DreamWorks Animation announced it will take a $57 million writedown on its latest movie, “Mr. Peabody & Sherman,” during its Q1 earnings Tuesday afternoon.
The animated picture cost DWA an estimated $US145 million to make.
This is the latest in a string of underperforming movies for the studio.
Last year’s “Turbo” — a film about racing snails — took a $13.5 million writedown after a poor summer performance.
Prior to that, the company posted an $83 million loss in Q4 2012 because of “Rise of the Guardians.”
“The box office shortfall of Mr. Peabody & Sherman is evidence of the current challenges we face within our feature film segment, and restoring the strength in our core business is my number one priority today,” said DreamWorks Animation CEO, Jeffrey Katzenberg, in a statement.
This summer, DreamWorks Animation will release the sequel to its popular series, “How to Train Your Dragon.” With no Pixar film slated for this year, the feature should be a strong win for the studio.
“How to Train Your Dragon 2” is set for a June 13 release and is expected to make north of $US75 million opening weekend at this point.
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