Slide 1: Investor Presentation July 2024
I N V E S TO R P R E S E N TAT I O N J U LY 2024
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation contains forward looking statements that are based on IMAX® to respond to change and advancements in technology; risks relating to consolidation management's assumptions and existing information and involve certain risks and among commercial exhibitors an
Slide 3: Strategic Update
Strategic Update Richard Gelfond Chief Executive Officer
Slide 4: Unique IMAX Platform Drives Strong Profitability and Long-Term Growth Opportunities
INVESTMENT HIGHLIGHTS Unique IMAX Platform Drives Strong Profitability and Long-Term Growth Opportunities IMAX is the Unrivaled premium Unmatched global Significant growth Strong operating Attractive capital future of moviegoing luxury brand network scale potential leverage position 4 5 6 +28% >50%
Slide 5: IMAX is a Consistent Winner in the Dynamic Media and Entertainment Landscape
IMAX IS IN A STRONG INDUSTRY POSITION IMAX is a Consistent Winner in the Dynamic Media and Entertainment Landscape IMAX Benefits From Strong Secular Tailwinds 2025 Filmed for IMAX titles more than double previous record Growing Demand for IMAX Amongst Top 10 movies as a % of total Filmmakers and Stu
Slide 6: IMAX Box Office Nearly Back to Pre-Pandemic Levels
IMAX Box Office Nearly Back to Pre-Pandemic Levels With Current 2026 Consensus 10% Above 2019 Industry Box Office Improving However Trails IMAX Industry Historical Global Box Office ($, bn) IMAX Historical Box Office ($, mn) +10% $41.9 $41.8 $42.3 $1,219 $1,168 $1,109 $1,032 $1,059 $1,031 $33.9 $977
Slide 7: End-to-End Technology Powers Creativity from Creation to Delivery
End-to-End Technology Powers Creativity from Creation to Delivery THE IMAX EXPERIENCE SHOT WITH IMAX VIEWED IN THE MOST AMPLIFIED BY IMAX EXTENDING TO THE OPTIMIZED BY IMAX CAMERAS IMMERSIVE FORMAT HOME Lightyear Movies shot with IMAX certified IMAX’s proprietary digital IMAX’s comprehensive solutio
Slide 8: Robust Growth Across Financial Metrics in 2023
STRONG OPERATING LEVERAGE DRIVES ACCELERATED PROFIT GROWTH Robust Growth Across Financial Metrics in 2023 $ in millions $ in millions REVENUE T O TA L C O N S O L I D AT E D A D J E B I T D A (1)(3) +25% +51% $375 $301 $144 $96 2022 2023 2022 2023 $ in millions GROSS MARGIN A D J U S T E D E P S (3)
Slide 9: Full-Year 2024 Guidance
FULL-YEAR 2024 GUIDANCE IMAX Box Office Total Consolidated Adjusted Installations EBITDA2 Margin % 2024 Similar level to 2023 130 – 1501 High 30’s Percent Guidance Increased from 120-150 2023 $1.06B 128 38.4% Actuals 2022 $850M 92 31.8% Actuals Expect growth acceleration in 2025: At least high-singl
Slide 10: A Truly Global Premium Entertainment Platform
A TRULY GLOBAL PREMIUM ENTERTAINMENT PLATFORM W E S T E R N E U R O P E 1,705 C A N A D A 43 129 Commercial Multiplex Locations 89 Countries & Territories U N I T E D S T A T E S 364 G R E A T E R C H I N A IMAX network 790 100+ accounts for >50% of 1-99 L A T I N total global premium None A M E R I
Slide 11: Significant Rest of World Opportunity – Less Than 35% Penetrated
IMAX WORLDWIDE TARGET MARKET Significant Rest of World Opportunity – Less Than 35% Penetrated 1,488 1,414 3,619 430 30% 852 57% 1541 43% 194 14% Unpenetrated Market 717 IMAX New System Backlog 373 10% IMAX Network 259 36% 128 9% 51 7% 790 56% 47% 1705 508 34% 407 57% Domestic Greater China RoW TOTAL
Slide 12: Strong Share of Global Box Office on Less than 1% of Screens
RISING MARKET SHARE ACROSS GLOBAL BOX OFFICE Strong Share of Global Box Office on Less than 1% of Screens IMAX BOX OFFICE MARKET SHARE 1 6.0% 5.2% 5.0% 4.8% 4.4% 4.4% 4.2% 3.8% 3.9% 4.0% 3.7% 3.7% 3.5% 3.2% 3.3% 3.0% 3.3% 3.2% 3.2% 3.0% 3.0% 2.6% 2.5% 2.2% 2.3% 2.3% 2.2% 2.1% 2.1% 2.0% 1.6% 1.7% 1.7
Slide 13: Expanding Strategy to Deliver the Most Diverse IMAX Content Portfolio Ever
