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Segment Information
 3 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company has two reportable business segments as discussed in Note 1: (1) Motion Picture and (2) Television Production.

(1) Motion Picture. Motion Picture consists of the development and production of feature films, acquisition of North American and worldwide distribution rights, North American theatrical, home entertainment and television distribution of feature films produced and acquired, and worldwide licensing of distribution rights to feature films produced and acquired.
(2) Television Production. Television Production consists of the development, production and worldwide distribution of television productions including television series, television movies and mini-series and non-fiction programming. Television Production includes the licensing of Starz original series productions to Starz, and the ancillary market distribution of Starz original productions and licensed product (prior to the Starz Separation, licensing to the former Media Networks segment). Additionally, the Television Production segment includes the results of operations of 3 Arts Entertainment.

In the ordinary course of business, the Company’s reportable segments enter into transactions with one another. Prior to the Starz Separation, the most significant intersegment transactions were licenses of motion pictures and television programming, including Starz original productions, from the Motion Picture and Television Production segments to the former Media Networks segment. These transactions were included in segment results but eliminated in consolidation. Following the Starz Separation, licensing transactions between the Company and Starz are no longer eliminated in consolidation and are reflected in consolidated results from continuing operations. See Note 2 for details related to the continuing involvement of the Company and Starz and the related impact on revenue.

Segment information for the three months ended June 30, 2026 and 2025 is presented in the tables below:
Three Months Ended
June 30,
2026
2025
(Amounts in millions)
Segment revenues
Studio Business:
Motion Picture
$
587.3 
$
267.3 
Television Production
189.3 
288.5 
Total Studio Business
776.6 
555.8 
Intersegment eliminations
— 
(29.9)
776.6 
525.9 
Intersegment revenues
Studio Business:
Motion Picture
— 
3.1 
Television Production
— 
26.8 
Intersegment eliminations
— 
29.9 
Segment direct operating expenses
Studio Business:
Motion Picture
340.4 
136.7 
Television Production
151.5 
239.6 
Total Studio Business
491.9 
376.3 
Intersegment eliminations
— 
(42.7)
491.9 
333.6 
Segment distribution and marketing
Studio Business:
Motion Picture
109.8 
105.8 
Television Production
12.0 
12.3 
Total Studio Business
121.8 
118.1 
Segment general and administration
Studio Business:
Motion Picture
32.1 
22.4 
Television Production
15.6 
10.6 
Total Studio Business
47.7 
33.0 
Segment profit
Studio Business:
Motion Picture
105.0 
2.4 
Television Production
10.2 
26.0 
Total Studio Business
115.2 
28.4 
Intersegment eliminations
— 
12.8 
$
115.2 
$
41.2 

The CODM uses segment profit to evaluate the current operating performance of each segment, support future operating plans and forecasts and to allocate resources. Segment profit is defined as segment revenues, less segment direct operating, segment distribution and marketing and segment general and administration expenses. Segment profit excludes, when applicable, corporate general and administrative expenses, restructuring and other costs, share-based compensation, certain content charges as a result of changes in management and/or content strategy, unallocated rent cost and purchase accounting and related adjustments. The Company believes the presentation of segment profit is relevant and useful for investors because it allows investors to view segment performance in a manner similar to the method used by the Company’s CODM.
The following table reconciles total segment profit to the Company’s loss from continuing operations before income taxes for the three months ended June 30, 2026 and 2025:
Three Months Ended
June 30,
2026
2025
(Amounts in millions)
Total segment profit
$
115.2 
$
41.2 
Corporate general and administrative expenses(1)
(35.9)
(32.1)
Adjusted depreciation and amortization(2)
(3.4)
(3.5)
Restructuring and other
(2.9)
(4.8)
Unallocated rent cost included in direct operating expense(3)
(5.1)
(5.4)
Adjusted share-based compensation expense(4)
(40.3)
(2.8)
Purchase accounting and related adjustments(5)
(2.0)
(3.2)
Operating income (loss)
25.6 
(10.6)
Interest expense
(56.9)
(68.7)
Interest and other income
4.8 
4.4 
Other gain (loss), net
3.7 
(17.0)
Loss on extinguishment of debt
— 
(1.0)
Gain on investments, net
1.3 
8.8 
Equity interests loss
— 
(1.2)
Loss from continuing operations before income taxes
$
(21.5)
$
(85.3)
___________________
(1)Corporate general and administrative expenses include certain corporate executive expense (such as salaries and wages for the office of the Chief Executive Officer, Chief Financial Officer, General Counsel and other corporate officers), investor relations costs, costs of maintaining corporate facilities, and other unallocated common administrative support functions, including corporate accounting, finance and financial reporting, internal and external audit and tax costs, corporate and other legal support functions, and certain information technology and human resources expense. Corporate general and administrative expenses also include costs that were previously incurred in support of the Media Networks segment but are not directly attributable to it and thus were not recorded in discontinued operations, see Note 2.
(2)Adjusted depreciation and amortization represent depreciation and amortization as presented on the unaudited condensed consolidated statements of operations less the depreciation and amortization related to the non-cash fair value adjustments to property and equipment and intangible assets acquired in acquisitions which are included in the purchase accounting and related adjustments line item above, as shown in the table below:
Three Months Ended
June 30,
2026
2025
(Amounts in millions)
Depreciation and amortization
$
4.4 
$
4.4 
Less: Amount included in purchase accounting and related adjustments
(1.0)
(0.9)
Adjusted depreciation and amortization
$
3.4 
$
3.5 

