, Stock Forum
) has put all the right pieces in place and has begun reaping the rewards of its efforts, as shown by the company’s financial results for Q2 2014.
According to the news release, the company had not only increased revenues 88% to $6.35 million for the quarter compared to $3.4 million listed in Q2 2013, but it had also beat the previous quarter’s revenue figures by 54%.
The company also put black on the bottom line with a net income of $503,811 or $0.01 per share, an increase of 111% compared to a net loss of $4.45 million or $0.11 per share for the matching 2013 period.
Operationally, the company was on the move during the quarter with the completion of 3D conversions for Hollywood big budget 2014 releases Maleficent and Godzilla, with the commencement of The Grandmaster for release later this year in China.
Equity investment in Reelhouse was also pushed from 66% to 70% in the quarter as the company shored up its future by increasing its hand in VFX.
The monster partnership agreement with Tiajin Fu Feng Da Movie & Television Technology Investment and Development Co, or “FFD” for those who don’t want to spend the morning say the moniker in its entirety, is coming along nicely with the submission of the required State Administration of Foreign Exchange (“SAFE”) to Chinese authorities by FFD. Once the SAFE certification has been approved, the companies may proceed to complete their transaction.
Gener8 has become a rising star revealing a potential for a great upside with its current relationships and upcoming partnerships. Yes, the public may be fickle and the idea of 3D may wane in the future, but the company has exercised cautious forethought and built a more robust portfolio to include VFX with its continued investment in Reelhouse. If it moves forward to strengthen diversity in its portfolio and solidifies its relationships with China, I think this one is in for a good run.
Gener8 was in the news recently when I highlighted the company in my Tech Roundup at the beginning of August
Shares were up 3.90% on the news to $0.80 per share.
Currently there are 46.1m outstanding shares with a market cap of $36.8 million.