‘Rogue One: A Star Wars Story’ Helps AMC Entertainment Break Q4 Revenue Records

Movie theater chain misses Wall Street’s earnings forecast by a penny

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AMC Entertainment broke its own fourth quarter revenue records in 2016, thanks in large part to December monster “Rogue One: A Star Wars Story.”

The theater chain released its fourth-quarter and full-year 2016 earnings Tuesday afternoon, reporting diluted earnings per share (EPS) of 33 cents on $926.1 million in revenue. While the sales figure more than satisfies Wall Street’s forecasts, the actual earnings missed by a penny per share.

Overall, revenue rose 18.1 percent from Q4 2015. Net earnings dropped from $41.6 million to $33.2 million, however, due to much higher operating expenses.

On the plus side, earnings were up for the 12 months in total that ended on December 31, 2016. Full-year 2016 EPS was $1.17. Last year the company posted $1.07 in diluted earnings per share.

In a prepared statement, President and CEO Adam Aron credited his company’s powered recliner seats, better concessions and other premium large format options with setting new internal marks in admissions, food and beverage, and everything else.

In 2016, Aron’s AMC acquired Odeon and Carmike Cinemas. This year, they’ll add Nordic Cinema Group beneath the umbrella.

Last year, attendance at AMC theaters grew both domestically and internationally. While the average ticket price ticked down, food and beverage spending per person rose.

AMC stock closed Tuesday at $31.35 per share, down a dime apiece. Immediately after Q4’s earnings were revealed this afternoon, AMC stock jumped 40 cents per share.

AMC Entertainment executives will host a conference call at 5 p.m. ET to discuss the financials further.

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