Business Context and Reporting Period
This Form 8-K is a current report filed by Lions Gate Entertainment Corp. on June 14, 2006. The filing serves to disseminate the company's results of operations and financial condition for the fiscal year ended March 31, 2006, as detailed in a press release included as Exhibit 99.1.
Key Financial Metrics
The filing text itself does not provide specific numerical values for revenue, profit, cash flow, margins, debt, or liquidity. Instead, it references a press release (Exhibit 99.1) containing these figures. The document defines the following non-GAAP financial measures used in the report:
- Free Cash Flow: Defined as net cash flows from operating activities less purchases of property and equipment and unpresented bank drafts. The company also reports non-GAAP free cash flow after debt service.
- EBITDA: Defined as earnings before interest, interest rate swaps mark-to-market, income tax provision, depreciation, gain on sale of studio facility, and minority interests.
Material Changes
The filing does not contain specific data regarding material changes versus the prior comparable period. It states that the results for the fiscal year ended March 31, 2006, are set forth in the accompanying press release.
Guidance, Outlook, and Risks
The document does not provide forward-looking guidance or specific risk factors. It includes standard disclosures regarding the use of non-GAAP measures, noting that:
- These measures are in addition to, not a substitute for, GAAP measures.
- EBITDA does not reflect cash available to fund cash requirements.
- Calculations for Free Cash Flow and EBITDA may vary across companies, limiting comparability.
Investor Verification Checklist
- Review Exhibit 99.1 (Press Release) for specific revenue, net income, and cash flow figures for the fiscal year ended March 31, 2006.
- Examine the reconciliation tables in Exhibit 99.1 to understand the adjustments made to derive non-GAAP Free Cash Flow and EBITDA from GAAP results.
- Verify the company's debt service obligations to contextualize the "free cash flow after debt service" metric.
- Confirm the impact of the "gain on sale of studio facility" mentioned in the EBITDA definition on the company's operating performance.