CONTENT STRATEGY Expanding Strategy to Deliver the Most Diverse IMAX Content Portfolio Ever Core Content Recent Expansion Emerging Opportunity A LT E R N A T I V E H O L LY W O O D LOCAL LANGUAGE D O C U M E N TA R I E S 1 CONTENT 76% of 2023 21% of 2023 <1% of 2023 commercial box office commercial
Slide 14: Growing IMAX Fandom Fueling Demand
Growing IMAX Fandom Fueling Demand for IMAX by Consumers, Exhibitors, Studios and Filmmakers Increasing IMAX Blockbuster Market Share … Driving demand by Filmmakers and Studios to work with IMAX Top 10 Grossing IMAX Titles – Domestic Opening Weekend Global Number of Titles per Year in Filmed For IMA
Slide 15: Solid 2024 Slate for the IMAX Network
U P C O M I N G E X P E C T E D 2 0 2 4 H O L L Y W O O D S L A T E Solid 2024 Slate for the IMAX Network J U L Y J U L Y J U L Y A U G U S T A U G U S T A U G U S T S E P T E M B E R S E P T E M B E R S E P T E M B E R S E P T E M B E R S E P T E M B E R O C T O B E R O C T O B E R N O V E M B E R
Slide 16: Exceptional Slate Expected in 2025
E X P E C T E D 2 0 2 5 S L A T E Exceptional Slate Expected in 2025 – Record Number of Filmed for IMAX titles J A N U A R Y J A N U A R Y F E B R U A R Y M A R C H A P R I L A P R I L M A Y M A Y M A Y J U N E UNTITLED UTITLED RYAN COOGLER FLOWERVALE CHINESE NEW MICHAEL /MICHAEL B. STREET YEAR JORD
Slide 17: Exceptional Slate Continues in 2026
U P C O M I N G E X P E C T E D 2 0 2 6 H O L L Y W O O D S L A T E Exceptional Slate Continues in 2026 including Mega Franchise Star Wars and Avenger Films PROJECT HAIL MARY Avatar carry-over from 2025 into 2026 IMAX INVESTOR PRESENTATION *Release slate reflects current studio scheduling as of 7/1/
Slide 18: Local Language Content Drives Demand and Incrementality in Key Growth Markets
LOCAL LANGUAGE GROWTH Local Language Content Drives Demand and Incrementality in Key Growth Markets • Record LL Box Office : $227 million, ~21% of IMAX 2023 box office LOCAL LANGUAGE TITLE GROWTH • Record LL Titles: 59 local language titles in 2023 (64% growth 60+ TITLES EXPECTED IN 2024 YoY) with m
Slide 19: Financial Review
Financial Review Natasha Fernandes Chief Financial Officer
Slide 20: Executed and Delivered on 2023 Full Year Guidance
2023 FINANCIAL PERFORMANCE Executed and Delivered on 2023 Full Year Guidance 2023 Guidance 2023 Results (announced on 4Q22 earnings call) IMAX Global Box Set numerous Box Office records, ~$1.1 Billion improved 25% YoY $1.06B Office Adj. EBITDA1 Margin - Strong operating leverage drove Mid-30’s 650 b
Slide 21: Second Quarter 2024 Financial Performance
SECOND QUARTER 2024 FINANCIAL PERFORMANCE Momentum Builds into Second Half as Hollywood Strike Impacts Dissipate $ IN MILLIONS except per diluted share data and Q2 2024 Q2 2023 1H 2024 1H 2023 FIRST HALF 2024 HIGHLIGHTS network data Global Box Office $196 $269 $457 $542 Global Commercial Network 1,7
Slide 22: Strong Operating Leverage – Higher Box Office Drives Higher Adjusted EBITDA Margin
Strong Operating Leverage – Higher Levels of Box Office Drive Predictably Higher Adjusted EBITDA Margin % IMAX Quarterly Box Office correlation to Quarterly Total Adjusted EBITDA Margin %1 60% 50% Total Adjusted EBITDA Margin % 40% 2025 Target: 40%+ 30% Correlation Coefficient 88% 20% 10% 0% $0 $50,
Slide 23: Strong Systems Installations Growth with 24 Installs in 2Q
SYSTEMS NETWORK GROWTH DRIVERS Strong Systems Installations Growth of 20% with 24 Installs in 2Q BACKLOG PIPELINE 504 1H 2024 FULL YEAR 2023 450 131 TOTAL TOTAL TOTAL TOTAL SIGNINGS INSTALLATIONS SIGNINGS INSTALLATIONS 68 Upgrades Joint Revenue Sharing 30 15 64 70 Hybrid JRSA Sales Sales 116 132 Hyb
Slide 24: Low Leverage Model with Improving Cash Flow and Strong Liquidity
