Theater Chain AMC Entertainment’s Q3 Earnings Tumble

The dismal report comes a day after rival Regal announced similar numbers

AMC Entertainment Holdings on Tuesday became the second major movie theater chain to report tough third quarter earnings.

The nation’s second-largest exhibitor reported that its net income fell to $7.4 million for the three months ending in September, a 78 percent drop from the $33.5 million from the same period a year ago. Earnings tumbled too, from 44 cents to eight cents.

The news comes in the wake of a dismal earnings report on Monday from the No. 1 theater chain, Regal Entertainment Group, which also announced it was exploring strategic options including a sale.

Also read: Regal Entertainment Group Considering Sale

The grim report isn’t hard to figure out. Despite hits like “Guardians of the Galaxy” and “Transformers: Age of Extinction,” this summer was down roughly 15 percent from last year, and this September was the worst in six years.

AMC’s revenues hit $633.9 million, an 8.9 percent drop from the $696 million in revenues the company reported during the same quarter last year. Higher ticket prices – up 5.3 percent to $9.48 – helped bolster those numbers.

The earnings were in line with analysts’ expectations, the revenues just under.

AMC’s stock price was up 3.43% at $24.40 Tuesday.

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