(3)Amounts represent rent cost for production facilities that were unutilized due to lower demand following the industry strikes and, as such, are not allocated to the Company’s segments.
(4)The following table reconciles total share-based compensation expense to adjusted share-based compensation expense for the three months ended June 30, 2026 and 2025:
Three Months Ended
June 30,
2026
2025
(Amounts in millions)
Share-based compensation expense
$
41.1 
$
1.7 
Less: Amount included in restructuring and other(i)
(0.8)
1.1 
Adjusted share-based compensation
$
40.3 
$
2.8 
___________________
(i)Amounts represent share-based compensation (expense) benefit recorded within restructuring and other expenses, attributable to the accelerated vesting of equity awards pursuant to certain severance arrangements.
(5)    Purchase accounting and related adjustments primarily consist of the amortization of non-cash fair value adjustments to certain assets acquired in acquisitions. The table below presents the amounts included in each financial statement line item for the three months ended June 30, 2026 and 2025:
Three Months Ended
June 30,
2026
2025
(Amounts in millions)
Purchase accounting and related adjustments:
General and administrative expense(i)
$
1.0 
$
2.3 
Depreciation and amortization
1.0 
0.9 
Total purchase accounting and related adjustments
$
2.0 
$
3.2 
___________________
(i)Amounts represent compensation expense associated with the noncontrolling equity interests in the distributable earnings of 3 Arts Entertainment. Due to the link to continued employment performance, these amounts are classified as general and administrative expense instead of noncontrolling interest in the consolidated statements of operations.

See Note 10 for revenues by media or product line as broken down by segment for the three months ended June 30, 2026 and 2025.

The following table reconciles total segment general and administration expenses to the Company’s total consolidated general and administration expenses for the three months ended June 30, 2026 and 2025 as presented on the unaudited condensed consolidated statement of operations:
Three Months Ended
June 30,
2026
2025
(Amounts in millions)
General and administration
Segment general and administrative expenses
$
47.7 
$
33.0 
Corporate general and administrative expenses
35.9 
32.1 
Share-based compensation expense included in general and administrative expense
40.3 
2.8 
Purchase accounting and related adjustments
1.0 
2.3 
Total general and administration expenses
$
124.9 
$
70.2 

The following table reconciles total segment assets to the Company’s total consolidated assets as presented on the unaudited condensed consolidated balance sheets:
 
June 30,
2026
March 31,
2026
(Amounts in millions)
Assets
Motion Picture
$
2,125.5 
$
2,247.2 
Television Production
2,331.4 
2,288.5 
Other unallocated assets(1)
876.1 
791.4 
Total assets
$
5,333.0 
$
5,327.1 
___________________
(1)Other unallocated assets primarily consist of cash, other assets and investments.