AMC Theatres beat Wall Street expectations as they reported fourth-quarter revenue of $1.10 billion, up from $990.9 million in 2022 and a net loss of $182 million, compared to a net loss of $287.7 million in 2022, according to the Wall Street Journal.
AMC Theater CEO Adam Aron said that “literally all” of the increase in revenue in the fourth quarter was driven by Taylor Swift and Beyoncé, as the company saw total attendance for the fourth-quarter grew to 51.9 million, up 4.7% from a year ago.
Additionally, AMC Theatres reported total revenue of $4.8 billion, up from $3.9 billion in 2022, while net loss improved to $396.6 million, up $577 million from a year earlier.
“What is particularly noteworthy is how much AMC benefited from our trailblazing industry leading efforts with our highly successful distribution of two concert movies Taylor Swift: The Eras Tour and Renaissance: A Film By Beyoncé,” Aron said in an official press release. “Despite a diminished box office overall, in the fourth quarter compared to the same quarter a year ago, AMC’s revenue grew by 11.5 percent and AMC’s adjusted EBITDA almost tripled. Literally, all of that increase in AMC’s Revenue and EBITDA is attributable to our having shown these two movies in our theatres in the U.S. and internationally.”
During an earnings call, AMC Theatres management said that it is introducing a new version of its Nicole Kidman commercial.
“Before every movie starts, and starting March 1, we’re going to show three different, 30-second Nicole Kidman commercials before the movie starts on a rotating basis,” Aron said, with a spokesperson later clarifying that the spots are not “new ads or sequels” but “never-before-seen-in-theatres versions of the original, iconic ad.”
Aron added that the company’s “phones have been ringing off the hook” with requests from musical artists and that the theater chain will have more concert movies “later in 2024 and/or 2025.”
Aron also spoke about their belief that the strike impact will ease up this spring.
“AMC believes that the box office will start to strengthen again as soon as this coming month of March, in some of the summer months and especially in the latter third of this year. And over the medium term, we are both bullish and optimistic. With all the caveats that no one’s crystal ball is perfect, we currently expect that the industry box office in 2025 will grow by $1 to $2 billion, or more, in size over 2024,” Aron said.
Aron also expressed his confidence in the future of the company.
“Given AMC’s proven ability to thread the needle in coping with one Herculean challenge after another, we are confident in our company’s future,” Aron said.
