AMC Entertainment Q4 Earnings Call Highlights

Key Points

• AMC reported roughly $1.29 billion in Q4 revenue, $134 million of adjusted EBITDA and $127 million of cash from operations, with its U.S. theaters outperforming the industry by 140 basis points.
• For full-year 2025 AMC grew consolidated revenue about 4.6% to more than $4.8 billion and raised adjusted EBITDA to roughly $388 million, while posting record per‑patron metrics (total revenue per patron up to $22.10 and contribution margin per patron up 7.2% to $14.80).
• Management emphasized balance‑sheet repair and a bullish 2026 outlook: AMC has cut total debt by about $1.8 billion since 2020, ended 2025 with $428 million of cash and is pursuing a $2.4 billion refinancing plus an at‑the‑market equity program; executives expect a richer 2026 film slate could lift North American box office by roughly $500 million–$1 billion, with about two‑thirds of incremental revenue flowing to adjusted EBITDA.

AMC Entertainment NYSE: AMC executives used the company’s fourth-quarter and full-year 2025 earnings webcast to outline what they described as meaningful operational progress in a still uneven theatrical recovery, while emphasizing the company’s operating leverage and ongoing efforts to extend debt maturities and strengthen liquidity.

CEO highlights fourth-quarter performance and industry outperformance

Chairman and CEO Adam Aron opened the call with a personal health update, saying he had suffered a minor stroke in London in late 2025 but has recovered and is “in fighting shape.” He then turned to results and the industry backdrop, noting that the North American box office declined by about 4.4% in the fourth quarter of 2025.

Despite that softer environment, Aron said AMC generated approximately $1.29 billion in fourth-quarter revenue, $134 million of adjusted EBITDA, and $127 million of cash from operating activities. He also said AMC’s domestic U.S. theaters delivered 140 basis points of industry outperformance during the quarter as the company continued to gain market share.

Aron pointed to AMC’s scale and competitive positioning, stating that AMC represents “more than one out of four” U.S. box office dollars and is about 50% larger than the second- and third-largest U.S. exhibitors, with the rest of the industry fragmented among smaller players.

Full-year 2025 results: revenue growth, higher adjusted EBITDA, and record per-patron metrics

CFO Sean Goodman said the industry box office “fell short of expectations,” but that AMC performed well in areas within its control. For full-year 2025, he said the North American box office increased 1.5%, while industry attendance in AMC’s European markets declined by approximately 3% versus 2024.

Against that backdrop, Goodman reported that AMC grew consolidated revenue 4.6% year over year to more than $4.8 billion and welcomed more than 219 million guests globally. Adjusted EBITDA rose to approximately $388 million, a nearly 13% improvement from 2024.

Management emphasized record per-patron results in 2025, including:

• Admissions revenue per patron: up 5.9% to $12.09 (record)
• Food and beverage revenue per patron: up 5.1% to $7.62 (record)
• Total revenue per patron: up 6.8% to $22.10 (record)
• Contribution margin per patron: up 7.2% to $14.80 (record), which Goodman said is 51% higher than in 2019

In the U.S., Goodman said AMC outperformed the industry, growing admissions revenue 3.9%, or 240 basis points ahead of overall industry growth, helping drive total revenue growth of 4.6% and a nearly 15% increase in adjusted EBITDA. He reported domestic total revenue per patron of $23.79 and a per-patron contribution margin of $15.69, both records.

Internationally, results were affected by foreign exchange, with Goodman noting an approximate 4.5% year-over-year increase in FX rates. Attendance in AMC’s international theaters declined 5.5%, while revenue grew 4.6%, or was flat on a constant-currency basis. Adjusted EBITDA declined 2.1%, or 10% in constant currency. International total revenue per patron increased to $17.97, and contribution margin per patron rose to $12.61, both record levels.

2026 outlook: operating leverage and expectations for higher box office

Aron repeatedly returned to the theme of operating leverage, arguing that AMC’s earnings can expand meaningfully with higher revenue. He said roughly “two-thirds of the incremental revenue dollars drops down to the adjusted EBITDA line,” and he expects revenue growth in 2026 to drive substantial improvement.

He cited forecasts calling the 2026 film slate “considerably richer” than recent years and pointed to commentary from major studios and newer entrants about releasing more films. Aron also said January 2026 started strongly, with the North American box office up about 16% versus the prior year, with even stronger growth in Europe.

For the full year, Aron said AMC believes the North American box office in 2026 could rise by approximately $500 million to more than $1 billion compared with 2025, which he suggested could lead to dramatic improvement in AMC’s financial results. He added that AMC likely will need “at least a strong 2027 film slate as well” to be cash-flow positive in its years.

