AMC posts surprise profit as summer blockbusters boost US box office

By Anzar Mehraj

July 20 (Reuters) – AMC Entertainment turned in a surprise adjusted quarterly profit, the latest sign that U.S. cinema chains are rebounding thanks to a strong summer release slate that included blockbusters “The Super Mario Galaxy Movie” and “Obsession”.

The largest U.S. theater chain also posted record revenue in the second quarter, and said a $124 million opening weekend at the domestic box office for Christopher Nolan’s “The Odyssey” bodes well for an industry still clawing back to pre-pandemic attendance levels.

Its shares rose 18% in morning trading.

“This is the biggest box office quarter in seven years and the fifth-biggest quarter ever,” CEO Adam Aron said of the April-June period.

“We believe that movie theaters will enjoy, in the full twelve-months of 2026, their strongest yet post-pandemic year, at both the domestic and the global box office.”

Backing the view is a packed release slate, with “Spider-Man: Brand New Day” hitting cinemas at the end of July and Warner Bros Discovery’s “Dune: Part Three” and Disney-owned Marvel’s tentpole “Avengers: Doomsday” landing in December.

Major studios including Disney and Comcast’s Universal have also committed to exclusive theatrical windows for their biggest films, a trend operators have said was driving footfall.

For the second quarter, AMC posted revenue of $1.60 billion. Analysts on average estimated $1.47 billion, according to data compiled by LSEG. Adjusted profit per share was 14 cents, compared with expectations for a loss of 6 cents.

Six different films delivered domestic opening weekend grosses exceeding $75 million, and attendance at AMC’s U.S. and international markets rose 12% and about 18%, respectively.

Still, some analysts question whether the recovery can hold as cinemas face a potentially weaker release slate next year.

“For six years now, moviegoing has struggled to maintain pre-COVID activity. Strong quarters, like this one, will happen now and again. But the industry’s struggles will remain,” said Ross Benes, senior analyst for TV and streaming at eMarketer.

(Reporting by Anzar Mehraj in Bengaluru; Editing by Joyjeet Das)