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Segment Reporting
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Segment Reporting
13. Segment Reporting

The Company’s Chief Executive Officer (“CEO”) is its Chief Operating Decision Maker (“CODM”), as such term is defined under U.S. GAAP. The CODM assesses segment performance based on segment revenues and segment gross margins. Selling, general and administrative expenses, research and development costs, the amortization of intangible assets, provision for (reversal of) current expected credit losses, certain write-downs, interest income, interest expense, and income tax (expense) benefit are not allocated to the Company’s segments.

The accounting policies of the reportable segments are the same as those described in Note 2 - Summary of Significant Accounting Policies of the 2024 Form 10-K. Intercompany profit or loss is not included in the evaluation of performance and allocation of resources.
Segment Financial Information

The following table presents the Company’s revenue and gross margin by reportable segment for the three months ended September 30, 2025 and 2024:

Revenue(1)
Gross Margin
(In thousands of U.S. Dollars)
2025202420252024
Content Solutions
$44,832 $30,129 $31,923 $16,449 
Technology Products and Services
60,420 57,971 34,820 31,964 
Sub-total for reportable segments
105,252 88,100 66,743 48,413 
All Other
1,402 3,352 528 2,606 
Total$106,654 $91,452 $67,271 $51,019 
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(1)The Company’s largest customer represents 10% of total Revenues for the three months ended September 30, 2025 (2024 — 13%). No single customer comprised more than 10% of the Company’s total Accounts Receivable balance as of September 30, 2025. No single customer accounted for more than 10% of the Company’s total Accounts Receivable balance as of December 31, 2024.
The following table presents the Company’s revenue and gross margin by reportable segment for the nine months ended September 30, 2025 and 2024:

Revenue(1)
Gross Margin
(In thousands of U.S. Dollars)
2025202420252024
Content Solutions
$113,046 $99,218 $77,908 $54,686 
Technology Products and Services
166,652 152,019 94,084 81,331 
Sub-total for reportable segments
279,698 251,237 171,992 136,017 
All Other
5,307 8,299 2,057 5,818 
Total$285,005 $259,536 $174,049 $141,835 
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(1)The Company’s largest customer represented 9% of total Revenues for the nine months ended September 30, 2025 (2024 — 11%). No single customer comprised more than 10% of the Company’s total Accounts Receivable as of September 30, 2025. No single customer comprised more than 10% of the Company’s total Accounts Receivable as of December 31, 2024.
The following table presents the Costs and Expenses Applicable to Revenues for the Content Solutions segment that is made available to the CODM as part of the Company’s annual and quarterly financial reporting requirements in accordance with U.S. GAAP:

Content Solutions Segment:
Three Months Ended September 30,
Nine Months Ended September 30,
(In thousands of U.S. Dollars)
2025202420252024
Revenue
$44,832 $30,129 $113,046 $99,218 
Film asset amortization
4,571 4,792 14,100 18,659 
Marketing and other selling expenses
4,218 5,172 10,068 11,848 
Co-produced film participation expenses
164 166 343 3,151 
Other segment expenses(1)
3,956 3,550 10,627 10,874 
Total Costs and Expenses Applicable to Revenues
12,909 13,680 35,138 44,532 
Gross Margin
$31,923 $16,449 $77,908 $54,686 
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(1)Included within the Other segment expenses are costs related to film distribution, post production costs, production costs, and network connectivity fees.

The following table presents the Costs and Expenses Applicable to Revenues for the Technology Products and Services reportable segment that is made available to the CODM as part of the Company’s annual and quarterly financial reporting requirements in accordance with U.S. GAAP:


Technology Products and Services Segment:
Three Months Ended September 30,
Nine Months Ended September 30,
(In thousands of U.S. Dollars)
2025202420252024
Revenue
$60,420 $57,971 $166,652 $152,019 
Depreciation of equipment supporting JRSAs
5,841 5,516 17,219 17,011 
Marketing and other selling expenses
597 386 1,252 1,062 
Write-down of equipment supporting JRSAs
478 523 566 2,660 
Write-down of inventory
98 150 201 266 
Other segment expenses(1)
18,586 19,432 53,330 49,689 
Total Costs and Expenses Applicable to Revenues
25,600 26,007 72,568 70,688 
Gross Margin
$34,820 $31,964 $94,084 $81,331 
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(1)Included within the Other segment expenses are costs related to the manufacturing and build of IMAX Systems recognized in the period, maintenance and warranty costs, and other product related costs. Also included is a recovery of $0.5 million for insurance proceeds received during the nine months ended September 30, 2025, associated with inventory costs that were previously written off. The total proceeds received were $0.7 million, and the incremental gain of $0.2 million was recognized in selling, general and administrative expenses.
Geographic Information

Revenue by geographic area is based on the location of the customer. Revenue related to IMAX Film Remastering process is presented based upon the geographic location of the IMAX System that exhibits the remastered films. IMAX Film Remastering and distribution revenue is generated through contractual relationships with studios and other third parties that may not be in the same geographical location as the IMAX Systems that exhibit the remastered films.

The following table summarizes the Company’s revenues by geographic area for the three and nine months ended September 30, 2025 and 2024:
Three Months Ended
Nine Months Ended
September 30,September 30,
(In thousands of U.S. Dollars)2025202420252024
United States$39,507 $38,363 $104,469 $103,263 
Greater China20,270 21,324 78,072 65,527 
Asia (excluding Greater China)
23,235 16,930 41,838 35,643 
Western Europe
14,050 3,741 35,715 28,440 
Latin America3,034 2,954 7,141 6,672 
Canada3,041 1,687 6,937 7,254 
Rest of the World3,517 6,453 10,833 12,737 
Total$106,654 $91,452 $285,005 $259,536 

The United States, Greater China (which includes the mainland of the People’s Republic of China, Hong Kong, Macau, and Taiwan), Western Europe, and Asia (excluding Greater China) each comprise greater than 10% of the Company’s total revenues for the three and nine months ended September 30, 2025 and 2024.