Canaccord Genuity Morning Coffee on RealD (RLD): 3-D is for Real

Canaccord Genuity Morning Coffee on RealD (NYSE: RLD): 3-D is for Real.

RealD, the maker of 3-D projection gear for theatres, had its investors cheering after beating analysts’ estimates for the third quarter. The Beverly Hills, California-based company said its third-quarter profit was $0.05 a share, handily beating the average estimate of a $0.056 loss. Licensing revenue, RealD’s share of cinema ticket sales, rose 51% for the quarter ended December 23. While, total revenue of $49 million topped analysts’ forecasts of $42.4 million. Bloomberg noted that licensing gains partly countered a 47% drop in product and other revenue, including the sale of glasses used to watch three-dimensional films. RealD projectors have now been installed in 19,700 screens worldwide, a 74% jump in 12 months, including 11,500 in the U.S. and Canada, The company expects to add 5,200-6,000 additional screens during fiscal 2012. On a global level, there are over 60,000 digital screens. That leaves a lot of room for RealD expansion. Looking ahead, The Motley Fool highlights that 2012 has a very attractive slate of films coming to 3-D, including re-releases of "Titanic" and the "Star Wars" saga, Peter Jackson's "The Hobbit", the rebooted "Spider-Man" series, and superhero movie "The Avengers". Walt Disney (NYSE: DIS) is also churning out 3-D versions of titles from its golden age, including "The Little Mermaid" and "Monsters, Inc."

NOTE - shares jumped over 15% on yesterday's earnings news. Today, the stock is trading up almost another 5% to $11.86.

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