IMAX : Q3 2019 Supplemental Slides

Third Quarter 2019 Financial Results

October 31, 2019

® IMAX Corp.

Forward-Looking Statements

This presentation contains forward looking statements that are based on IMAX®management's assumptions and existing information and involve certain risks and uncertainties which could cause actual results to differ materially from future results expressed or implied by such forward looking statements. Important factors that could affect these statements include, but are not limited to, references to future capital expenditures (including the amount and nature thereof), business and technology strategies and measures to implement strategies, competitive strengths, goals, expansion and growth of business, operations and technology, plans and references to the future success of IMAX Corporation together with its consolidated subsidiaries (the "Company") and expectations regarding the Company's future operating, financial and technological results.

These forward-looking statements are based on certain assumptions and analyses made by the Company in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors it believes are appropriate in the circumstances. However, whether actual results and developments will conform with the expectations and predictions of the Company is subject to a number of risks and uncertainties, including, but not limited to, risks associated with investments and operations in foreign jurisdictions and any future international expansion, including those related to economic, political and regulatory policies of local governments and laws and policies of the United States and Canada; risks related to the Company's growth and operations in China; the performance of IMAX DMR®films; the signing of theater system agreements; conditions, changes and developments in the commercial exhibition industry; risks related to currency fluctuations; the potential impact of increased competition in the markets within which the Company operates; competitive actions by other companies; the failure to respond to change and advancements in digital technology; risks relating to recent consolidation among commercial exhibitors and studios; risks related to new business initiatives; conditions in the in-home and out-of-home entertainment industries; the opportunities (or lack thereof) that may be presented to and pursued by the Company; risks related to cyber-security and data privacy; risks related to the Company's inability to protect the Company's intellectual property; general economic, market or business conditions; the failure to convert theater system backlog into revenue; changes in laws or regulations; the failure to fully realize the projected cost savings and benefits from any of the Company's restructuring initiatives; and other factors, many of which are beyond the control of the Company. These factors, other risks and uncertainties and financial details are discussed in IMAX's most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. The Company undertakes no obligation to update publicly or otherwise revise any forward looking statements, whether as a result of new information, future events or otherwise.

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Strategic Update

Richard Gelfond

Chief Executive Officer

Focus on Growing Our Core Business

Strategic Actions Taken …

Enhance

End-to-End

Technology/

IMAX Experience

IMAX Enhanced &

Non-Traditional Content

Core

Business

… Driving Strong Performance in Q3 Across KPIs1

Revenue	+5%
Global Box Office	+19%
Global Commercial Theatre Network	+9%
Gross Margin ($)	+12%
Gross Profit Margin (%)	~+310 bps
GAAP Net Income / EPS	+45% / +50%

More

Improve

Net Income2/ EPS2

+80% / +88%

Effectively Market

Performance

Our Brand

of China

Business

Adj. EPS2	+50%
Adj. EBITDA ($)2	+26%
Adj. EBITDA Margin (%)2	~+570 bps

Source: Company Data

1. Percentage and other changes refer to third quarter 2019 vs. third quarter 2018 unless otherwise noted.
2. Attributable to common shareholders.

Focusing on Our Strategy, Delivering Solid Results and Setting Foundation For Growth

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The IMAX Ecosystem

Deeply Embedded in

the Fabric of the Global

Entertainment Industry

Consumers

The IMAX Experience

Eventicize Content

Exhibitors

Marketing

Eventicize Content

Drive Pricing

Drive Volume

Creatives/

Filmmakers

Cameras

Pre / Post Production

Aspect Ratio

Eventicize Content

Studios

DMR

Marketing

Eventicize Content

Post-Production

Streamers

Eventicize Content

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Growing and Diversifying Our

1,473 Commercial Theatres in 81 Countries 1

Global Network

Q3 2019 Highlights

• Overall Commercial Network Growth of 9%
• Notable Signed Deals:
• • Saudi Arabia, 12 systems (New)
  • China, 6 systems (New)
  • Austria, 2 systems (Upgrades)
  • India, 2 systems (New)
  • Indonesia, 2 systems (Upgrades)

North America

408

(+4) 2

Central America

24

(+1) 2

100+

26 - 100

11 - 25

6 - 10

1 - 5 None

Notes:

1. Commercial theatres only
2. Compared to Q3 2018

Africa

12

(+0) 2

South America

25

(+3) 2

Europe

199

(+19) 2

Asia Pacific

781

(+96) 2

Middle East

24

(+4) 2

Source: Company Data

• of GBO Outside North America Providing Strong Geographic Diversification

6

China - Increasing Market Share

	Mainland China Box Office
	IMAX Growth vs. Industry Growth
IMAX % Share of Screens	(RMB terms, ex. booking fee)
	27.0%

1.00%					IMAX Mainland China Box Office YoY Growth
0.97%				Industry Box Office YoY Growth
	0.96%

15.1%

7.8% 8.0%

4.9%

2.9%

2017

2018

1H19

2017

2018

Through 10/7/19

Source: Company Data

Strong Positioning In the Chinese Market Reflected in Outperformance vs. the Industry

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Extending TheIMAX Experience®

TheIMAX Experienceis more than just the world's most immersive theatrical experience. In addition to preserving the filmmaker's full creative intent, IMAX adds value for

filmmakers, studios, exhibitors and consumers at every stage of the content lifecycle.

