to stockholder 48,166 68,371
Income taxes payable 20,131 31,651
Deferred revenue and other advances 52,391 24,561
Borrowings and other debt 70,059 70,059
Total liabilities 287,021 306,268
Commitments and contingencies
Minority interest 2,941 2,941
Stockholders' equity:
Class A common stock, par value $.01 per share,
350,000,000 shares authorized, 94,696,219 and
93,547,321 shares issued, as of June 30, 2008
and December 31, 2007, respectively 947 935
Class B common stock, par value $.01 per share,
150,000,000 shares authorized, 11,884,461 and
12,984,461 shares issued and outstanding, as of
June 30, 2008 and December 31, 2007, respectively 119 130
Additional paid-in capital 852,707 831,115
Retained earnings 556,355 502,763
Less: Class A Treasury common stock, at cost,
14,127,398 and 10,445,278 shares, as of
June 30, 2008 and December 31, 2007,
respectively (405,030) (316,368)
Total stockholders' equity 1,005,098 1,018,575
Total liabilities and stockholders' equity $1,295,060 $1,327,784
DREAMWORKS ANIMATION SKG, INC.
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
Three Months Ended Six Months Ended
June 30, June 30,
2008 2007 2008 2007
(in thousands, except per share amounts)
Revenues $140,787 $222,471 $297,354 $316,199
Costs of revenues 75,168 110,645 170,918 164,124
Gross profit 65,619 111,826 126,436 152,075
Selling, general and
administrative expenses 27,630 27,466 54,488 53,236
Operating income 37,989 84,360 71,948 98,839
Interest income, net 2,474 6,382 5,457 12,653
Other income, net 1,080 1,439 1,857 2,883
Increase in income tax benefit
payable to stockholder (8,010) (23,909) (17,440) (29,726)
Income before income taxes 33,533 68,272 61,822 84,649
Provision for income taxes 6,040 6,494 8,230 7,471
Net income $27,493 $61,778 $53,592 $77,178
Basic net income per share $0.30 $0.61 $0.59 $0.75
Diluted net income per share $0.30 $0.60 $0.58 $0.75
Shares used in computing net
income per share
Basic 90,370 102,052 91,366 102,716
Diluted 90,788 102,466 91,615 103,105
DREAMWORKS ANIMATION SKG, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
Six Months Ended
June 30,
2008 2007
(in thousands)
Operating activities
Net income $53,592 $77,178
Adjustments to reconcile net income to net cash
provided by operating activities:
Amortization and write off of film costs 158,931 154,908
Stock compensation expense 18,277 19,150
Depreciation and amortization 4,971 4,691
Revenue earned against deferred revenue and
other advances (42,084) (47,690)
Deferred taxes, net (1,375) (12,383)
Change in operating assets and liabilities:
Trade accounts receivable (10,702) (2,061)
Receivable from Paramount 188,381 (25,390)
Film costs (196,643) (208,330)
Prepaid expenses and other assets 15,239 (39,352)
Accounts payable and accrued liabilities (15,428) 33,077
Payable to stockholder (20,205) 7,802
Income taxes payable, net (11,538) 18,872
Deferred revenue and other advances 75,553 41,394
Net cash provided by operating activities 216,969 21,866
Investing activities
Purchases of property, plant and equipment (18,765) (1,370)
Net cash used in investing activities (18,765) (1,370)
Financing Activities
Purchase of treasury stock (88,662) (44,050)
Other (414) 830
Net cash used in financing activities (89,076) (43,220)
Increase in cash and cash equivalents 109,128 (22,724)
Cash and cash equivalents at beginning of period 292,489 506,304
Cash and cash equivalents at end of period $401,617 $483,580
Supplemental disclosure of cash flow information:
Cash paid during the period for income taxes,
net $21,076 $724
Cash paid during the period for interest,
net of amounts capitalized $567 $85
Web site: http://www.dreamworksanimation.com/
« Previous Page 1 | 2
