Citing a “lackluster film slate,” AMC Entertainment Holdings Inc. reported a 45 percent drop in its earnings during April, May and June.
The $24 million profit equaled 24 cents a share, compared with a $43.9 million profit, or 45 cents a share, in the same months of 2015.
AMC Theatres took in less revenues from admissions and from food and beverage sales, the Leawood-based company said in its announcement. Total revenues were $764 million, down 7 percent from $821 million a year ago.
Shares of the company fell 96 cents, or 3.26 percent, to close at $28.46 after the earnings report.
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As evidence that poor viewing choices hurt earnings, AMC said its average concessions per patron reached a record high of $4.87 during the second quarter.
Chief executive Adam Aron said the industrywide box-office slump began to turn around in July, which saw a 7 percent increase in box-office revenues through July 29.
AMC, Aron said, made progress on other fronts during the quarter. Among these were more theater renovations, a revamp and relaunch of its AMC Stubs loyalty program, the deal to acquire Odean & CCI Cinemas in Europe and a higher offer to buy U.S. rival Carmike Cinemas.
“When either of these acquisitions close, AMC then becomes overnight the largest movie exhibitor in the world,” Aron said in the announcement. “Taken together, this level of activity and progress is almost breathtaking, enabling AMC to be uniquely positioned to deliver additional value to our guests, associates and shareholders.”
Separately, AMC’s China-based parent company, Dalian Wanda Group, scrapped a $5.6 billion plan to reorganize its entertainment assets, according to Bloomberg News. The report said Wanda Cinema Line Co. would have bought Legendary Entertainment and Chinese film-making companies from the parent firm, but changing market conditions ended the effort.