×
You will be redirected back to your article in seconds

AMC Entertainment Earnings Sink on Box Office Flops

The summer of flops claims another casualty.

AMC Entertainment, the world’s largest theater chain, reported calamitous second quarterly earnings on Friday, mere days after its move to lower its annual projections resulted in widespread selloffs of its stock.

The Leawood, Kansas-based company reported revenue of $1.2 billion and loss of $1.35 a share for the three month period ending in June. The losses paled in comparison to the per-share profits of 24 cents that the company reported in the year-ago period. They did outstrip the $764 million in revenue that AMC announced for the same quarter in 2016, but AMC has acquired several theater circuits since that time, including Carmike Cinemas and European exhibitors UCI & Odeon and Nordic Cinema. Its greater size contributed to those gains. Wall Street had once been looking for AMC to report revenues of $1.23 billion and losses of 11 cents per share.

In a statement, AMC chief Adam Aron laid the blame for the poor results on the movies. Flops and duds such as “King Arthur” and “Baywatch” have dragged down ticket sales. Hits such as “Wonder Woman” have helped ease the pain, but the output from major studios has not matched the commercial success of previous years.

“While we strongly believe AMC is well positioned for the future, and are confident in the long term prospects for AMC to drive revenue and earnings growth, we are nonetheless extremely disappointed by AMC’s financial and operating results for the second quarter of 2017,” said Aron.

The AMC chief said he did not expect the box office to rebound until the fourth quarter of the year, which will host sequels to Thor and Star Wars. It’s a brutal downturn for a year that saw ticket sales surge on the back of spring hits like “Beauty and the Beast” and “Logan.”

“Consumer demand to ‘go to the movies’ was robust as 2017 started out in the first quarter,” said Aron. “And just ahead of us is a strong fourth quarter film slate, that creates the opportunity to lessen the angst surrounding box office weakness industry-wide in the second and third quarters of 2017. As a result, we remain optimistic about our ability to deliver meaningful value to our shareholders both for the balance of 2017 and in the years ahead.”

After losing roughly a quarter of their value earlier in the week, AMC shares were up 2.65% in pre-market trading.

More Film

  • Nadine Labaki

    Cannes: Nadine Labaki to Head Un Certain Regard Jury

    Lebanese filmmaker Nadine Labaki has been named president of the jury for Un Certain Regard in Cannes. The Festival said Labaki had been chosen after “moving hearts and minds at the last Festival de Cannes with her Academy Award- and Golden Globe-nominated ‘Capernaum,’ which won the Jury Prize.” The organizers noted Labaki’s films have all [...]

  • Osmosis

    Netflix Unveils Four More French Originals, 'Gims,' 'Anelka,' 'Move,' 'Of Earth And Blood'

    As it prepares to open a fully-staffed office in France and ramp up its investment in local originals, Netflix has unveiled three new documentaries, “Move” (working title), “Gims” (working title), and “Anelka” (working title), and the feature film “Of Earth And Blood” while at Series Mania in Lille. Announced during a panel with Netflix’s commissioning [...]

  • Miramax Developing 'I Won't Be Home

    Film News Roundup: Miramax Developing 'I Won't Be Home for Christmas'

    In today’s film news roundup, “I Won’t Be Home for Christmas” is in the works, the NFL has made a documentary about female team owners and D Street Pictures has signed Kenny Gage and Devon Downs to direct the dance feature “Move.” HOLIDAY PROJECT Miramax has acquired film rights to Lauren Iungerich’s holiday-themed screenplay “I [...]

  • Michael B. Jordan arrives at the

    Michael B. Jordan to Star in Warner Bros.' 'Methuselah' Movie

    Michael B. Jordan will produce and star in a “Methuselah” movie for Warner Bros., based on the Biblical story of a man who lived to be 969 years old. Jordan will produce through his Outlier Society production company along with Heyday’s David Heyman and Jeffrey Clifford. Warner Bros. has been developing the project for many [...]

  • Davids Chief Piera Detassis on Revamping

    Davids Chief Piera Detassis on Revamping Italy's Top Film Awards

    Piera Detassis recently became the first woman to head the David di Donatello Awards, Italy’s equivalent of the Oscars. Since then she’s been busy overhauling the inner workings of the prizes that will be awarded on Wednesday. Detassis, also the editor of Italian film publication Ciak, spoke exclusively to Variety about the challenges she’s faced [...]

  • Matteo Garrone's 'Dogman' Leads Davids Awards

    Matteo Garrone's 'Dogman' Leads Davids Awards Race

    With 15 nominations Matteo Garrone’s “Dogman” leads the pack of contenders for Italy’s David di Donatello Awards in a watershed year for the country’s top film nods that sees highbrow auteur titles reaping most of the David love just as local box-office grosses hit an all-time low. Garrone’s gritty revenge drama is followed closely with [...]

  • steven spielberg Apple TV Plus

    Steven Spielberg's Apple Appearance Riles Up Social Media: 'Big Old Mixed Message'

    Many Hollywood heavyweights flocked to Apple’s Cupertino, Calif. headquarters to help reveal the tech giant’s revamped steaming service Apple TV+ on Monday — but one such legend was so polarizing he became a national trending topic on Twitter for simply showing his face. Steven Spielberg was the first to appear in a dramatic short film [...]

More From Our Brands

Access exclusive content