AMC Entertainment (AMC) came out with a quarterly loss of $0.43 per share versus the Zacks Consensus Estimate of a loss of $0.10. This compares to break-even earnings per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -330%. A quarter ago, it was expected that this movie theater operator would post a loss of $0.62 per share when it actually produced a loss of $0.78, delivering a surprise of -25.81%.Over the last four quarters, th ...

Top exhibitor AMC Entertainment posted a loss of 10 cents a share and saw revenue slide 24% in the second quarter due to the strike-hit movie pipeline. Though they may have been shaky, however, the financials matched Wall Street analysts’ estimates and shares in AMC gained ground in after-hours trading. The loss compared with a profit of 6 cents a share in the same period a year ago, while the revenue figure of $1.03 billion was down from $1.348 billion in the 2023 quarter. CEO Adam Aron, the pre-eminent c ...

Theatre Operations - As of June 30, 2024, the company operated 886 theatres and 9,889 screens across 11 countries in the U.S. and Europe[165] - As of June 30, 2024, AMC had approximately 33 million member households enrolled in its loyalty programs, representing about 48.9% of U.S. market attendance[171] - The number of IMAX® theatres remained stable at 183 in the U.S. as of June 30, 2024, with a total of 216 IMAX® theatres globally[170] - The company operated 554 theatres in the U.S. markets, down from 569 theatres in the previous year, a decrease of 2.6%[189] - The number of screens operated in the U.S. markets was 7,262 as of June 30, 2024, compared to 7,432 in the same period of 2023, indicating a slight reduction[1] Revenue Sources and Performance - The primary revenue sources are box office admissions and food and beverage sales, with box office admissions being the largest revenue contributor[165] - Total revenues for the three months ended June 30, 2024, were $1,030.6 million, a decrease of 23.5% compared to $1,347.9 million for the same period in 2023[186] - Admissions revenue decreased by 24.1% to $564.4 million from $744.1 million year-over-year[186] - The company experienced a significant decrease in food and beverage revenue, down 24.8% to $367.1 million from $488.2 million year-over-year[186] - Total revenues for the U.S. markets decreased to $1,505.0 million in the six months ended June 30, 2024, down from $1,791.9 million in the same period of 2023, representing a decline of approximately 16%[1] Attendance Trends - Future attendance and revenue levels are uncertain due to potential changes in movie studio release schedules and consumer behavior, particularly following labor strikes in 2023[159] - Attendance decreased to 50,013 thousand from 66,368 thousand year-over-year[187] - Attendance in U.S. markets decreased to 36,493 thousand from 50,023 thousand in the prior year, a drop of 27.0%[189] - Attendance in the U.S. markets decreased to 66,983 thousand in the six months ended June 30, 2024, compared to 82,385 thousand in the same period of 2023, indicating a decline of approximately 19%[1] Financial Losses and Costs - Operating income for the three months ended June 30, 2024, was a loss of $47.4 million, compared to an income of $84.8 million for the same period in 2023[186] - Net earnings for the three months ended June 30, 2024, were a loss of $32.8 million, compared to a profit of $8.6 million in the same period of 2023[186] - The net loss for the U.S. markets was $(142.5) million for the six months ended June 30, 2024, compared to a net loss of $(188.7) million in the same period of 2023[1] - Net loss was $(32.8) million for the three months ended June 30, 2024, compared to net earnings of $8.6 million for the same period in 2023[216] Debt and Financing - There are risks associated with significant indebtedness, including the potential for dilution of common stock due to future share issuances[161] - The company raised gross proceeds of $250 million through the issuance of approximately 72.5 million shares of Common Stock during the six months ended June 30, 2024[176] - AMC executed a debt for equity exchange, extinguishing $191.4 million in Second Lien Notes due 2026, resulting in a gain of $91.1 million[175] - The company completed refinancing transactions on July 22, 2024, extending the maturities of approximately $1.6 billion of debt to 2029 and 2030[273] Operational Efficiency - The company is exploring strategic initiatives to optimize its theatre circuit, including new constructions and transformations of existing theatres[162] - The company plans to focus on market expansion and new product development to drive future growth[189] - Operating costs and expenses for the three months ended June 30, 2024, were $1,078.0 million, a decrease of 14.7% compared to $1,263.1 million in the same period of 2023[186] - Operating costs and expenses decreased by $185.1 million, or 14.7%, during the three months ended June 30, 2024[208] Market Challenges - The company faces significant risks related to the recovery of North American and international box office revenues, which may not meet pre-COVID-19 levels, impacting liquidity and operational cash flow[159] - The impact of changing distribution practices and the rise of streaming platforms may further challenge traditional box office revenues[161] - North American box office grosses were down approximately 36% for the six months ended June 30, 2024, compared to the same period in 2019, indicating a significant impact on revenue generation[276] Cash Flow and Capital Expenditures - The company reported a net cash flow used in operating activities of $222.9 million for the six months ended June 30, 2024, compared to $203.3 million for the same period in 2023, primarily due to a decline in attendance[279] - Capital expenditures for the six months ended June 30, 2024, were $95.1 million, slightly lower than $96.0 million for the same period in 2023[280] - The company estimates capital expenditures for the year ending December 31, 2024, to be approximately $175 million to $225 million to maintain and enhance operations[281]