T H E I M A XE X P E R I E N C E

S T E P 1	S T E P 2	S T E P 3	S T E P 4	S T E P 5
Shot with	Optimized	Screened in	Amplified by	Exclusive to IMAX
IMAX Cameras	by IMAX	IMAX Theatres	IMAX Marketing	in the Home

Films shot with IMAX-certified	IMAX's proprietary DMR	Worldwide premieres across the	IMAX's award-winning "always-	IMAX Enhanced capitalizes
Cameras maximize IMAX DNA	technology enables full creative	expansive IMAX theatre network	on" brand and marketing	on the growing demand for
throughout the entire production	control for filmmakers	guarantee a global roll-out and	campaigns amplify fan loyalty and	exclusive IMAX streaming content
process		maximum audience reach	engagement	in the home

E X P A N S I O N

Responding to the Growing Demand For IMAX Enhanced Content

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Financial Review

Patrick McClymont

Chief Financial Officer

Global Box Office & Take-Rate1

$ in Millions

17.8%17.6%

$236.7

$206.5

17.9%

17.7%

17.6%

+19.1%

$364.9

$130.1

$256.3		$246.1
$105.8	$111.5	$76.4

Blended

Take-Rate1

Greater

China

$77.8

$66.7

$62.0

$69.2

$85.4

$82.1

$93.2

$78.7

$123.3

$71.8

$76.5

Intl.

Ex. China

Domestic

Q3 2018

Q4 2018

Q1 2019

Q2 2019

Q3 2019

1Blended take-rate defined as total Network business revenue divided by global box office.

Strength in Box Office Driven by Strong Film Slate and Expanding Network

Source: Company Data

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Q3 YTD Box Office - Benefits of Global Diversification

$ in Millions	+$71.9, or
	+9.0%

International

		(Ex. China)	$867.3
	+$9	Middle East
	+$10	Europe
China	+$16	APAC
(ex. China)
		+$34.9	$312.3

$795.4Domestic

+$44.9

	$267.4
Greater China	($7.9)

$283.4

International$248.5

(Ex. China)

$279.5	$271.6
Domestic
YTD Q3 2018	YTD Q3 2019
	Source: Company Data

The Benefits of Global Diversification Offsetting Tougher Comps in Domestic Market

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Network Update - IMAX Systems Pipeline

Pipeline

635

607

112

125

111

139

224

157

188		186

Upgrades

Hybrid Joint Revenue Sharing

Traditional Joint Revenue Sharing

Sales / Sales Type Lease

Joint Revenue Sharing

Arrangements

Sales / Sales Type Lease

Arrangements

		Q3 2019
	Signings	Installations
Sales and STL	22	141
JRSA	-	12
Hybrid JRSA	-	4
Total New	22	30
		276
Upgrades	8	9
Total Theatres	30	39

Q3 2018

Q3 2019

Source: Company Data

1Includes one IMAX digital theater system that was relocated from a previous location.

This installation is incremental to the IMAX theater network, but full revenue for the digital theater system was not received.

Continued Strong Demand for IMAX Systems; High Visibility into Multi-Year Network Growth

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Q3 2019 Financial Summary

$ in Millions, Except EPS Data

Revenue / Gross Margin

Revenue +5.2%

+5.2%

Operating Expenses 1

Operating Expenses +0.4%

+0.4%

Earnings

Adj. EBITDA +25.6%

41.4%

35.7%

Earnings Per Share

Adj. EPS +50.0%

+50.0%

$82.1

$86.4

$39.3

$25.8$25.9

+25.6%

$32.4

$25.8

$0.21

$0.03

$0.14

$39.9 (1.6%)

$42.2+11.7% $47.1

Q3 2018

Q3 2019

Cost of Revenues

Gross Margin

Q3 2018

Q3 2019

1Operating expenses defined as selling, general and administrative expenses, plus R&D costs, less stock-based compensation.

$21.5

$18.3

$7.5	$10.9
Net Income
Q3 2018	Q3 2019

Adj. EBITDA Margin (%)

Reflects the add-back / reduction of items consistent with our definition of adjusted EBITDA as shown on slide 20.

$0.02

$0.18

$0.12

Net Income

Per Diluted Share

Q3 2018

Q3 2019

Reflects the per diluted share add-back / reduction of items consistent with our definition of adjusted EPS as shown on slide 19.

Source: Company Data

Solid Operating Results, Cost Discipline & Strong Operating Leverage

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Q3 2019 Segment Detail

$ in Millions

		Network	Theatre Sales & Maintenance
63.4%
61.4%			49.6%	48.8%
		+17.8%					(7.4%)
					$40.7
		$43.2	$37.7
$36.7
$15.8	$20.5
+11.8%
		(6.1%)	$19.3
$14.2

	+21.6%	$27.4
$22.5			$20.2
			(8.8%)	$18.4
									Gross Margin (%)
									Cost of Revenues
Q3 2018		Q3 2019	Q3 2018		Q3 2019

Gross Margin

Source: Company Data

Network Growth on Higher Box Office; Lower TSM on Fewer Installs

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Capital & Liquidity

$ in Millions

	As of September 30, 2019
Cash & Cash Equivalents	$102.5
Cash & Cash Equivalents in IMAX China	$83.4

Revolver Facility (Due June 2023) 1	$300.0
Facility Utilized	$20.0 2
Available Facility	$280.0
Total Available Liquidity	$382.5

•

•

•

•

Corp: Total of 47 thousand shares repurchased at average price of $20.35 for a total of approximately $950 thousand

China: Total of 1.0 million shares repurchased at average price of $17.90 for a total of approximately $2.3 million Investing in the global network to drive future growth

No change in approach to capital deployment

1Does not include uncommitted accordion feature which would allow Company to expand borrowing capacity to a total of $440 million.

2Excludes impact of $1.9 million of deferred financing fees.

