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AMC ENTERTAINMENT HOLDINGS, INC. (AMC)·Q3 2025 Earnings Summary

Executive Summary

  • Q3 2025 revenue of $1.30B declined 3.6% YoY but exceeded Wall Street consensus, while Adjusted EBITDA of $122.2M also beat estimates; GAAP net loss widened to $(298.2)M on non-cash debt extinguishment and refinancing items .
  • Beat: Revenue and Adjusted EBITDA were above consensus; Miss: EPS modestly below consensus given sizable non-cash “other expense” tied to the July refinancing (including ~$196M loss on debt extinguishment) .
  • Management reiterated a strong Q4 slate and indicated Q4 box office could be the highest in six years; AMC gained U.S. market share and achieved record admissions revenue per patron ($12.25) and the second-highest F&B per patron ($7.74) .
  • Capital structure actions in Q3 strengthened liquidity and reduced 2026 maturities; CFO guided FY25 net CapEx (post lease incentives) to $175–$225M and expects 9-month FCF positive if Q4 box office aligns with expectations .

What Went Well and What Went Wrong

What Went Well

  • Outperformed industry despite softer box office; AMC achieved all-time record admissions revenue per patron ($12.25) and second-highest F&B per patron ($7.74), with contribution margin per patron up 9.2% YoY .
  • Consensus beats: management highlighted “comfortably beat” Wall Street on both revenue ($1.30B) and Adjusted EBITDA ($122.2M) in Q3 .
  • Strategic distribution success: Taylor Swift “Official Release Party of a Showgirl” generated ~$50M global box office in one weekend and debuted #1, demonstrating AMC’s distribution capabilities .

Quote: “AMC Entertainment comfortably beat Wall Street consensus… revenue of precisely $1.3 billion and adjusted EBITDA of $122 million” .

What Went Wrong

  • GAAP net loss widened dramatically to $(298.2)M, driven primarily by non-cash charges tied to July 2025 refinancing (not operational weakness), including ~$196M loss on debt extinguishment and FX losses .
  • Adjusted EBITDA declined YoY to $122.2M (from $161.8M) as North American box office was down ~11% YoY; attendance fell 10.3% YoY .
  • Diluted EPS was $(0.58), reflecting the impact of higher interest expense and “other expense” versus last year .

Financial Results

Quarterly Actuals vs Prior Periods

MetricQ1 2025Q2 2025Q3 2025
Revenue ($USD Millions)$862.5 $1,397.9 $1,300.2
Diluted EPS ($USD)$(0.47) $(0.01) $(0.58)
Adjusted EBITDA ($USD Millions)$(58.0) $189.2 $122.2
Net Cash from Operating Activities ($USD Millions)$(370.0) $138.4 $(14.9)
Free Cash Flow ($USD Millions)$(417.0) $88.9 $(81.1)

Q3 YoY Comparison

MetricQ3 2024Q3 2025
Revenue ($USD Millions)$1,348.8 $1,300.2
Net Loss ($USD Millions)$(20.7) $(298.2)
Adjusted EBITDA ($USD Millions)$161.8 $122.2
Attendance (000s)65,087 58,377

Margins (Computed from reported figures)

MetricQ1 2025Q2 2025Q3 2025
Adjusted EBITDA Margin %(6.7%) (−58.0/862.5) 13.5% (189.2/1,397.9) 9.4% (122.2/1,300.2)
Net Income Margin %(23.4%) (−202.1/862.5) (0.3%) (−4.7/1,397.9) (22.9%) (−298.2/1,300.2)

Segment Breakdown

SegmentQ2 2025 Revenue ($MM)Q2 2025 Adj. EBITDA ($MM)Q3 2025 Revenue ($MM)Q3 2025 Adj. EBITDA ($MM)
U.S. Markets$1,114.2 $181.0 $1,005.9 $110.9
International Markets$283.7 $8.2 $294.3 $11.3
Total$1,397.9 $189.2 $1,300.2 $122.2

KPIs

KPIQ1 2025Q2 2025Q3 2025
Attendance (000s)41,903 62,807 58,377
Average Ticket Price ($)11.30 12.14 12.25
F&B Revenue per Patron ($)6.76 7.95 7.74
Contribution Margin per Patron ($)14.33 14.48 14.72
U.S. Attendance (000s)26,907 46,889 42,276
International Attendance (000s)14,996 15,918 16,101

Q3 2025 Results vs S&P Global Consensus

MetricActualConsensus MeanSurprise
Revenue ($USD Millions)$1,300.2 $1,231.5*+$68.7M (Beat)
Adjusted EBITDA ($USD Millions)$122.2 $96.4*+$25.8M (Beat)
EPS ($USD)$(0.58) GAAP; $(0.21) Adjusted $(0.193)*−$0.017 (Miss)

Values retrieved from S&P Global.*

Drivers: Beats on revenue/EBITDA reflect per-patron pricing strength, premium formats, and share gains; EPS miss stems from non-operational “other expense,” notably ~$196M loss on debt extinguishment tied to July refinancing .