During the Q&A, Aron said early 2026 trends suggest Europe is recovering faster than the U.S. and added that, if he “had to be a betting man,” Europe could be stronger than the U.S. this year.

Balance sheet actions, liquidity, and capital allocation

Strengthening the balance sheet remained a central focus. Aron said AMC has reduced total debt by approximately $1.8 billion since the end of 2020, including a $1.4 billion reduction in principal and $420 million of repayment of COVID-related theater rental lease deferrals.

He highlighted a series of July 2025 transactions that included more than $240 million in cash proceeds from new debt issuance and the equitization of $183 million of debt, with potential to equitize up to approximately $337 million in total. Aron said these actions addressed AMC’s 2026 maturities, pushing them to 2029.

Goodman said AMC ended 2025 with $428 million of cash (excluding restricted cash). He also said free cash flow for the year was a use of cash of $366 million, but emphasized that the negative free cash flow was “entirely related” to the first quarter and that AMC generated positive free cash flow of $51 million for the nine months ended December 31, 2025, citing the company’s seasonal working-capital cycle.

Management also discussed refinancing efforts. Aron said AMC had launched a transaction to refinance approximately $2.4 billion of debt, and Goodman specified that the company is targeting its $2 billion term loan due 2029 and $400 million Odeon notes due 2027. If successful, Goodman said the transaction would address the “vast majority” of 2027 maturities, extend maturities to 2031, simplify the capital structure, and reduce debt servicing costs.

Goodman also said AMC is running an at-the-market equity offering to strengthen the balance sheet and support investment in the core business; as of the prior Friday, AMC had received $26.2 million in gross proceeds.

On capital spending, Goodman said 2025 CapEx (net of lease incentives) totaled $200 million, the midpoint of AMC’s prior guidance range of $175 million to $225 million. He said 2026 CapEx is expected to be in the same range.

Operational initiatives: premium formats, loyalty, pricing, and partnerships

Aron described progress under the company’s “AMC Go Plan,” including laser projection now deployed in “fully half” of AMC’s U.S. circuit. He also emphasized AMC’s leadership in premium formats and said the company has around 170 XL (extra-large format) screens globally, a figure he expects to “literally double” by the end of 2026.

On loyalty and pricing, Aron said AMC introduced a new loyalty tier, AMC Premiere GO!, in January 2025, and member enrollments have reached about 39 million households in the U.S. He said loyalty members accounted for 51% of total U.S. attendance in 2025. He also noted “considerable” price increases to the A-List subscription program in May 2025 and described a revamped discount initiative launched in July 2025 offering 50% off on Tuesdays and Wednesdays, saying AMC’s analysis indicates the added midweek attendance did not cannibalize weekend results.

Late in 2025, AMC launched an annual Popcorn Pass for loyalty members priced at $29.99 plus tax per year, offering 50% off a large popcorn; Aron said more than 120,000 guests subscribed in the first two months. He also previewed a planned 2026 initiative to reserve “best seats” as preferred Premiere seating for A-List and Stubs Premiere members, initially at no added charge.

Aron highlighted recent collaborations with Netflix, saying AMC delivered about 35% of attendance for the film KPop Demon Hunters over the Halloween weekend. He also said AMC hosted the Stranger Things series finale in 231 U.S. theaters over New Year’s Eve and New Year’s Day, welcoming more than 753,000 fans and collecting approximately $15 million in cash.

In response to a retail investor question about food and beverage innovation, Aron cited menu changes such as adding freshly baked chocolate chip cookies (replacing donut holes) and introducing new pizza at dine-in locations. He also said movie-themed merchandise has grown into a sizable business, totaling $65 million in the U.S. in 2025 and an additional $10 million to $15 million in Europe, with Aron describing profit margins of about 50%.

Finally, Aron discussed AMC’s investment in Hycroft Mining, saying AMC monetized just more than $24 million from a partial sale in November 2025 and retained shares and warrants now worth about $39 million at the current market price, compared with AMC’s $29 million investment made four years earlier.

About AMC Entertainment NYSE: AMC

AMC Entertainment Holdings, Inc operates as a leading movie exhibition company, specializing in the presentation of theatrical motion pictures across a network of multiplex cinemas. The company's core business activities encompass ticket sales, concession and refreshment services, and the licensing of premium viewing formats. AMC offers a variety of auditorium experiences, including IMAX®, Dolby Cinema™, and Cinemark's RealD 3D systems, designed to enhance audience engagement through superior sound, visual clarity, and seating comfort.

Originally founded in 1920 with its first theatre in Kansas City, AMC has evolved into one of the largest theater chains in the world.

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