AMC produces strong first-quarter profit, pushing forward on Carmike deal

Higher revenues and lower costs boosted first-quarter profits at AMC Entertainment Holdings Inc. to $28.3 million.

The Leawood-based operator of AMC Theatres said its profit equaled 29 cents a share, compared with the $6.1 million profit, or 6 cents a share, it earned in the first three months of 2015.

“AMC is off to a great start in 2016. Our relentless pursuit of innovation and delivering the best possible moviegoing experience for our guests, together with the December 2015 acquisition of Starplex Cinemas, generated record first-quarter results at AMC,” chief executive officer Adam Aron said in the company’s announcement.

The company continues to expect its $1.1 billion agreement to buy rival Carmike Cinemas Inc. to be completed by the end of the year, pending approval by Carmike shareholders.

Some Carmike shareholders have balked at the deal, saying their company should have a higher price tag. Carmike’s CEO even has expressed “melancholy” over the deal.

AMC’s revenues reached $766 million in the first quarter, compared with $653 million a year earlier. Revenues increased from admissions and from sales of food and beverages. The average ticket price rose to $9.42 and the average concessions tab to $4.76.

This story was originally published April 29, 2016 at 10:36 AM with the headline "AMC produces strong first-quarter profit, pushing forward on Carmike deal."