"LEAWOOD, KANSAS - (November 8, 2023) -- AMC Entertainment Holdings, Inc. (NYSE: AMC) (“AMC” or “the Company”),
today reported results for the third quarter ended September 30, 2023.
Summary Third Quarter 2023 Results:
• Total revenue grew by 45.2% compared to Q3 2022 to $1,405.9 million.
• Net earnings grew by $239.2 million to $12.3 million compared to a net loss of $226.9 million in Q3 2022.
• Diluted earnings (loss) per share improved by $2.28 to $0.08 compared to $(2.20) in Q3 2022.
• Adjusted EBITDA improved by $206.6 million to $193.7 million compared to $(12.9) million in Q3 2022.
• Net cash provided by operating activities improved by $289.5 million to $65.9 million compared to Q3 2022.
• Non-GAAP Operating Cash Generated1 was $108.7 million, an improvement of $287.9 million compared to Q3 2022.
• Cash and cash equivalents at September 30, 2023 was $729.7 million.
Commenting on the earnings report, AMC Chairman and CEO Adam Aron said, "It is quite satisfying for AMC to report impressively favorable earnings for the third quarter of 2023, significantly above consensus and market expectations.
Revenues exceeded $1.4 billion. Adjusted EBITDA was $194 million. For both Revenue and Adjusted EBITDA, these were AMC's most successful third quarter results in our company's entire 103-year history, by definition being greater than the third quarter of pre-pandemic 2019. For the second consecutive quarter, AMC reported positive net income, and we ended the quarter with $730 million of cash. This all suggests that we are well underway on our growth path to recovery from the ravages of the COVID pandemic."
Aron continued, "What is perhaps most impressive of all is that our success in the third quarter came at a time when our attendance at the domestic box office in the quarter was still 16% below comparable 2019 levels. That success is because our contribution per patron was up 30% versus 2019. Our overall profitability has improved in part from all the actions we have taken over the past three and a half years, including innovative marketing and pricing initiatives that have significantly increased per patron spend, especially in our high-margin food and beverage business, the pruning of
our theatre fleet by closing marginal theatres and opening successful new ones, as well as a continued focus to manage expenses in a challenging inflationary environment. "
1 Operating Cash Generated is a non-GAAP metric that represents cash generated before debt servicing costs and before deferred rent payback Aron added, "Looking ahead to the fourth quarter of 2023, we could not be more pleased by the success of our first ever theatrical movie release, TAYLOR SWIFT: THE ERAS TOUR. It will be followed by RENAISSANCE: A FILM BY BEYONCÉ.
We extend our sincerest appreciation to Taylor Swift and Beyoncé Knowles-Carter, and we are optimistic that we can continue to collaborate with these and other globally renowned musical artists in 2024 and beyond. "Aron concluded, "These results are encouraging. They make us more confident than ever about the long-term relevance and prospects for moviegoing in the many years ahead. Having said that, the short-term impacts of the Writer's and Actor's strikes will cause additional and needless challenges for AMC in 2024. Without taking sides as to who is to blame and how the labor challenges should be resolved, we strongly encourage all the parties involved to come to the
negotiating table with the intent of reaching an agreement immediately. There has been and will be much collateral damage from these lengthy work stoppages. For the benefit of all involved in the movie ecosystem, this months-long disharmony needs to come to an end now. Whether one thinks of a studio executive or a union member in the creative community, it is ever so important that everyone in Hollywood returns to the task of creating world class entertainment that is admired and greatly enjoyed the world over."