Over the past quarter century, Imax (IMAX) has transformed itself from a niche movie chain into a technology and brand licensing company that does not operate the vast majority of Imax theaters. Instead, it generates revenue via selling and leasing the required proprietary Imax equipment and via digitally remastering standard films into the proprietary Imax format.
The company embraced the switch to digital video, which has allowed Imax to digitally remaster blockbuster films into its proprietary large-screen format at much quicker pace and allow for day and date releases. The 2008 switchover at Imax has driven a rapid expansion of Imax commercial theaters from 210 in 2008 to over 1,150 today.
Neil Macker, CFA does not own shares in any of the securities mentioned above. Find out about Morningstar's editorial policies.