The landscape of the film industry is perpetually evolving, influenced significantly by the interplay of traditional cinema and streaming platforms. One major player in this domain, IMAX, recently highlighted its strategic partnership with Netflix regarding the upcoming exclusive release of Greta Gerwig’s Narnia. This agreement, set for a two-week run starting Thanksgiving 2026, has sparked considerable interest and speculation on Wall Street. IMAX CEO Rich Gelfond, however, has tempered expectations, cautioning investors about the potential for similar deals to materialize shortly thereafter.
In a recent discussion with investors, Gelfond underscored the intricate nature of film distribution deals. He pointed out that the collaboration with Netflix required extensive negotiation, as it needed to satisfy various stakeholders including exhibitors, creative talent, and streaming platforms. Establishing the correct parameters for windowing and screening duration added layers of complexity that are often overlooked in the industry. Such negotiations are compounded by competing interests, as each entity typically harbors distinct agendas and requirements.
Gelfond emphasized the importance of crafting a framework that accommodates these diverse expectations. While he acknowledged the excitements surrounding the Narnia partnership, he indicated that IMAX is not seeking immediate follow-up agreements until mutually beneficial conditions are present. This careful, methodical approach to partnerships may serve IMAX well, positioning the company to maximize the potential of future projects while minimizing undue pressures.
Despite the potential frictions in establishing new collaborations, Gelfond expressed optimism regarding the Narnia project’s success. He articulated that Narnia is uniquely suited to the IMAX experience, particularly in terms of spectacle and audience engagement. The film’s status as the first in what is anticipated to be an eight-film franchise adds to its significance, making it a prime candidate for generating substantial box office returns.
Moreover, IMAX is not merely relying on niche films such as Narnia to buoy its fortunes. With projections indicating a record global box office exceeding $1.2 billion in 2025, fueled by a resurgence in Chinese cinema attendance, IMAX is poised to maximize its operations in both Hollywood and regional markets. Current trends suggest a healthy appetite for high-quality, immersive cinematic experiences, a niche IMAX is well-positioned to exploit.
Transitioning from the narrative-driven sectors, Gelfond hinted that IMAX is strategically expanding its collaboration with high-profile projects beyond fantasy and drama. An example he shared is the alignment with Apple Original Films on a major Formula One racing title. Such partnerships suggest IMAX’s intent to diversify its offerings, catering to varied audience preferences while increasing its footprint in the action and sports genre.
The success of past IMAX titles, coupled with the anticipation of forthcoming blockbusters, exemplifies the dual approach of reinforcing existing franchises while actively seeking collaborations that enhance their programming diversity. Furthermore, the emphasis on experiential films positions IMAX to carve out a significant segment of the cinema market.
Even with optimistic forecasts, IMAX continues to navigate various market challenges, particularly regarding its substantial investment in the Chinese film market. Gelfond acknowledged previous setbacks in this region but pointed out a dramatic turnaround in 2025—particularly following impressive box office performances, such as that of Ne Zha 2, which ultimately became the highest-grossing IMAX release in China.
IMAX was able to leverage its operational model—featuring a rich content portfolio and a diverse distribution network—effectively transforming past challenges into newfound opportunities. The strategic focus on local language films and a growing repertoire of filmed-for-IMAX titles signals a robust recovery and sustained growth potential in the region.
In terms of financial performance, IMAX demonstrated strong growth across its metrics, with fourth-quarter profits more than doubling year-over-year. A substantial increase in global box office receipts, driven by major releases and the burgeoning popularity of local language films, is setting the stage for an ambitious trajectory moving forward. The company’s strategic expansion, including the installation of new IMAX systems, underscores a commitment to growing its market presence.
With expectations for more innovative collaborations and an enhanced emphasis on franchise building, IMAX’s outlook remains bright. Gelfond’s assurance of continued growth in adjusted EBITDA and earnings per share, coupled with a unique content offering, positions the company favorably as it looks toward the future.
As IMAX navigates this multifaceted landscape, striking a balance between traditional cinema and innovative streaming solutions will be critical. The collaborative landscape may be complicated, but the potential rewards for carefully constructed partnerships—such as the successful rollout of Narnia—could redefine the movie-going experience for audiences worldwide. The future of IMAX is not just about surviving; it is about thriving in an evolving entertainment ecosystem.