Source: Company Data

Strong Balance Sheet Provides Flexibility; Key Point of Differentiation of Our Model

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FY 2019 Guidance as of October 31, 20191

$ in Millions

Metric	2018	Previous	New
Actuals	FY 2019 Guidance	FY 2019 Guidance
Global Box Office	$1,032.1	Low Double-Digit Growth
vs. 2018
Operating Expenses 2	$110.7	In-Line with 2018
Stock-Based Compensation	$20.1	~$22.5
Effective Tax Rate	21.8%	~23%
Adjusted EBITDA Margin (%)	39.6%	41%	- 42%
Total Theatre Installs	172	185	- 190	At High-End of the Range
New System Installs	149	140	- 145	Slightly Below Low-End of the Range
Upgrades to IMAX With Laser	23	~45	Slightly Above
Total Theatres Equipped with IMAX With Laser	37	~140	Slightly Below

1The forward-looking statements herein are made as of October 31, 2019. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

2Operating expenses defined as selling, general and administrative expenses, plus R&D costs, less stock-based compensation.	Source: Company Data

Expected at the High-End of Total Theatre Installation Guidance;

Mix Shift Expected to be Revenue Neutral in Q4 Due to Margin Profile of Upgrades

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Q & A

Appendix

Q3 2019 Non-GAAP Financial Reconciliation - Adj. Earnings Per Share

$ in Millions, Except EPS Data

Three Months Ended	Three Months Ended
September 30, 2019	September 30, 2018
Net Income	Diluted EPS	Net Income	Diluted EPS

Reported net income	$	10,896			$	0.18			$	7,502			$	0.12
Adjustments:
Stock-based compensation			5,527					0.09					5,562					0.08
Change in fair value of equity investment			490					-			-			-
Tax impact on items listed above			(1,984)					(0.03)					(1,500)					(0.02)
Adjusted net income			14,929					0.24					11,564					0.18
Net income attributable to non-controlling interests (1)			(1,863)					(0.03)					(2,482)					(0.04)
Stock-based compensation (net of tax of less than
$0.1 million and less than $0.1 million, respectively)(1)			(106)					-			(75)					-
Change in fair value of equity investment(1)			(149)					-			-			-
Adjusted net income attributable to common shareholders	$	12,811			$	0.21			$	9,007			$	0.14
Weighted average diluted shares outstanding								61,479										62,793
(1) Reflects amounts attributable to non-controlling interests.
		Nine Months Ended			Nine Months Ended
			September 30, 2019				September 30, 2018
			Net Income				Diluted EPS				Net Income			Diluted EPS
Reported net income	$	37,219			$	0.61			$	29,824			$	0.47
Adjustments:
Stock-based compensation			16,916					0.27					17,165					0.26
Exit costs, restructuring charges and associated impairments			850					0.01					1,158					0.02
Legal arbitration award			-			-			7,500					0.12
Change in fair value of equity investment			2,543					0.03					-			-
Tax impact on items listed above			(4,519)				(0.06)				(5,287)				(0.08)
Adjusted net income			53,009					0.86					50,360					0.79
Net income attributable to non-controlling interests (1)			(8,524)				(0.14)				(8,674)				(0.14)
Stock-based compensation (net of tax of $0.1 million and
$0.1 million, respectively) (1)			(368)				(0.01)				(279)				-
Change in fair value of equity investment			(801)				(0.01)				-				-
Adjusted net income attributable to common shareholders	$	43,316			$	0.70			$	41,407			$	0.65
Weighted average diluted shares outstanding								61,509										63,580

(1) Reflects amounts attributable to non-controlling interests.

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Q3 2019 Non-GAAP Financial Reconciliation - Adj. EBITDA

$ in Millions

Three Months Ended	Three Months Ended	12 Months Ended		12 Months Ended
September 30, 2019	September 30, 2018	September 30, 2019	(1)	September 30, 2018	(1)

Net income			$	10,896	$	7,502	$	40,990	$	38,522
Add (subtract):
Provision for income taxes				3,030		1,452		11,964		25,445
Net interest (income) expense				(133)		327		(68)		1,440
Depreciation and amortization, including film asset amortization		15,696		13,950		60,953		69,025
EBITDA			$	29,489	$	23,231	$	113,839	$	134,432
Stock and other non-cash compensation				5,687		6,320		22,880		23,042
Movements in fair value of financial instruments				490		-		2,543		-
Write-downs, net of recoveries including asset impairments and
receivable provisions				1,118		855		5,781		6,489
Exit costs, restructing charges and associated impairments			-		-		9,234		3,637
Legal arbitration award				-		-		4,237		7,500
Executive transition costs				-		-		2,994		-
Loss from equity accounted investments				(166)		202		41		373
Adjusted EBITDA before non-controlling interests			$	36,618	$	30,608	$	161,549	$	175,473
Adjusted EBITDA attributable to non-controlling interests	(2)		(4,188)		(4,789)		(22,797)		(22,682)
Adjusted EBITDA per Credit Facility			$	32,430	$	25,819	* $	138,752	$	152,791	*
Adjusted EBITDA per Credit Facility, excluding impact from " Marvel's Inhumans"	$	32,430	$	25,819	* $	138,752	$	128,922	*
Adjusted revenues attributable to common shareholders	(3)		$	78,354	$	72,333	$	342,232	$	352,434
Adjusted EBITDA margin				41.4	%	35.7	%	40.5	%	36.6	%

• Adjusted EBIT DA per Credit Facility of $25.8 million and $152.8 million for the three and twleve months ended September 30, 2018 respectively, includes the impact of the Company's investment in "Marvel's Inhumans", which resulted in a $nil and $1.1 million loss, respectively. However, as permitted by the Credit Facility, this loss was offset by addbacks of $nil and $13.3 million for amortization and by addbacks of $nil and

$11.7 million for impairment charges relating to the investment, in each case for the three and twleve months ended September 30, 2018, respectively. T he net effect of these addbacks was to increase Adjusted EBIT DA per Credit Facility by $nil and $23.9 million for the three and twleve months ended September 30, 2018, respectively. T his investment represents the Company's first foray into a commercial television property, and therefore the Adjusted EBIT DA per Credit Facility metric presented above may not be reflective of the Company's typical operational activity. Further, the Company does not expect to make meaningful direct investments in original content going forward. As a result, the Company is also presenting Adjusted EBIT DA per Credit Facility excluding the impact of " Marvel's Inhumans" to better facilitate comparisons to prior and future periods.