AMC Entertainment Holdings, Inc. Reports Second Quarter 2024 Results [Second Quarter 2024 Summary Results](index=1&type=section&id=Second%20Quarter%202024%20Summary%20Results) AMC experienced a significant decline in Q2 2024 financial performance, shifting from net earnings to a net loss and a substantial decrease in Adjusted EBITDA Q2 2024 Key Financial Metrics vs. Q2 2023 | Metric | Q2 2024 | Q2 2023 | | :--- | :--- | :--- | | Total Revenues | $1,030.6 million | $1,347.9 million | | Net Earnings (Loss) | $(32.8) million | $8.6 million | | Net Loss per Diluted Share | $(0.10) | $0.06 (Earnings) | | Adjusted EBITDA | $29.4 million | $182.5 million | | Net Cash Used in Operating Activities | $(34.6) million | $(13.4) million | | Cash and Cash Equivalents (at June 30, 2024) | $770.3 million | N/A | [Management Commentary](index=1&type=section&id=Management%20Commentary) Management highlighted a strong finish to Q2 2024, driven by successful film releases and strategic debt refinancing, despite an initial slowdown from Hollywood strikes - The quarter began slowly due to the impact of the 2023 Hollywood strikes but finished with incredible strength, leading to the **highest-ever June Adjusted EBITDA** in the company's history[3](index=3&type=chunk) - Strong box office momentum continued into July with major releases like 'DESPICABLE ME 4', 'TWISTERS', and 'DEADPOOL & WOLVERINE', the latter setting records for an R-rated movie's opening weekend[3](index=3&type=chunk) - The company is confident in its future, citing a strong slate of upcoming blockbuster movies and transformative capital market transactions that extended up to **$2.45 billion** of debt maturities from 2026 to 2029 and 2030[3](index=3&type=chunk)[5](index=5&type=chunk) [Capital Markets Activity](index=4&type=section&id=Capital%20Markets%20Activity) AMC executed significant capital market transactions in Q2 and Q3 2024, including debt-for-equity exchanges, stock sales, and a major debt refinancing extending maturities to 2029 and 2030 - In Q2 2024, AMC exchanged **$173.9 million** of 2026 Second Lien Notes for **25.0 million shares** of Class A common stock[6](index=6&type=chunk) - The company raised **$250.0 million** in gross proceeds during Q2 2024 by selling **72.5 million shares** of Class A common stock[6](index=6&type=chunk) - In Q3 2024, AMC refinanced up to **$2.45 billion** of debt due in 2026, extending maturities to 2029 and 2030 through the issuance of approximately **$2.0 billion** in New Term Loans and approximately **$414 million** in new Exchangeable Notes due 2030[6](index=6&type=chunk)[7](index=7&type=chunk) Consolidated Financial Statements [Consolidated Statements of Operations](index=10&type=section&id=Consolidated%20Statements%20of%20Operations) AMC's Q2 2024 consolidated statements of operations show a significant year-over-year decrease in total revenues and a shift from operating income to a net loss Consolidated Statements of Operations (in millions) | Item | Q2 2024 | Q2 2023 | | :--- | :--- | :--- | | **Total Revenues** | **$1,030.6** | **$1,347.9** | | Admissions | $564.4 | $744.1 | | Food and beverage | $367.1 | $488.2 | | **Operating Income (Loss)** | **$(47.4)** | **$84.8** | | **Net Earnings (Loss)** | **$(32.8)** | **$8.6** | | Diluted Earnings (Loss) per Share | $(0.10) | $0.06 | [Consolidated Balance Sheet Data](index=11&type=section&id=Consolidated%20Balance%20Sheet%20Data) As of June 30, 2024, AMC's balance sheet reflects a decrease in cash and total assets, alongside a slight improvement in total stockholders' deficit Balance Sheet Data (in millions) | Item | As of June 30, 2024 | As of Dec 31, 2023 | | :--- | :--- | :--- | | Cash and cash equivalents | $770.3 | $884.3 | | Corporate borrowings | $4,335.5 | $4,577.4 | | Total assets | $8,594.7 | $9,009.2 | | Total stockholders' deficit | $(1,696.6) | $(1,847.9) | [Consolidated Other Data](index=11&type=section&id=Consolidated%20Other%20Data) Q2 2024 saw increased net cash used in operating activities and free cash flow outflow, coupled with a significant decline in total attendance and fewer theatres operated Cash Flow and Operational Metrics (in millions, except operating data) | Metric | Q2 2024 | Q2 2023 | | :--- | :--- | :--- | | Net