- Films like “Avatar: Fire and Ash” and “Scream 7” helped AMC blow past the $862 million revenue total recorded in a slumping Q1 2025.
- The theater chain, which has navigated significant debt and a turbulent film industry, points to 2026 as a year of sustained profit thanks to multiple high profile titles
- The second quarter is expected to be a profitable one for AMC thanks to hits like “Project Hail Mary,” “The Super Mario Galaxy Movie” and “Michael.”
Like its peers in the movie theater industry, AMC Theatres has taken advantage of a stronger start to the annual box office than in years past to reduce its first quarter loss to $117 million or 36 cents per share.
It’s a notable improvement from last year’s first quarter loss of $202 million or 58 cents per share. AMC’s revenue of $1.04 billion beat Wall Street projections of $997 million, though its loss fell short of a projected loss of 32 cents per share, according to Zacks Investment Research.
“I am so very pleased to report that AMC achieved our best Adjusted EBITDA first quarter result since 2019 pre-pandemic, an Adjusted EBITDA improvement
of $96 million year over. It was driven not only by strong domestic performance but also by vastly improved international results across our European footprint,” said AMC CEO Adam Aron.
“These results are a clear testament to our disciplined operating execution in maximizing AMC’s revenue growth while simultaneously containing our costs, combined with an unwavering commitment to elevating the moviegoing experience. Our much-improved results clearly demonstrate the operating leverage inherent in our business, generating markedly improving results at a time when revenues are rising,” Aron continued.
Dealing With Debt
AMC has faced a high wire act since the pandemic, navigating a period of slower theatrical output from major Hollywood studios and handling a $4 billion debt load even after paying off hundreds of millions in that debt thanks to its 2021 meme stock surge.
But Aron points to a resurgent theatrical slate and renewed commitments to a minimum 45-day theatrical window from multiple studios as a reason to be optimistic about his company’s future, along with the moves that AMC has made to manage its debt load.
“We have been actively working to strengthen our balance sheet by enhancing
liquidity and improving financial flexibility. We recently refinanced $400 million of debt due in 2027, extending the maturity by four full years to 2031, while simultaneously reducing our annual cash interest expense. We are also
currently converting some $155 million of debt into equity. To bolster cash reserves, we raised approximately $72 million of gross proceeds through our at-the-market equity program,” Aron said.
AMC has also sold a portion of its holdings in the mining company Hycroft, generating $54 million in cash from its initial $27.9 million investment.
More to come…