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August 2, 2008

Despite success, The Dark Knight fails to bail out Time-Warner stocks

With The Dark Knight raking in more than $324.3 million at box offices in North America, the movie studio, Warner Bros has a stupendous hit on its hands. However this has not prevented the shares of its parent company Time-Warner from continuing its miserable performance at the stock market.

The Dark Knight released on July 18 to record box office openings, earning up to $10 million a day for eleven straight days. It also posted the biggest opening week earnings in Hollywood history. Since its release the movie has earned around $324.3 million in North America while worldwide box office figures are estimated to cross $800 million. The Dark Knight is already being touted as one of the biggest Hollywood grossers of all times.

However in spite of record-breaking commercial success of The Dark Knight, trade analysts estimate that Warners’ share will be around $440 million of the movie’s global earnings. Time-Warner shares stood at $14.70 on the day of the movie’s release but fell marginally to $14.36 on Monday even as movie was declared to be the biggest opening-weekend grosser. Compared to Time-Warner, toy company Mattel as well as entertainment company Imax seem to have profited more from the smashing success of The Dark Knight.

-Kalyani Mookherji

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Filed under News by Kalyani Mookherji for TheBusinessEdition Edit Desk.
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