AMC(AMC) - 2024 Q4 - Annual Report

Financial Performance - Total revenues for the year ended December 31, 2024, were $4,637.2 million, a decrease of 3.6$4,812.6 million in 2023 [459]. - Net loss for the year ended December 31, 2024, was $352.6 million, an improvement from a net loss of$396.6 million in 2023 [461]. - Admissions revenue decreased to $2,560.5 million in 2024 from$2,690.5 million in 2023, reflecting a decline of 4.8% [459]. - Food and beverage revenue also saw a decline, totaling $1,624.9 million in 2024 compared to$1,669.8 million in 2023, a decrease of 2.7% [459]. - Operating loss for 2024 was $79.3 million, slightly worse than the operating loss of$74.3 million in 2023 [459]. - Cash and cash equivalents decreased to $632.3 million as of December 31, 2024, down from$884.3 million in 2023 [464]. - Total assets decreased to $8,247.5 million in 2024 from$9,009.2 million in 2023, a decline of 8.4% [464]. - Total liabilities decreased to $10,008.0 million in 2024 from$10,857.1 million in 2023, a reduction of 7.8% [464]. - Net cash used in operating activities improved to $50.8 million in 2024 from$215.2 million in 2023 [466]. - The company reported a net cash decrease of $230.6 million for the period, compared to an increase of$257.0 million in the previous period [467]. Debt and Financing - The company has an aggregate principal balance of $2,014.2 million outstanding under New Term Loans, with interest rates ranging from 11.356$20.1 million for the year ended December 31, 2024 [421]. - The company had an aggregate principal balance of $1,905.0 million outstanding under Existing Term Loans as of December 31, 2023 [424]. - A 100-basis point change in market interest rates would have increased or decreased interest expense on Existing Term Loans by$19.1 million during the year ended December 31, 2023 [424]. - The company anticipates potential dilution of Common Stock due to future share issuances related to debt repayment and refinancing [15]. - The company plans to continue seeking to retire or purchase outstanding debt through cash purchases and/or exchanges for equity or debt [479]. - The company issued $414.4 million in new Exchangeable Notes on July 22, 2024, with a fair value of the derivative liability associated with the embedded conversion feature at$233.4 million [444]. - The Exchangeable Notes have an effective interest rate of 15.12%, with recorded interest expense of $18.2 million for the period from July 22, 2024, to December 31, 2024 [593]. - The New Term Loans mature on January 4, 2029, unless certain conditions regarding the Existing First Lien Notes are met, which could change the maturity date to October 5, 2028 [595]. - The company completed refinancing transactions on July 22, 2024, extending the maturities of approximately$1.6 billion of debt previously maturing in 2026 to 2029 and 2030 [577]. Impairment and Asset Management - The company reported an impairment charge of $51.9 million for long-lived assets in the US and$20.4 million in International markets for the year ended December 31, 2024 [438]. - The company evaluated its long-lived assets for impairment whenever events indicate that the carrying amount may not be fully recoverable [438]. - The company recorded non-cash impairment of long-lived assets totaling $72.3 million for the year ended December 31, 2024, compared to$107.9 million in 2023 and $133.1 million in 2022 [514]. - The company recorded a gain of$15.5 million from the sale of its 10% investment in Saudi Cinema Company LLC, which was sold for SAR 112.5 million ($30.0 million) on January 25, 2023 [561]. Currency and Market Risks - The company is exposed to fluctuations in foreign currency exchange rates, with a hypothetical 10$9.0 million for the year ended December 31, 2024 [427]. - The company experienced an aggregate net loss increase of approximately $10.9 million due to a hypothetical 10$8.35 billion as of December 31, 2024 [470]. - The company issued 75,497,216 shares, raising $252.8 million during the reporting period [470]. - The company’s cash burn rates are not sustainable long-term, necessitating a return to pre-COVID-19 revenue levels [477]. - The company anticipates that achieving sustainable net positive cash flows will require significant revenue increases [477]. Pension and Employee Benefits - For the year ended December 31, 2024, the Company expects to contribute$2.4 million to the U.S. pension plans [520]. - The aggregated projected benefit obligation for U.S. pension benefits at the end of 2024 was $73.8 million, down from$79.3 million in 2023 [519]. - The Company’s net periodic benefit costs for the year ended December 31, 2024, were $1.8 million, an increase from$1.4 million in 2023 [522]. - The Company’s defined contribution plan expenses were $10.5 million,$9.8 million, and $9.0 million for the years ended December 31, 2024, 2023, and 2022, respectively [526]. Lease and Operating Costs - Total lease costs for the year ended December 31, 2024, were$989.2 million, compared to $967.4 million in 2023 [550]. - The weighted average remaining lease term for operating leases as of December 31, 2024, was 8.1 years, with a discount rate of 10.7$107.3 million, pending commencement [553]. - The Company recorded lease liabilities based on the present value of minimum lease payments, which include base rent and other fixed payments [511].