AMC Entertainment, the nation’s largest movie theater chain, said it lost half a billion dollars in the second quarter, making it the company’s worst quarter since it was founded in 1920.
The chain, which was forced to close cinemas across the nation as the coronavirus swept the nation in March, said it swung to a loss in the three months ended June 30 as revenue plunged 98.8 percent.
“It should be no surprise to anyone that with our operations shut the world over, and almost no revenues coming in the door, this was the most challenging quarter in the 100-year history of AMC,” said CEO Adam Aron.
For the quarter, AMC posted a net loss of $561.2 million, or $5.38 a diluted share, compared with year-ago income of $1.51 billion, or EPS of 48 cents. Revenue fell to a measly $18.9 million from $1.51 billion, a year earlier.
Wall Street expected a net loss of $4.29 a share on sales of $11.9 million.
AMC’s financials come on the heels of its groundbreaking deal with Universal Pictures to disrupt the 90-day window for theatrical releases. Under the deal, Universal, home to the “Fast & Furious” franchise and “Trollz,” can bring its movies to premium on-demand streaming services after just 17 days of being shown in theaters as opposed to three months. In exchange, AMC will get an undisclosed portion of the revenue generated from the streaming sales.