AMC Entertainment saw revenue slip and net losses widen last quarter on the now well-known story of an oddly soft three months for moviegoing. But CEO Adam Aron insisted that “Anyone trying to draw any conclusions about the success or appeal of movie theatres from the results of the first quarter of 2025 is likely to be mistaken, because the industrywide domestic box office in Q1 was in our view a distorting anomaly that has already corrected itself. We continue to believe that moviegoing demand for the balance of 2025 and all of 2026 will show great strength.”
The company saw a net loss of $202 million grow from $163 million in the year-earlier quarter on revenue ahead of Wall Street forecasts at $862 million, down from $951 million.
EPS was in line at negative 59 cents a share, an improvement with more shares outstanding.
“Setting aside those first quarters directly impacted by Covid and its aftermath, the January to March industry box office in 2025 was the lowest it has been since 1996. If that level of activity were to continue, of course it would be highly problematic for movie theatres. But to the contrary, since April 1, movie theatre demand has been booming. The April 2025 industry-wide domestic box office was double that of April 2024, and so far in May the box office again has been running at double the rate of a year ago. So, we believe that any negative assertions drawn from first quarter results about the movie theatre industry are likely to be wholly erroneous,” he said.
A Minecraft Movie and Sinners jumpstarted the box office in the current quarter, Thunderbolts is looking good. Aron cited, as have other exhibitors this earnings season, upcoming fare including Disney’s Lilo & Stitch and Elio, Tom Cruise in Mission: Impossible – The Final Reckoning, Sony’s Karate Kid: Legends and 28 Year Years Later, Lionsgate’s From The World Of John Wick: Ballerina, Universal’s How To Train Your Dragon, M3GAN 2.0 and Jurassic World Rebirth, Apple’s F1, DC Studios’ Studios Superman and Paramount’s Smurfs.
He noted achieving an all-time first quarter record for U.S. admissions revenue per patron crediting the AMC brand, the AMC Stubs loyalty and A-List subscription programs, and premium format offerings.
The exhibitor’s once high-flying meme stock is moving sideways in after-market trade at around $2.70.
Net cash used in operating activities was $370 million compared to $188 million for Q1 2024. Cash and cash equivalents at the end of March stood at $379 million.