_____________

1. Senior Secured Net Leverage Ratio calculated using twelve months ended Adjusted EBIT DA per Credit Facility.
2. T he Adjusted EBIT DA per Credit Facility calculation specified for purpose of the minimum Adjusted EBIT DA covenant excludes the reduction in Adjusted EBIT DA from the Company'snon-controlling interests.

(3)			Three months ended			Three months ended			12 months ended			12 months ended
			September 30, 2019			September 30, 2018			September 30, 2019			September 30, 2018
	T otal revenues		$	86,390			$	82,108			$	380,349			$	390,989
	Greater China revenues	$	26,557				$	30,480				$	121,366				$	120,306
	Non-controlling interest ownership percentage(4)		30.26%						32.07%						31.41%						32.05%
	Deduction for non-controlling interest share of revenues					(8,036)						(9,775)						(38,117)						(38,555)
	Adjusted revenues attributable to common shareholders			$	78,354				$	72,333				$	342,232				$	352,434
(4)	Weighted average ownership percentage for change in non-controlling interest share

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Q3 2019 Free Cash Flow Reconciliation

$ in Millions

		Three Months Ended			Nine Months Ended
		September 30, 2019			September 30, 2019
Net cash provided by operating activities	$	18,740	$	67,257
Net cash used in investing activities		(10,970)			(53,654)
Free cash flow	$	7,770	$	13,603

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Use of Non-GAAP Financial Measures

In this earnings presentation, the Company presents adjusted net income, adjusted net income per diluted share, adjusted net income attributable to common shareholders and adjusted net income attributable to common shareholders per diluted share, EBITDA, Adjusted EBITDA per Credit Facility, adjusted EBITDA margin and free cash flow as supplemental measures of performance of the Company, which are not recognized under U.S. GAAP. The Company presents adjusted net income and adjusted net income per diluted share because it believes that they are important supplemental measures of its comparable controllable operating performance and it wants to ensure that its investors fully understand the impact of its stock-based compensation (net of any related tax impact) and non-recurring charges on net income.

In addition, the Company presents adjusted net income attributable to common shareholders and adjusted net income attributable to common shareholders per diluted share because it believes that they are important supplemental measures of its comparable financial results and could potentially distort the analysis of trends in business performance and it wants to ensure that its investors fully understand the impact of net income attributable to non-controlling interests and its stock-based compensation (net of any related tax impact) and non-recurring charges in determining net income attributable to common shareholders. Management uses these measures to review operating performance on a comparable basis from period to period. However, these non-GAAP measures may not be comparable to similarly titled amounts reported by other companies. Adjusted net income, adjusted net income per diluted share, adjusted net income attributable to common shareholders and adjusted net income attributable to common shareholders per diluted share should be considered in addition to, and not as a substitute for, net income and net income attributable to common shareholders and other measures of financial performance reported in accordance with U.S. GAAP.

The Company is required to maintain a minimum level of "EBITDA", as such term is defined in the Company's credit agreement (and which is referred to herein as "Adjusted EBITDA per Credit Facility", as the credit agreement includes additional adjustments beyond interest, taxes, depreciation and amortization). EBITDA and Adjusted EBITDA per Credit Facility (each as defined above) should not be construed as substitutes for net income or as better measures of liquidity as determined in accordance with U.S. GAAP. The Company believes that EBITDA, Adjusted EBITDA per Credit Facility and Adjusted EBITDA margin are relevant and useful information widely used by analysts, investors and other interested parties in the Company's industry. Accordingly, the Company is disclosing this information to permit a more comprehensive

analysis of its operating performance and to provide additional information with respect to the Company's ability to comply with its credit agreement requirements.

Free cash flow is defined as cash provided by operating activities minus cash used in investing activities (from the condensed consolidated statements of cash flows). Cash provided by operating activities consist of net income, plus depreciation and amortization, plus the change in deferred income taxes, plus other non-cash items, plus changes in working capital, less investment in film assets, plus other changes in operating assets and liabilities. Cash used in investing activities includes capital expenditures, acquisitions and other cash used in investing activities. Management views free cash flow, a non-GAAP measure, as a measure of the Company's after-tax cash flow available to reduce debt, add to cash balances, and fund other financing activities. Free cash flow does not represent residual cash flow available for discretionary expenditures. A reconciliation of cash provided by operating activities to free cash flow is presented on slide 21 of this earnings presentation.

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Primary Reporting Groups

The Company has four primary reporting groups identified by nature of product sold or service provided: (1) Network Business, representing variable revenue generated by box-office results and which includes the reportable segments of IMAX DMR and contingent rent from the JRSAs and IMAX systems segments; (2) Theater Business, representing revenue generated by the sale and installation of theater systems and maintenance services, primarily related to the IMAX Systems and Theater System Maintenance reportable segments, and also includes fixed hybrid revenues and upfront installation costs from the JRSA segment;

1. New Business, which includes home entertainment, and other new business initiatives that are in the development,start-up and/or wind-up phases, and (4) Other; which includes the film post-production and distribution segments and certain IMAX theaters that the Company owns and operates, camera rentals and other miscellaneous items.

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Third Quarter 2019 Financial Results

October 31, 2019

® IMAX Corp.

