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(2017) Digital Domain Holdings Reports $64 Million in Losses

http://variety.com/2017/biz/asia/losses-at-digital-domain-holdings-double-1202020056/

Digital Domain Holdings, the Hong Kong-based visual effects and virtual reality group, saw losses in 2016 more than double to $64.3 million.

The core Digital Domain 3.0 business provided VFX for films including “Beauty and the Beast,” “Deadpool” and “X-Men: Apocalypse” during the year.

Revenues across the group increased 45% from $68 million (HK$527 million) in 2015 to $98.5 million (HK$763 million) last year. Net losses, which totaled $23.1 million (HK$179 million) in 2015, reached $64.3 million (HK$498 million) in 2016.

The company pointed to content development and research and development costs for virtual reality content and games, 360° and virtual humans, and a more than fourfold increase in amortization of intangible assets, as causes of the financial pain.

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