AMC ENTERTAINMENT HOLDINGS, INC. Q3 FY2024 earnings call

Box Office Recovery: The domestic industry box office in Q3 2024 was a post-pandemic high, up 37% from Q2. Q4 2024 has a strong movie slate including Mufasa: The Lion King, Moana 2, and Wicked. 2025 and 2026 box offices expected to surpass prior years. ### Financial Improvements: Net loss narrowed by 37% Q3 vs Q2, total revenues 31% stronger. Adjusted EBITDA 4x stronger Q3 vs Q2, second-best in AMC's history. ### Balance Sheet: Extended $2.4 billion of long-term debt maturities, paid down $345 million of debt in 2024, ended Q3 with $527 million cash. ### AMC Perfectly Popcorn: Successful launch with distribution in over 6,000 locations, expecting 10,000+ by mid-2025. ### G.O. Plan: Plan to invest $1-1.5 billion over 4-7 years in theaters, including laser projection upgrades, theater renovation, and expanding premium large formats (PLF) like IMAX, Dolby Cinema, and new XL at AMC screens.

In the third quarter of 2024, the domestic industry box office was $2.7 billion, up 37% from the second quarter. AMC's total revenues were 31% stronger than in 2024. Net loss was narrowed by 37% compared to the second quarter. Adjusted EBITDA was 4x stronger than Q2 2024. AMC achieved new records for third quarter admissions revenue per patron and food and beverage revenues per patron. Domestic food and beverage revenue per patron was $8.49, international was $5.07. Attendance in Q3 was 25% lower than pre-pandemic Q3 2019, but adjusted EBITDA was in line with pre-pandemic Q3 2019.

Box Office: Believes box office will continue rising. Q4 2024 has strong movie slate. 2025 and 2026 box offices expected to surpass prior years. ### G.O. Plan: Intends to invest $1-1.5 billion over 4-7 years in theaters, including expanding laser projection, renovating theaters, and increasing PLF screens like IMAX, Dolby Cinema, and XL at AMC.

Q: Jim Goss asked about AMC's participation in IMAX's Penn State-Washington football game live on screens and potential similar programs.

A: Adam Aron said they work with IMAX, interested in sports programming, working to get rights for national games and collegiate sports.

Q: Alicia Reese asked about concession costs.

A: Sean Goodman said food and beverage costs are affected by attendance and procurement, expecting Q4 costs to be in line with Q3.

Q: Retail shareholder asked when industry box office will reach steady state.

A: Adam Aron said box office recovery has been ongoing, AMC doesn't need box office to return to pre-pandemic levels due to improved profit per patron, expecting strong performance in 2025 and beyond.