Forward-Looking Statements

This presentation contains forward looking statements that are based on IMAX®management's assumptions and existing information and involve certain risks and uncertainties which could cause actual results to differ materially from future results expressed or implied by such forward looking statements. Important factors that could affect these statements include, but are not limited to, references to future capital expenditures (including the amount and nature thereof), business and technology strategies and measures to implement strategies, competitive strengths, goals, expansion and growth of business, operations and technology, plans and references to the future success of IMAX Corporation together with its consolidated subsidiaries (the "Company") and expectations regarding the Company's future operating, financial and technological results.

These forward-looking statements are based on certain assumptions and analyses made by the Company in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors it believes are appropriate in the circumstances. However, whether actual results and developments will conform with the expectations and predictions of the Company is subject to a number of risks and uncertainties, including, but not limited to, risks associated with investments and operations in foreign jurisdictions and any future international expansion, including those related to economic, political and regulatory policies of local governments and laws and policies of the United States and Canada; risks related to the Company's growth and operations in China; the performance of IMAX DMR®films; the signing of theater system agreements; conditions, changes and developments in the commercial exhibition industry; risks related to currency fluctuations; the potential impact of increased competition in the markets within which the Company operates; competitive actions by other companies; the failure to respond to change and advancements in digital technology; risks relating to recent consolidation among commercial exhibitors and studios; risks related to new business initiatives; conditions in the in-home and out-of-home entertainment industries; the opportunities (or lack thereof) that may be presented to and pursued by the Company; risks related to cyber-security and data privacy; risks related to the Company's inability to protect the Company's intellectual property; general economic, market or business conditions; the failure to convert theater system backlog into revenue; changes in laws or regulations; the failure to fully realize the projected cost savings and benefits from any of the Company's restructuring initiatives; and other factors, many of which are beyond the control of the Company. These factors, other risks and uncertainties and financial details are discussed in IMAX's most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. The Company undertakes no obligation to update publicly or otherwise revise any forward looking statements, whether as a result of new information, future events or otherwise.

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Strategic Update

Richard Gelfond

Chief Executive Officer

Focus on Growing Our Core Business

Strategic Actions Taken …

Enhance

End-to-End

Technology/

IMAX Experience

IMAX Enhanced &

Non-Traditional Content

Core

Business

… Driving Strong Performance in Q3 Across KPIs1

Revenue	+5%
Global Box Office	+19%
Global Commercial Theatre Network	+9%
Gross Margin ($)	+12%
Gross Profit Margin (%)	~+310 bps
GAAP Net Income / EPS	+45% / +50%

More

Improve

Net Income2/ EPS2

+80% / +88%

Effectively Market

Performance

Our Brand

of China

Business

Adj. EPS2	+50%
Adj. EBITDA ($)2	+26%
Adj. EBITDA Margin (%)2	~+570 bps

Source: Company Data

1. Percentage and other changes refer to third quarter 2019 vs. third quarter 2018 unless otherwise noted.
2. Attributable to common shareholders.

Focusing on Our Strategy, Delivering Solid Results and Setting Foundation For Growth

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

4

The IMAX Ecosystem

Deeply Embedded in

the Fabric of the Global

Entertainment Industry

Consumers

The IMAX Experience

Eventicize Content

Exhibitors

Marketing

Eventicize Content

Drive Pricing

Drive Volume

Creatives/

Filmmakers

Cameras

Pre / Post Production

Aspect Ratio

Eventicize Content

Studios

DMR

Marketing

Eventicize Content

Post-Production

Streamers

Eventicize Content

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

5

Growing and Diversifying Our

1,473 Commercial Theatres in 81 Countries 1

Global Network

Q3 2019 Highlights

• Overall Commercial Network Growth of 9%
• Notable Signed Deals:
• • Saudi Arabia, 12 systems (New)
  • China, 6 systems (New)
  • Austria, 2 systems (Upgrades)
  • India, 2 systems (New)
  • Indonesia, 2 systems (Upgrades)

North America

408

(+4) 2

Central America

24

(+1) 2

100+

26 - 100

11 - 25

6 - 10

1 - 5 None

Notes:

1. Commercial theatres only
2. Compared to Q3 2018

Africa

12

(+0) 2

South America

25

(+3) 2

Europe

199

(+19) 2

Asia Pacific

781

(+96) 2

Middle East

24

(+4) 2

Source: Company Data

• of GBO Outside North America Providing Strong Geographic Diversification

6

China - Increasing Market Share

	Mainland China Box Office
	IMAX Growth vs. Industry Growth
IMAX % Share of Screens	(RMB terms, ex. booking fee)
	27.0%

1.00%					IMAX Mainland China Box Office YoY Growth
0.97%				Industry Box Office YoY Growth
	0.96%

15.1%

7.8% 8.0%

4.9%

2.9%

2017

2018

1H19

2017

2018

Through 10/7/19

Source: Company Data

Strong Positioning In the Chinese Market Reflected in Outperformance vs. the Industry

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

7

Extending TheIMAX Experience®

TheIMAX Experienceis more than just the world's most immersive theatrical experience. In addition to preserving the filmmaker's full creative intent, IMAX adds value for

filmmakers, studios, exhibitors and consumers at every stage of the content lifecycle.

