×

Theater Chain AMC Entertainment Slides to $42.7 Million Loss, Blames Box Office

Citing lousy box office performance, AMC Entertainment Holdings has reported a third-quarter loss of $42.7 million, compared with earnings of $30.4 million for the 2016 quarter.

AMC made the announcement after the stock market closed Monday afternoon. Shares fell 9% in afterhours trading on the New York Stock Exchange to $11.10, down $1.10.

“We have been predicting weakness in the third quarter industry box office, due to the quantity and subject matter of the films that were scheduled to be released,” said Adam Aron, president and CEO. “Not surprisingly, our foreshadow was accurate.”

The third quarter was one of the roughest in recent years for the domestic box office with Sony’s “The Dark Tower” and STXfilms’ “Valerian and the City of a Thousand Planets” falling short of expectations. August box office was the lowest in a decade.

“In a high fixed-cost, low variable-cost business, this has led to lower EBITDA generation for AMC in the third quarter of 2017,” Aron added.

Total adjusted EBITDA increased 2.1% to $147.4 million and revenues were up 51.2% to $1.18 billion — which included $333 million of revenues from international theaters due to the acquisitions of Odeon Cinemas Group and Nordic Cinema Group Holding AB. Aron said he’s “bullish” about the current quarter.

“Among many other hit films this year, movies like ‘It’ in September, ‘Thor: Ragnarok’ in November and soon ‘Star Wars: The Last Jedi’ in December, demonstrate for all to see what we know to be true,” he said. “When Hollywood and international movie makers offer appealing movies, Americans and Europeans will pour into our theatres in huge numbers and pay top-dollar to do so.”

“Thor: Ragnarok” has taken in $427 million worldwide in less than two weeks. But North American box office remains down 4.8% for 2017. Aron reiterated that his optimism about the moviegoing business.

“In our view, the weakness of the summer box office is not indicative of a long-term trend, especially immediately after two and a half years of record box office performance and just before what we expect will be strong and robust consumer demand through year end,” he said. “We are similarly confident and excited about the film slate that is coming in 2018 and again in 2019. Accordingly, we remain optimistic about the viability and strength of the movie theatre industry generally, and of AMC specifically.”

AMC Entertainment is the largest movie exhibition company in the U.S., Europe and the world with 1,006 theatres and 11,046 screens. AMC was acquired by Dalian Wanda Group, a Chinese conglomerate, in 2012 for $2.6 billion.

More Film

  • The Lion King Box Office

    Box Office: 'The Lion King' Rules With $185 Million Debut

    Simba and Mufasa reigned supreme this weekend as Disney’s “The Lion King” dominated box office charts. Director Jon Favreau’s remake of the animated classic collected a massive $185 million from 4,756 North American theaters during its first three day of release. The movie landed the best domestic launch for a PG film and set a [...]

  • Creative-Producers-Indaba-Cover-Image-1920x1080-px-2

    Realness, EAVE, IFFR, Sundance Launch African Producers Network

    DURBAN–South Africa’s Realness Institute, EAVE, the Intl. Film Festival Rotterdam, and the Sundance Institute are joining forces to create the Creative Producers Indaba, a professional training program designed to support emerging African producers. Inspired by initiatives such as the EAVE Producers Workshop and Sundance’s Creative Producing, the program will bring together 15 participants to develop [...]

  • BOTM-Eve-Viper-Gang

    Director Angus Gibson: My Audience is ‘Young, Black South Africans’

    DURBAN–Sophiatown, 1958. On the outskirts of Johannesburg, as the apartheid police prepare to demolish the community at the heart of black South African cultural and intellectual life, a notorious gang leader is determined to make a last stand. Resisting the forced evictions that will transport the residents of Sophiatown to a desolate township miles away, [...]

  • marvel

    Marvel Phase 4 Plan Revealed, But Comic-Con’s Big Winner is Disney Plus

    In a triumphant return to the San Diego Comic-Con main stage, leadership at Marvel Studios managed some splashy surprises and showed off risky creative bets for the next two years of content coming from the superhero operation. But the biggest takeaway from the Saturday presentation inside Hall H was how important Marvel will make Disney [...]

  • Florence Pugh, O. T. Fagbenle, Rachel

    'Black Widow': Scarlett Johansson and Florence Pugh Go Head-to-Head in First Footage

    Marvel’s “Black Widow” has only been in production for a month, but studio president Kevin Feige still delivered the goods for fans at San Diego Comic-Con on Saturday. Filmmakers brought an intense sizzle reel of on-location shots, kicked off by a dazzling and bone-crushing fight sequence between lead Scarlett Johansson and her on-screen sister Florence [...]

  • Natalie Portman Thor

    Natalie Portman Returns for 'Thor: Love and Thunder' as Female Thor

    Natalie Portman is coming back to the Marvel Cinematic Universe, but she’s no one’s love interest this time around. The Oscar winner will play a female god of thunder in the fourth film from the Chris Hemsworth series, titled “Thor: Love and Thunder.” Portman hit the stage at San Diego Comic-Con on Saturday to great [...]

  • Fantastic Four

    New 'Fantastic Four' Movie in Development at Marvel

    Marvel is going back to the Fantastic Four. Marvel Studios chief Kevin Feige announced that a new movie based on the superhero group is in the works at San Diego Comic-Con on Saturday. Further details, however, including a release date, were not revealed. It marks the first Fox property for Disney to mine since the [...]

More From Our Brands

Access exclusive content