cash used in operating activities | $(34.6) | $(13.4) | | Free cash flow | $(79.2) | $(62.0) | | Capital expenditures | $(44.6) | $(48.6) | | Attendance (in thousands) | 50,013 | 66,368 | | Number of theatres operated | 886 | 906 | Segment Information [Segment Operating Metrics](index=12&type=section&id=Segment%20Operating%20Metrics) Q2 2024 segment operating metrics show a decline in attendance across both U.S. and international markets, with mixed trends in average ticket price and food and beverage revenue per patron Q2 2024 vs Q2 2023 Segment Operating Metrics | Metric | Market | Q2 2024 | Q2 2023 | | :--- | :--- | :--- | :--- | | Attendance (thousands) | U.S. | 36,493 | 50,023 | | | International | 13,520 | 16,345 | | Average Ticket Price | U.S. | $12.01 | $11.78 | | | International | $9.32 | $9.48 | | F&B Revenue per Patron | U.S. | $8.34 | $8.22 | | | International | $4.65 | $4.72 | [Segment Financial Performance](index=13&type=section&id=Segment%20Financial%20Performance) Both U.S. and international segments experienced significant declines in Q2 2024 revenues and Adjusted EBITDA, with international markets reporting an Adjusted EBITDA loss Q2 2024 vs Q2 2023 Segment Financials (in millions) | Metric | Market | Q2 2024 | Q2 2023 | | :--- | :--- | :--- | :--- | | Revenues | U.S. | $815.9 | $1,087.4 | | | International | $214.7 | $260.5 | | Adjusted EBITDA | U.S. | $49.3 | $174.8 | | | International | $(19.9) | $7.7 | | Capital Expenditures | U.S. | $33.8 | $36.8 | | | International | $10.8 | $11.8 | Reconciliation of Non-GAAP Financial Measures [Reconciliation of Adjusted EBITDA](index=13&type=section&id=Reconciliation%20of%20Adjusted%20EBITDA) Q2 2024 Adjusted EBITDA significantly declined to $29.4 million, with reconciliation from net loss reflecting substantial adjustments including gains on debt extinguishment and shareholder litigation recoveries Reconciliation of Net Earnings (Loss) to Adjusted EBITDA (in millions) | Description | Q2 2024 | Q2 2023 | | :--- | :--- | :--- | | **Net earnings (loss)** | **$(32.8)** | **$8.6** | | Income tax provision | $0.7 | $0.4 | | Interest expense | $99.0 | $102.6 | | Depreciation and amortization | $78.8 | $96.8 | | Other expense (income) | $(105.0) | $(30.1) | | Other adjustments | $(0.4) | $14.2 | | **Adjusted EBITDA** | **$29.4** | **$182.5** | - Other expense (income) for Q2 2024 included **$(19.1) million** in shareholder litigation recoveries and **$(85.3) million** in gains on debt extinguishment[32](index=32&type=chunk) [Reconciliation of Free Cash Flow](index=16&type=section&id=Reconciliation%20of%20Free%20Cash%20Flow) Q2 2024 free cash flow was a larger outflow of $(79.2) million, driven by increased net cash used in operating activities and capital expenditures Free Cash Flow Reconciliation (in millions) | Description | Q2 2024 | Q2 2023 | | :--- | :--- | :--- | | Net cash used in operating activities | $(34.6) | $(13.4) | | Total capital expenditures | $(44.6) | $(48.6) | | **Free cash flow** | **$(79.2)** | **$(62.0)** | [Reconciliation of Contribution Margin Per Patron](index=17&type=section&id=Reconciliation%20of%20Contribution%20Margin%20Per%20Patron) Consolidated contribution margin per patron increased to $13.76 in Q2 2024, with both U.S. and international markets showing improvements Contribution Margin Per Patron | Market | Q2 2024 | Q2 2023 | | :--- | :--- | :--- | | U.S. markets | $14.73 | $13.90 | | International markets | $11.16 | $10.88 | | **Consolidated** | **$13.76** | **$13.16** | [Reconciliation of Adjusted Net Loss](index=27&type=section&id=Reconciliation%20of%20Adjusted%20Net%20Loss) AMC reported a significantly increased adjusted net loss of $(137.9) million for Q2 2024, primarily due to adjustments for gains on debt extinguishment and shareholder litigation recoveries Adjusted Net Loss Reconciliation (in millions, except per share data) | Description | Q2 2024 | Q2 2023 | | :--- | :--- | :--- | | Net earnings (loss) | $(32.8) | $8.6 | | Gain on extinguishment of debt | $(85.3) | $(21.6) | | Shareholder litigation | $(19.1) | $(1.2) | | Other adjustments | $(0.7) | $7.6 | | **Adjusted net loss** | **$(137.9)** | **$(6.6)** | | **Adjusted diluted loss per share** | **$(0.43)** | **$(0.04)** |