Low Leverage Model with Improving Cash Flow and Strong Liquidity OP E R AT I N G C ASH F LOW ( $ IN MILLIO NS ) DE BT M AT UR I T Y LA DDE R ($ I N M I LLI ON S) $250 $60 $200 $30 $59 $150 $24 $231 $17 $100 $- $6 $50 $(23) $1 $54 $1 $- $(30) 2024 2025 2026 2027 2020 2021 2022 2023 1H24 CASH & LIQUID
Slide 25: IMAX Repurchased $175M, 19% of Shares Outstanding Since 2020
DELIVERING VALUE THROUGH SHARE REPURCHASE IMAX Repurchased $175M, 19% of Shares Outstanding Since 2020 YEAR-END SHARES SHARES REPURCHASED AVERAGE OUTSTANDING PAST 4 YEARS1 REPURCHASE PRICE ( I N T H O U S A N D S ) ( I N T H O U S A N D S ) Shares Repurchased % Repurchased (Cum) 6,000 25% 5,000 20%
Slide 26: Attractive Cash Flow Model
ATTRACTIVE CASH FLOW MODEL Full Year 2023 & 1H24 Cash Flow Reflects Continued Strength of Financial Model $ IN MILLIONS $ IN MILLIONS $58.6 $24.1 $43.8 $18.2 $25.8 $9.8 $8.4 $18.0 $6.5 $8.3 $2.7 $3.2 2023 Operating PP&E Investment FCF Before Investments In 2023 Free 1H24 Operating PP&E Investment FC
Slide 27: IMAX Investor Key Messages – Momentum is Accelerating
IMAX Investor Key Messages – Momentum is Accelerating • IMAX is the leading premium cinematic platform with a brand associated with quality - industry position strengthened post- pandemic with secular tailwinds towards premium and blockbusterization of moviegoing • Significant opportunity to increas
Slide 28: Appendix
A P P E N D I X IMAX INVESTOR PRESENTATION
Slide 29: Appendix: How IMAX Makes Money
Appendix: How IMAX Makes Money Segment Customer Revenue Streams 2023 Revenue Comments IMAX earns a percentage of box office from studios for remastering and distribution of films in the IMAX network. Film Remastering & $119M Revenue is recognized as box office is earned. Content Solutions Studios an
Slide 30: Use of Non-GAAP Financial Measures
USE OF NON -GAAP FINANCIAL MEASURES In this presentation, the Company presents adjusted net income attributable to common shareholders and deferred financing costs. Adjusted EBITDA per Credit Facility is defined as EBITDA excluding: (i) share-based and adjusted net income attributable to common shar
Slide 31: Second Quarter 2024 Non-GAAP Reconciliation — Adjusted Net Income
SECOND QUARTER 2024 NON -GAAP FINANCIAL RECONCILIATION — ADJUSTED NET INCOME 3 MONTHS ENDED JUNE 3 MONTHS ENDED JUNE 6 MONTHS ENDED JUNE 6 MONTHS ENDED JUNE 30, 2024 30, 2023 30, 2024 30, 2023 $ IN THOUSANDS, EXCEPT Net Income Per Share Net Income Per Share Net Income Per Share Net Income Per Share
Slide 32: Second Quarter 2024 Non-GAAP Reconciliation — Adj. EBITDA
SECOND QUARTER 2024 NON -GAAP FINANCIAL RECONCILIATION — ADJ. EBITDA $ IN THOUSANDS 3 MONTHS ENDED 3 MONTHS ENDED 6 MONTHS ENDED 6 MONTHS ENDED JUNE 30, 2024 JUNE 30, 2023 JUNE 30, 2024 JUNE 30, 2023 Revenues $ 88,961 $ 97,979 $ 168,084 $ 184,925 $ 14,736 Reported Net Income $ 5,073 $ 9,613 $ 10,493
Slide 33: Non-GAAP Reconciliation — Free Cash Flow
NON-GAAP FINANCIAL RECONCILIATION — FREE CASH FLOW 6 MONTHS ENDED JUNE 30, 2024 $ IN THOUSANDS Net Cash Provided by Operating Activities $ 24,070 Purchase of Property, Plant and Equipment (2,690) Acquisition of Other Intangible Assets (3,191) Free Cash Flow Before Growth CAPEX 18,189 Investment in E
Slide 34: 2023 Non-GAAP Reconciliation — Adjusted Net Income
2023 NON-GAAP FINANCIAL RECONCILIATION — ADJUSTED NET INCOME FULL YEAR 2023 $ IN THOUSANDS, EXCEPT EPS DATA Net Income Per Share Net Income Attributable to Common Shareholders $ 25,355 $ 0.46 Adjustments: Share-Based Compensation 23,184 0.42 Unrealized Investment Gains (558) (0.01) Transaction-Relat
Slide 35: Full Year 2023 Non-GAAP Reconciliation — Adj. EBITDA
FULL YEAR 2023 NON-GAAP FINANCIAL RECONCILIATION — ADJ. EBITDA FULL YEAR 2023 FULL YEAR 2022 Attributable to Less: Attributable to Non- Less: Attributable to Attributable to $ IN THOUSANDS Non-Controlling Interests & Attributable to Non- Controlling Interests & Attributable to Non- Common Shareholde