T H E I M A XE X P E R I E N C E

S T E P 1	S T E P 2	S T E P 3	S T E P 4	S T E P 5
Shot with	Optimized	Screened in	Amplified by	Exclusive to IMAX
IMAX Cameras	by IMAX	IMAX Theatres	IMAX Marketing	in the Home

Films shot with IMAX-certified	IMAX's proprietary DMR	Worldwide premieres across the	IMAX's award-winning "always-	IMAX Enhanced capitalizes
Cameras maximize IMAX DNA	technology enables full creative	expansive IMAX theatre network	on" brand and marketing	on the growing demand for
throughout the entire production	control for filmmakers	guarantee a global roll-out and	campaigns amplify fan loyalty and	exclusive IMAX streaming content
process		maximum audience reach	engagement	in the home

E X P A N S I O N

Responding to the Growing Demand For IMAX Enhanced Content

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

8

Financial Review

Patrick McClymont

Chief Financial Officer

Global Box Office & Take-Rate1

$ in Millions

17.8%17.6%

$236.7

$206.5

17.9%

17.7%

17.6%

+19.1%

$364.9

$130.1

$256.3		$246.1
$105.8	$111.5	$76.4

Blended

Take-Rate1

Greater

China

$77.8

$66.7

$62.0

$69.2

$85.4

$82.1

$93.2

$78.7

$123.3

$71.8

$76.5

Intl.

Ex. China

Domestic

Q3 2018

Q4 2018

Q1 2019

Q2 2019

Q3 2019

1Blended take-rate defined as total Network business revenue divided by global box office.

Strength in Box Office Driven by Strong Film Slate and Expanding Network

Source: Company Data

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

10

Q3 YTD Box Office - Benefits of Global Diversification

$ in Millions	+$71.9, or
	+9.0%

International

		(Ex. China)	$867.3
	+$9	Middle East
	+$10	Europe
China	+$16	APAC
(ex. China)
		+$34.9	$312.3

$795.4Domestic

+$44.9

	$267.4
Greater China	($7.9)

$283.4

International$248.5

(Ex. China)

$279.5	$271.6
Domestic
YTD Q3 2018	YTD Q3 2019
	Source: Company Data

The Benefits of Global Diversification Offsetting Tougher Comps in Domestic Market

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

11

Network Update - IMAX Systems Pipeline

Pipeline

635

607

112

125

111

139

224

157

188		186

Upgrades

Hybrid Joint Revenue Sharing

Traditional Joint Revenue Sharing

Sales / Sales Type Lease

Joint Revenue Sharing

Arrangements

Sales / Sales Type Lease

Arrangements

		Q3 2019
	Signings	Installations
Sales and STL	22	141
JRSA	-	12
Hybrid JRSA	-	4
Total New	22	30
		276
Upgrades	8	9
Total Theatres	30	39

Q3 2018

Q3 2019

Source: Company Data

1Includes one IMAX digital theater system that was relocated from a previous location.

This installation is incremental to the IMAX theater network, but full revenue for the digital theater system was not received.

Continued Strong Demand for IMAX Systems; High Visibility into Multi-Year Network Growth

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

12

Q3 2019 Financial Summary

$ in Millions, Except EPS Data

Revenue / Gross Margin

Revenue +5.2%

+5.2%

Operating Expenses 1

Operating Expenses +0.4%

+0.4%

Earnings

Adj. EBITDA +25.6%

41.4%

35.7%

Earnings Per Share

Adj. EPS +50.0%

+50.0%

$82.1

$86.4

$39.3

$25.8$25.9

+25.6%

$32.4

$25.8

$0.21

$0.03

$0.14

$39.9 (1.6%)

$42.2+11.7% $47.1

Q3 2018

Q3 2019

Cost of Revenues

Gross Margin

Q3 2018

Q3 2019

1Operating expenses defined as selling, general and administrative expenses, plus R&D costs, less stock-based compensation.

$21.5

$18.3

$7.5	$10.9
Net Income
Q3 2018	Q3 2019

Adj. EBITDA Margin (%)

Reflects the add-back / reduction of items consistent with our definition of adjusted EBITDA as shown on slide 20.

$0.02

$0.18

$0.12

Net Income

Per Diluted Share

Q3 2018

Q3 2019

Reflects the per diluted share add-back / reduction of items consistent with our definition of adjusted EPS as shown on slide 19.

Source: Company Data

Solid Operating Results, Cost Discipline & Strong Operating Leverage

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

13

Q3 2019 Segment Detail

$ in Millions

		Network	Theatre Sales & Maintenance
63.4%
61.4%			49.6%	48.8%
		+17.8%					(7.4%)
					$40.7
		$43.2	$37.7
$36.7
$15.8	$20.5
+11.8%
		(6.1%)	$19.3
$14.2

	+21.6%	$27.4
$22.5			$20.2
			(8.8%)	$18.4
									Gross Margin (%)
									Cost of Revenues
Q3 2018		Q3 2019	Q3 2018		Q3 2019

Gross Margin

Source: Company Data

Network Growth on Higher Box Office; Lower TSM on Fewer Installs

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

14

Capital & Liquidity

$ in Millions

	As of September 30, 2019
Cash & Cash Equivalents	$102.5
Cash & Cash Equivalents in IMAX China	$83.4

Revolver Facility (Due June 2023) 1	$300.0
Facility Utilized	$20.0 2
Available Facility	$280.0
Total Available Liquidity	$382.5

•

•

•

•

Corp: Total of 47 thousand shares repurchased at average price of $20.35 for a total of approximately $950 thousand

China: Total of 1.0 million shares repurchased at average price of $17.90 for a total of approximately $2.3 million Investing in the global network to drive future growth

No change in approach to capital deployment

1Does not include uncommitted accordion feature which would allow Company to expand borrowing capacity to a total of $440 million.

2Excludes impact of $1.9 million of deferred financing fees.