Recent movie news bodes well for AMC Entertainment (NYSE:AMC) stock as it reports earnings on Aug. 2. Although it released preliminary results last week, this could be a case of “buy the rumor, sell the news.”Disney (NYSE:DIS) has three certified movie hits on its hands. Inside Out 2, Despicable Me 4 and now Deadpool & Wolverine have all earned $500 million or more at the box office. AMC stock is up 9% already and two of the Disney movies were released too late to help the cinema owner’s results. While ther ...

AMC Entertainment Holdings, Inc. (AMC) is slated to release results for second-quarter 2024 on Aug 2, after the closing bell.In the last reported quarter, the company’s earnings missed the Zacks Consensus Estimate by 25.8%. The company’s top line dropped 0.3% year over year. However, AMC’s loss per share narrowed to 78 cents from a loss of $1.31 reported in the prior-year quarter.AMC surpassed the earnings in the trailing three out of four quarters. The average surprise over this period is 38%, as shown in ...

NEW YORK, July 30, 2024 (GLOBE NEWSWIRE) -- AMC Networks, Inc. [NASDAQ: AMCX] announced today that Jamie Gallagher, the company’s long-time General Counsel and EVP, will retire at the end of the year. Following more than 16 years of service, Gallagher will step down from his role, concluding a distinguished career marked by invaluable contributions to the company. Throughout his tenure, Gallagher has been a cornerstone of the AMC Networks leadership team, guiding the company through significant chapters in ...

Core Viewpoint - Small-cap stocks are currently outperforming large-cap stocks, with notable examples being AMC Entertainment and Coursera, which present significant growth opportunities for investors [1]. Group 1: AMC Entertainment - AMC Entertainment has shown a remarkable 52% increase in stock price over the past three months, currently trading around $5.18 per share, driven by a resurgence in moviegoers and major blockbuster releases [2]. - The company is diversifying its revenue streams by hosting live events, gaming, and corporate gatherings, aiming to stabilize and grow income beyond traditional movie ticket sales [5]. - AMC reported quarterly sales of $88.96 million, a 9% decline year-over-year but exceeding analyst expectations of $76.01 million, with earnings per share (EPS) of $0.18, surpassing the estimated $0.07 [6]. Group 2: Coursera - Coursera is expanding its global presence through strategic partnerships with top universities and companies, enhancing its course offerings and appeal to a global audience seeking flexible education [7]. - The company reported adjusted profits of $0.09 per share and sales of $170.3 million for Q2 2024, exceeding analyst projections of $0.01 per share and $164.4 million in sales, with an 11% year-over-year sales growth [8]. - Coursera's stock was trading at $10 with a 44% gain over 24 hours, reflecting strong market performance [8].

Stock Performance - AMC Entertainment ended the recent trading session at $5 18, showing a +0 78% increase from the previous day's closing price [1] - The stock's performance lagged behind the S&P 500's daily gain of 1 11%, while the Dow and Nasdaq saw gains of 1 64% and 1 03%, respectively [1] - Over the past month, AMC's stock has risen by 7 53%, outperforming the Consumer Discretionary sector's loss of 3 51% and the S&P 500's loss of 1 16% [1] Earnings and Revenue Projections - AMC Entertainment is set to release its earnings report on August 2, 2024 [1] - The Zacks Consensus Estimates project full-year earnings of -$0 76 per share and revenue of $4 57 billion, representing changes of +67 93% and -5 02%, respectively, from the prior year [1] Analyst Estimates and Zacks Rank - Recent revisions to analyst estimates for AMC Entertainment reflect evolving short-term business trends, with positive alterations indicating optimism about the company's business and profitability [2] - The Zacks Rank system, which integrates estimate changes, has shown a proven track record of outperformance, with 1 stocks returning an average of +25% annually since 1988 [2] - Over the past month, there has been a 9 52% rise in the Zacks Consensus EPS estimate for AMC, and the company currently holds a Zacks Rank of 2 (Buy) [2] Industry Overview - The Leisure and Recreation Services industry, part of the Consumer Discretionary sector, currently has a Zacks Industry Rank of 199, placing it in the bottom 22% of all 250+ industries [3] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [3]

Shares of embattled theatre chain operator AMC Entertainment (NYSE:AMC) are ticking in the green again following its announcement of debt restructuring. However, these fleeting gains do little to impact the bearish outlook for AMC stock, which is overshadowed by its declining underlying business. AMC stock remains as precarious as ever, potentially sending its shareholders into dizzying headaches. Therefore, AMC is a no-brainer stock to sell, which will continue to erode shareholder value for the foreseeabl ...