Summary by Moomoo AI
AMC Entertainment reported Q2 2024 revenues of $1.03 billion, down 23.5% from $1.35 billion in Q2 2023, primarily due to a 24.6% decline in attendance to 50.0 million patrons. The decline was largely attributed to the impact of 2023 Hollywood labor strikes on film releases. The company posted a net loss of $32.8 million compared to net earnings of $8.6 million in Q2 2023.Operating costs decreased 14.7% to $1.08 billion, with film exhibition costs down 28.9% to $272.3 million. Food and beverage revenue fell 24.8% to $367.1 million, though per-patron spending remained relatively stable at $7.34. The company recorded gains of $91.1 million from debt extinguishment and $19.1 million from litigation recoveries during the quarter.As of June 30, 2024, AMC had cash and cash equivalents of $770.3 million. The company completed significant debt refinancing in July 2024, extending approximately $1.6 billion of debt maturities to 2029 and 2030. Management believes existing cash and operating cash flows will be sufficient to fund operations through the next 12 months, though noting current cash burn rates are not sustainable long-term without revenue recovery to pre-COVID levels.