Source: Company Data

Strong Balance Sheet Provides Flexibility; Key Point of Differentiation of Our Model

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

15

FY 2019 Guidance as of October 31, 20191

$ in Millions

Metric	2018	Previous	New
Actuals	FY 2019 Guidance	FY 2019 Guidance
Global Box Office	$1,032.1	Low Double-Digit Growth
vs. 2018
Operating Expenses 2	$110.7	In-Line with 2018
Stock-Based Compensation	$20.1	~$22.5
Effective Tax Rate	21.8%	~23%
Adjusted EBITDA Margin (%)	39.6%	41%	- 42%
Total Theatre Installs	172	185	- 190	At High-End of the Range
New System Installs	149	140	- 145	Slightly Below Low-End of the Range
Upgrades to IMAX With Laser	23	~45	Slightly Above
Total Theatres Equipped with IMAX With Laser	37	~140	Slightly Below

1The forward-looking statements herein are made as of October 31, 2019. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

2Operating expenses defined as selling, general and administrative expenses, plus R&D costs, less stock-based compensation.	Source: Company Data

Expected at the High-End of Total Theatre Installation Guidance;

Mix Shift Expected to be Revenue Neutral in Q4 Due to Margin Profile of Upgrades

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

16

Q & A

Appendix

Q3 2019 Non-GAAP Financial Reconciliation - Adj. Earnings Per Share

$ in Millions, Except EPS Data

Three Months Ended	Three Months Ended
September 30, 2019	September 30, 2018
Net Income	Diluted EPS	Net Income	Diluted EPS

Reported net income	$	10,896			$	0.18			$	7,502			$	0.12
Adjustments:
Stock-based compensation			5,527					0.09					5,562					0.08
Change in fair value of equity investment			490					-			-			-
Tax impact on items listed above			(1,984)					(0.03)					(1,500)					(0.02)
Adjusted net income			14,929					0.24					11,564					0.18
Net income attributable to non-controlling interests (1)			(1,863)					(0.03)					(2,482)					(0.04)
Stock-based compensation (net of tax of less than
$0.1 million and less than $0.1 million, respectively)(1)			(106)					-			(75)					-
Change in fair value of equity investment(1)			(149)					-			-			-
Adjusted net income attributable to common shareholders	$	12,811			$	0.21			$	9,007			$	0.14
Weighted average diluted shares outstanding								61,479										62,793
(1) Reflects amounts attributable to non-controlling interests.
		Nine Months Ended			Nine Months Ended
			September 30, 2019				September 30, 2018
			Net Income				Diluted EPS				Net Income			Diluted EPS
Reported net income	$	37,219			$	0.61			$	29,824			$	0.47
Adjustments:
Stock-based compensation			16,916					0.27					17,165					0.26
Exit costs, restructuring charges and associated impairments			850					0.01					1,158					0.02
Legal arbitration award			-			-			7,500					0.12
Change in fair value of equity investment			2,543					0.03					-			-
Tax impact on items listed above			(4,519)				(0.06)				(5,287)				(0.08)
Adjusted net income			53,009					0.86					50,360					0.79
Net income attributable to non-controlling interests (1)			(8,524)				(0.14)				(8,674)				(0.14)
Stock-based compensation (net of tax of $0.1 million and
$0.1 million, respectively) (1)			(368)				(0.01)				(279)				-
Change in fair value of equity investment			(801)				(0.01)				-				-
Adjusted net income attributable to common shareholders	$	43,316			$	0.70			$	41,407			$	0.65
Weighted average diluted shares outstanding								61,509										63,580

(1) Reflects amounts attributable to non-controlling interests.

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

19

Q3 2019 Non-GAAP Financial Reconciliation - Adj. EBITDA

$ in Millions

Three Months Ended	Three Months Ended	12 Months Ended		12 Months Ended
September 30, 2019	September 30, 2018	September 30, 2019	(1)	September 30, 2018	(1)

Net income			$	10,896	$	7,502	$	40,990	$	38,522
Add (subtract):
Provision for income taxes				3,030		1,452		11,964		25,445
Net interest (income) expense				(133)		327		(68)		1,440
Depreciation and amortization, including film asset amortization		15,696		13,950		60,953		69,025
EBITDA			$	29,489	$	23,231	$	113,839	$	134,432
Stock and other non-cash compensation				5,687		6,320		22,880		23,042
Movements in fair value of financial instruments				490		-		2,543		-
Write-downs, net of recoveries including asset impairments and
receivable provisions				1,118		855		5,781		6,489
Exit costs, restructing charges and associated impairments			-		-		9,234		3,637
Legal arbitration award				-		-		4,237		7,500
Executive transition costs				-		-		2,994		-
Loss from equity accounted investments				(166)		202		41		373
Adjusted EBITDA before non-controlling interests			$	36,618	$	30,608	$	161,549	$	175,473
Adjusted EBITDA attributable to non-controlling interests	(2)		(4,188)		(4,789)		(22,797)		(22,682)
Adjusted EBITDA per Credit Facility			$	32,430	$	25,819	* $	138,752	$	152,791	*
Adjusted EBITDA per Credit Facility, excluding impact from " Marvel's Inhumans"	$	32,430	$	25,819	* $	138,752	$	128,922	*
Adjusted revenues attributable to common shareholders	(3)		$	78,354	$	72,333	$	342,232	$	352,434
Adjusted EBITDA margin				41.4	%	35.7	%	40.5	%	36.6	%

• Adjusted EBIT DA per Credit Facility of $25.8 million and $152.8 million for the three and twleve months ended September 30, 2018 respectively, includes the impact of the Company's investment in "Marvel's Inhumans", which resulted in a $nil and $1.1 million loss, respectively. However, as permitted by the Credit Facility, this loss was offset by addbacks of $nil and $13.3 million for amortization and by addbacks of $nil and

$11.7 million for impairment charges relating to the investment, in each case for the three and twleve months ended September 30, 2018, respectively. T he net effect of these addbacks was to increase Adjusted EBIT DA per Credit Facility by $nil and $23.9 million for the three and twleve months ended September 30, 2018, respectively. T his investment represents the Company's first foray into a commercial television property, and therefore the Adjusted EBIT DA per Credit Facility metric presented above may not be reflective of the Company's typical operational activity. Further, the Company does not expect to make meaningful direct investments in original content going forward. As a result, the Company is also presenting Adjusted EBIT DA per Credit Facility excluding the impact of " Marvel's Inhumans" to better facilitate comparisons to prior and future periods.

