The proposal comes as AMC, the world's largest cinema chain, owes about $4.5 billion in long-term debt as of Dec. 31, including more than $2.8 billion of maturities in 2026, according to regulatory filings.
Struggling cinema chain Cineworld has said its screens will remain open despite its plans to file for administration to cut its huge debts. Cineworld, which is the world's second-largest cinema chain, was hit hard by the Covid pandemic when many of its theatres were forced to close.
Between at-home streaming, strikes in Hollywood that halted film productions, and a pandemic that required would-be moviegoers to stay home, theaters have not had an easy time. Theater chains have closed dozens of theaters in recent years, and, as of last year, ticket sales were still one-third lower than in 2019.
Only 852 million movie tickets were sold in 2023, down by 46% from the peak year 2002 (1.85 billion tickets), so that was 21 years ago, and down by 31% from 2019 (1.23 billion tickets), despite the one-weekend wonder in July of “Barbenheimer” – the simultaneous theatrical release of Barbie and Oppenheimer.
Eduardo Acuna, CEO of Regal Cinemas owner Cineworld Group, says his movie theater chain is well-positioned for post-pandemic and post-bankruptcy growth amid Hollywood's box office recovery.
UK cinema chain cancels screenings of ‘blasphemous’ film after protests | Headliners
Is AMC and Regal the same company?
While both companies operate movie theaters across the United States , they are owned by different parent companies . AMC Theaters is owned by AMC Entertainment Holdings , Inc. , while Regal Theaters is owned by Cineworld Group plc .
AMC said it is no longer in talks to acquire theaters from Regal parent company Cineworld, which had filed for bankruptcy protection earlier this year. Cineworld, which is based in the United Kingdom, had been in discussions with AMC to hand over some of its theaters after filing for Chapter 11 bankruptcy in September.
In my opinion, cinema is not dying. I think that it is fair to say that the cinema, as a place where films are shown for public consumption, has taken a significant hit in recent years. However, the end of 2022 has renewed my faith in cinemas.
In recent years, there has been a surge in movie ticket pricing, which has been turning people off. Additionally, movies hit streaming services and digital weeks after films are released in theaters, barely giving these movies room to breathe.
The new Empire cinema in Basildon, Essex, was due to open in early 2022, but was hit by a series of delays. The cinema chain then went into administration in July this year, closing some of its sites.
Over half of respondents, 55%, said they are more interested in watching movies at home, 50% said it's too expensive to see movies in theaters and 32% said they aren't interested in the movies playing in theaters are major reasons why they don't go to theaters.
Global box office revenue is predicted to hit $32 billion in 2024, according to film analytics firm Gower Street, which is nowhere near the $40-billion-plus heights of the pre-COVID-19 era.
Ticket and snack prices rise, fellow patrons are rude, projection quality is hit-or-miss, floors are sticky, etc. Meanwhile, it's easier than ever to get a theater-quality experience at home with today's TVs and sound systems.
At the end of the day, it seems unlikely that streaming services will completely replace movie-going, but the accessibility of streaming services has detracted from the appeal of the theater experience.
As long as high-budget and highly-anticipated movies continue to be made and first projected in large, franchised theatres, movie theatres will not become obsolete.
The movie theater industry is consolidating in the wake of the pandemic. Since 2019, the number of total screens in the U.S. have decreased by around 3,000.
-in bigger urban areas: You have to drive through hectic downtown traffic, pay for parking, on top of the movie expenses. All that can add up. -home streaming is just more convenient, there's no real way to defeat it. It's exclusivity that cinemas really hang on.
While some may argue that the COVID-19 pandemic is the immediate explanation for the slow but steady decline in theater attendance, it's crucial to note that even before the pandemic, there were concerns from Hollywood and the Movie Theater industries about the long-term viability of cinemas due to the increasing ...
Cinema is already seeing the adoption of laser projection, the rise of HDR to the Cinema Screen – which Barco showcased at its premiere during the 2023 Cannes Film Festival, alongside a massive rise in Virtual Production.
Netflix isn't really designed to put movie theaters out of business, however it could happen, in the same way brick and mortar stores that don't adapt to online competition have gone out out of business, though the theater is more for entertainment and getting out of the house.
The average theatrical window for films released from May through June will end up more than 40 days — a significant increase compared to January-April, when the theatrical window fell to an average of 30 days.
AMC still sits more than 98% below its split-adjusted high of 393.65 set on June 2, 2021. So at the current price level, it does not yet trade at an IBD-style entry point. However, the stock is showing signs of bottoming out.
AMC's high debt after years of expansion pre-Covid had it teetering on the brink of bankruptcy during the pandemic (saved then by its meme stock status that inflated the stock) and under considerable financial strain after the WGA and SAG-AFTRA strikes disrupted the release schedule.
As of March 2023, AMC Theatres was the leading cinema circuit in the United States and Canada, with 7.71 thousand screens spread across both countries. Regal and Cinemark followed with around 6.47 thousand and 4.39 thousand movie theater screens, respectively.
