AMC Entertainment (AMC) Q3 2024 earnings summary

Executive summary

• Q3 2024 total revenues were $1.35 billion, down 4.1% year-over-year but up 31% from Q2 2024, with a net loss of $20.7 million compared to net earnings of $12.3 million in Q3 2023.

• Adjusted EBITDA was $161.8 million, down from $199.9 million in Q3 2023 but in line with pre-pandemic Q3 2019 despite 25% lower attendance.

• Attendance was 65.1 million, down 11.5% year-over-year, with record admissions and food and beverage revenue per patron.

• Net loss narrowed by 37% sequentially, and operational efficiencies supported strong per-patron metrics.

• Record per-patron revenues and all-time high food and beverage revenue per patron were achieved.

Financial highlights

• Q3 2024 admissions revenue fell 6.7% year-over-year, while food and beverage revenue increased 1.6%.

• Revenue per patron reached $20.72, up 37.1% from 2019 and 8% from Q3 2023.

• Contribution margin per patron was $13.49, up 41% from 2019 and 8% from Q3 2023.

• Food and beverage revenue per patron hit a record $7.53 globally, with U.S. at $8.49 and international at $5.07.

• Operating costs and expenses decreased 2.3% year-over-year; interest expense rose to $119.6 million.

Outlook and guidance

• Management expects industry-wide box office to rise markedly at year-end and continue improving through 2025 and 2026, supported by a strong upcoming movie slate.

• Box office for 2024 is forecasted to approach $9 billion, with further increases expected in 2025 and 2026.

• AMC does not require a full return to pre-pandemic box office levels to exceed pre-pandemic EBITDA due to operational efficiencies.

• Management expects existing cash and cash equivalents, plus cash from operations, to fund obligations for the next twelve months, but notes current cash burn rates are unsustainable long-term without revenue recovery.

• Risks remain around film release schedules, labor disruptions, and the pace of box office recovery.