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Net CapEx (post lease incentives)FY 2025Not specified prior$175M–$225M New quantitative range
Free Cash Flow9 months ending Dec 31, 2025Not specified priorExpected to be positive, contingent on Q4 box office New directional
Box Office OutlookQ4 2025Not specified priorExpected highest-grossing Q4 in six years Directional raised tone
Box Office OutlookFY 2026Not specified prior“Dramatically larger than 2025” Directional bullish

Earnings Call Themes & Trends

TopicPrevious Mentions (Q1 2025)Previous Mentions (Q2 2025)Current Period (Q3 2025)Trend
Premium Large Formats (IMAX, Dolby, XL)Announced U.S. XL rollout; 4DX & ScreenX adoption; expanded IMAX/Dolby partnerships Flywheel: premium formats drive occupancy and pricing Accelerating: upgrading IMAX to laser; plan to add more IMAX/Dolby, expand ScreenX/4DX, grow house-brand PLFs and extra-large XL screens to ~300 by next Christmas Upward investment and footprint expansion
Pricing & LoyaltyPer-patron metrics resilience; A-List and Stubs emphasized Per-patron records (admissions $12.14; F&B $7.95) Dynamic pricing (peak pricing, broad-based increases); discount Tue/Wed; ~1M A-List; Premier Go 600k–700k members Strategic pricing power and loyalty growth
Distribution/Content PartnershipsN/AN/ATaylor Swift event (#1, $50M), nascent Netflix cooperation; live broadcast capability to 277 U.S. theatres Expanding non-traditional content
Capital Structure/RefinancingEquity/ATM activity in Q1; debt repurchases July refinancing: $244M new cash; equitization potential up to $337M; resolved litigation Q3 reflected non-cash charges from refinancing; equitized ~$183M exchangeable debt; 2026 maturities addressed Balance sheet improving; near-term GAAP noise
AI/Technology InitiativesN/AN/AInvestment in Nova Sky Stories (AI-driven aerial drone shows); broader AI use cases planned Emerging strategic pillar

Management Commentary

  • “AMC… comfortably beat Wall Street consensus… revenue of precisely $1.3 billion and adjusted EBITDA of $122 million” .
  • “We expect the fourth quarter industry-wide box office will turn out to be the highest grossing fourth quarter in six years… the size of the 2026 box office will be dramatically larger than that achieved in 2025” .
  • “AMC outperformed the industry, achieving all-time record admissions revenue per patron of $12.25… second-highest food & beverage revenue per patron… $7.74” .
  • “We refinanced $173 million of debt maturing in 2026 and equitized $143 million… subsequently increased to $183 million without… additional equity or cash” .
  • “From start to finish… Taylor Swift… fully $50 million in box office… AMC pulled all this off in only seven and a half weeks” .

Q&A Highlights

  • Pricing power and strategy: AMC implemented broad-based ticket price increases ahead of strong summer slate; uses peak/off-peak pricing and premium format premiums, balanced with deep discounts on Tue/Wed (50% off) to drive value and loyalty enrollment .
  • Concessions economics: F&B per person growth driven by higher participation, units per transaction, and mix (collectibles, themed drinks); targeted, data-driven pricing with promotional overlays on discount days .
  • M&A environment: Attractive small-circuit opportunities exist at low multiples; AMC monitoring but constrained near-term by cash/share availability, prioritizing liquidity and de-leveraging .
  • Loyalty expansion: A-List members nearing ~1M; new Premier Go tier amassed 600k–700k members year-to-date, enhancing frequency and spend .

Estimates Context

  • Results exceeded S&P Global revenue and Adjusted EBITDA consensus for Q3; EPS was modestly below consensus due to non-operational “other expense” from refinancing/derivative/fair value items .
  • With a strong Q4 slate and improved market share, sell-side may raise EBITDA and revenue estimates for Q4/FY26; EPS forecasts should incorporate continued interest expense and potential non-cash items.

Q3 2025 Consensus (S&P Global): Revenue $1,231.5M*, Adjusted EBITDA $96.4M*, EPS $(0.193); Actual: Revenue $1,300.2M , Adjusted EBITDA $122.2M , Adjusted diluted EPS $(0.21) . Values retrieved from S&P Global.

Key Takeaways for Investors

  • Near-term: Trade the Q4 slate—AMC’s per-patron monetization and premium formats amplify leverage to box office; management signaling potentially strongest Q4 in six years .
  • Structural: Pricing power is real—peak pricing plus loyalty discounts are driving record per-patron metrics amid market share gains .
  • Balance sheet: Refi improves runway—though GAAP noisy, non-cash refinancing charges mask underlying operating trajectory; equitization reduces 2026 maturities .
  • Content strategy: Distribution optionality—Taylor Swift event and nascent Netflix cooperation broaden non-traditional revenue sources; live broadcast capability opens new monetization vectors .
  • 2026 setup: Bullish slate and footprint—expanded IMAX/Dolby/XL and AI-driven initiatives position AMC to capture incremental demand and pricing .
  • Estimates: Upward revisions likely for Q4/FY26 EBITDA/Revenue; model EPS sensitivity to “other expense” and interest costs.
  • Risk management: Watch industry box office cadence, FX, and derivative/valuation impacts on GAAP earnings; focus on Adjusted EBITDA and FCF trajectory .

Values retrieved from S&P Global.*