From Glitter & Blood to Arrows & Mud.

While researching the production company, Lionsgate, I learned that while still technically considered a mini-major studio, Lionsgate is showing signs of exponential growth. Much of this growth is attributed to successful film franchises, and television shows, though no other productions have played such an integral role as Twilight & The Hunger Games.  

First, I would like to make it clear that I am in no way a fan of Twilight, though I understand it’s box office success. Despite my feelings about the franchise, Lionsgate made an intelligent investment obtaining the production company responsible for the Twilight saga, and has helped Lionsgate thrive in the industry. Unfortunately, the euphoria of large amounts of tween consumption may dwindle after the release of the last Twilight movie, so Lionsgate is now looking to The Hunger Games as a cash crop that will help improve the value of Lionsgate shares.

In an article for the Hollywood Reporter, Paul Bond wrote that shares for Lionsgate jumped fourteen percent largely because of the strong revenue generated by The Hunger Games’ DVD/Blu-Ray sales. He then goes on to mention that revenue doubled to just over $700 Million while analysts expected just $623 million. This shows me that even without Twilight, Lionsgate has a chance to remain a key player in the industry, if the next three Hunger Games movies attract the same hype and match the revenue the first film in the series generated.

To break down the impact the Hunger Games can have on Lionsgate, lets compare the first Games movie, to the Twilight series. The top three highest grossing Twilight movies, in order of highest grossing to lowest, were Eclipse, New Moon, and Breaking Dawn part one.  Eclipse grossed $300 Million domestically and cost $68 Million to make. The Hunger Games on the other hand grossed $408 Million with a budget of $78 Million. This shows that the Hunger Games is more than 90 Million dollars more profitable compared to Twilight; A good sign for Lionsgate, seeing as they did not have to acquire any companies to produce it, so aside from the actual production of the film, there are no extra expenses that come with obtaining another company and reaping the benefits.