_____________

1. Senior Secured Net Leverage Ratio calculated using twelve months ended Adjusted EBIT DA per Credit Facility.
2. T he Adjusted EBIT DA per Credit Facility calculation specified for purpose of the minimum Adjusted EBIT DA covenant excludes the reduction in Adjusted EBIT DA from the Company'snon-controlling interests.

(3)			Three months ended			Three months ended			12 months ended			12 months ended
			September 30, 2019			September 30, 2018			September 30, 2019			September 30, 2018
	T otal revenues		$	86,390			$	82,108			$	380,349			$	390,989
	Greater China revenues	$	26,557				$	30,480				$	121,366				$	120,306
	Non-controlling interest ownership percentage(4)		30.26%						32.07%						31.41%						32.05%
	Deduction for non-controlling interest share of revenues					(8,036)						(9,775)						(38,117)						(38,555)
	Adjusted revenues attributable to common shareholders			$	78,354				$	72,333				$	342,232				$	352,434
(4)	Weighted average ownership percentage for change in non-controlling interest share

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

20

Q3 2019 Free Cash Flow Reconciliation

$ in Millions

		Three Months Ended			Nine Months Ended
		September 30, 2019			September 30, 2019
Net cash provided by operating activities	$	18,740	$	67,257
Net cash used in investing activities		(10,970)			(53,654)
Free cash flow	$	7,770	$	13,603

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

21

Use of Non-GAAP Financial Measures

In this earnings presentation, the Company presents adjusted net income, adjusted net income per diluted share, adjusted net income attributable to common shareholders and adjusted net income attributable to common shareholders per diluted share, EBITDA, Adjusted EBITDA per Credit Facility, adjusted EBITDA margin and free cash flow as supplemental measures of performance of the Company, which are not recognized under U.S. GAAP. The Company presents adjusted net income and adjusted net income per diluted share because it believes that they are important supplemental measures of its comparable controllable operating performance and it wants to ensure that its investors fully understand the impact of its stock-based compensation (net of any related tax impact) and non-recurring charges on net income.

In addition, the Company presents adjusted net income attributable to common shareholders and adjusted net income attributable to common shareholders per diluted share because it believes that they are important supplemental measures of its comparable financial results and could potentially distort the analysis of trends in business performance and it wants to ensure that its investors fully understand the impact of net income attributable to non-controlling interests and its stock-based compensation (net of any related tax impact) and non-recurring charges in determining net income attributable to common shareholders. Management uses these measures to review operating performance on a comparable basis from period to period. However, these non-GAAP measures may not be comparable to similarly titled amounts reported by other companies. Adjusted net income, adjusted net income per diluted share, adjusted net income attributable to common shareholders and adjusted net income attributable to common shareholders per diluted share should be considered in addition to, and not as a substitute for, net income and net income attributable to common shareholders and other measures of financial performance reported in accordance with U.S. GAAP.

The Company is required to maintain a minimum level of "EBITDA", as such term is defined in the Company's credit agreement (and which is referred to herein as "Adjusted EBITDA per Credit Facility", as the credit agreement includes additional adjustments beyond interest, taxes, depreciation and amortization). EBITDA and Adjusted EBITDA per Credit Facility (each as defined above) should not be construed as substitutes for net income or as better measures of liquidity as determined in accordance with U.S. GAAP. The Company believes that EBITDA, Adjusted EBITDA per Credit Facility and Adjusted EBITDA margin are relevant and useful information widely used by analysts, investors and other interested parties in the Company's industry. Accordingly, the Company is disclosing this information to permit a more comprehensive

analysis of its operating performance and to provide additional information with respect to the Company's ability to comply with its credit agreement requirements.

Free cash flow is defined as cash provided by operating activities minus cash used in investing activities (from the condensed consolidated statements of cash flows). Cash provided by operating activities consist of net income, plus depreciation and amortization, plus the change in deferred income taxes, plus other non-cash items, plus changes in working capital, less investment in film assets, plus other changes in operating assets and liabilities. Cash used in investing activities includes capital expenditures, acquisitions and other cash used in investing activities. Management views free cash flow, a non-GAAP measure, as a measure of the Company's after-tax cash flow available to reduce debt, add to cash balances, and fund other financing activities. Free cash flow does not represent residual cash flow available for discretionary expenditures. A reconciliation of cash provided by operating activities to free cash flow is presented on slide 21 of this earnings presentation.

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

22

Primary Reporting Groups

The Company has four primary reporting groups identified by nature of product sold or service provided: (1) Network Business, representing variable revenue generated by box-office results and which includes the reportable segments of IMAX DMR and contingent rent from the JRSAs and IMAX systems segments; (2) Theater Business, representing revenue generated by the sale and installation of theater systems and maintenance services, primarily related to the IMAX Systems and Theater System Maintenance reportable segments, and also includes fixed hybrid revenues and upfront installation costs from the JRSA segment;

1. New Business, which includes home entertainment, and other new business initiatives that are in the development,start-up and/or wind-up phases, and (4) Other; which includes the film post-production and distribution segments and certain IMAX theaters that the Company owns and operates, camera rentals and other miscellaneous items.

Q 3 2 0 1 9 F I N A N C I A L R E S U L T S

23