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Discontinued Operations
 3 Months Ended
Jun. 30, 2026
Discontinued Operations and Disposal Groups [Abstract]  
Discontinued Operations Discontinued Operations
As described in Note 1, on May 6, 2025, the Starz Separation was completed. As the Starz Separation represented a strategic shift that had a major effect on the Company’s operations and financial results, the historical results of operations of the Starz Business, previously presented as the Media Networks segment of Old Lionsgate, are presented as discontinued operations through the separation date.

Loss from discontinued operations, reflecting the results of the Starz Business through May 6, 2025 for the three months ended June 30, 2025, is as follows:
Three Months Ended
June 30,
2025
(Amounts in millions)
Revenues
$
127.3 
Expenses:
Direct operating
71.7 
Distribution and marketing
26.3 
General and administration
10.0 
Depreciation and amortization
19.6 
Restructuring and other
13.5 
Total expenses
141.1 
Operating loss
(13.8)
Interest expense
(0.4)
Other loss, net
(0.6)
Loss from discontinued operations before income taxes
(14.8)
Income tax provision
(0.1)
Net loss from discontinued operations, net of income taxes
$
(14.9)

General and administrative corporate overhead costs previously allocated to the Starz Business that did not meet the criteria to be presented as discontinued operations were excluded from the amounts presented above. Expenses incurred directly related to the Starz Separation during the three months ended June 30, 2025, including legal, accounting and tax advisory services of $6.3 million, are reflected as discontinued operations.

Discontinued operations include only interest expense and related costs directly attributable to the Starz Business or associated with debt obligations that remained with Starz post-separation, primarily related to certain Starz-issued notes and other directly related obligations. No other interest expense was allocated to discontinued operations.

Continuing Involvement with Starz Entertainment Corp.

Transition Services Agreement. In connection with the Starz Separation, the Company and Starz entered into a transition services agreement pursuant to which the Company and Starz provide to each other, on an interim, transitional basis, various services, such as services related to production (such as music creative/supervision), finance, accounting, legal, information technology, human resources, investor relations, employee benefits and other services, for periods generally up to thirteen (13) months following the completion of the Starz Separation. During the three months ended June 30, 2026, the Company recognized $0.1 million of transition services agreement reimbursement, recorded as a reduction to general and administration expense within continuing operations.

Content Licensing. Following the Starz Separation, the Company and Starz continue to be parties to certain commercial agreements, including: (i) master originals content licensing agreements granting Starz subscription video on demand (“SVOD”) and pay television rights to certain first-run original series owned by the Company in the U.S. and Canada; (ii) library license agreements granting Starz SVOD and pay television rights to certain library series and film content owned by the Company in the U.S. and Canada; (iii) a multiyear pay-one television output arrangement granting Starz an exclusive U.S. pay television/SVOD license to Lionsgate- or Summit-branded films theatrically released in the U.S.; and (iv) a distribution agreement authorizing the Company, on an exclusive basis, to globally distribute off-platform linear, on-demand, and transactional rights to certain original series owned by Starz (subject to holdbacks to preserve periods of exclusivity for Starz’s platforms). These agreements have varying terms, with certain library license agreements extending through at least 2028 and the pay television/SVOD arrangement with license periods extending through at least 2037. The Company recognized $42.6 million and $82.5 million of revenue from these licensing agreements within continuing operations for the three months ended June 30, 2026 and 2025, respectively. The Company received $100.7 million and $60.3 million of cash related to such agreements during the three months ended June 30, 2026 and 2025, respectively.