AMC Theatres, the world’s largest cinema chain, reported a deepened net loss of $202.1 million for the first quarter of 2025, reflecting a troubled start to the year at the box office. The results, released this week, show a stark contrast to the $163.5 million loss reported in the same quarter of 2024. Revenue fell by 9%, dropping from $951.4 million to $862.5 million. The earnings report highlighted the impact of a lackluster film lineup, with several major releases—including Mickey 17, Snow White, and The Alto Knights—underperforming both critically and commercially.
Despite the downturn, the reported losses of 58 cents per share aligned closely with Wall Street expectations, which had projected a loss of 59 cents per share on revenue of $837 million, according to FactSet. In after-hours trading, AMC shares saw a slight decline, settling just below $2.70 per share. The company also noted a significant drop in key revenue streams, with admissions revenue down 11% to $473.5 million and concessions declining nearly 12% to $283.4 million.
Leadership Maintains Confidence Despite Alarming Trends
AMC Theatres Chairman and CEO Adam Aron addressed concerns head-on, urging stakeholders not to misinterpret the first quarter results. In a statement, Aron characterized the early 2025 box office slump as an anomaly, emphasizing the broader context of a weak film slate and the challenging comparisons to early 2024, which featured successful sequels like Dune and Kung Fu Panda. He stated that, excluding the COVID-19 pandemic era, the January-to-March figures were the worst since 1996, a historic low point for the industry.
However, Aron expressed optimism for a turnaround, noting that April ticket sales had already shown significant recovery. “The April 2025 industry-wide domestic box office was double that of April 2024,” he stated, adding that early May figures were similarly promising. He reiterated confidence in a robust resurgence for the remainder of 2025 and into 2026, citing growing demand and upcoming high-profile releases.
AMC reported having $378.7 million in cash and cash equivalents, signaling some financial resilience as it navigates the industry’s volatile recovery phase.
Tariff Proposal Raises Concerns, but AMC Theatres Urges Caution
During a conference call with analysts, Aron addressed broader industry issues, including a controversial proposal by former President Donald Trump to impose a 100% tariff on films produced abroad. The proposal, if enacted, could substantially increase production costs and potentially reduce the number of films available for domestic theaters like AMC Theatres to screen. Industry stakeholders fear such measures could further strain an already challenged exhibition sector.
Aron took a diplomatic stance, emphasizing the preliminary nature of the proposal. “It is our understanding that there are no final, specific plans as to what may transpire,” he said, assuring investors that AMC would monitor developments closely and engage in ongoing dialogue with policymakers.
As AMC Theatres eyes a rebound in ticket sales and navigates potential policy shifts, the coming quarters may prove pivotal for both the company and the wider film industry.
