AMC Entertainment Holdings, Inc. (NYSE: AMC) (“AMC” or “the Company”), today reported results for the first quarter ended March 31, 2022
First Quarter Summary
- Total revenues grew to $785.7 million compared to $148.3 million for the first quarter of 2021.
- Net loss improved to $337.4 million compared to a net loss of $567.2 million for the first quarter of 2021.
- Adjusted EBITDA improved by $233.0 million to a loss of $61.7 million compared to a loss of $294.7 million for
the first quarter of 2021.
- Available liquidity at March 31, 2022 was $1,376.0 million.
In announcing the quarterly results, Adam Aron, Chairman and CEO of AMC said, “Our results for the first quarter of 2022 represent AMC’s strongest first quarter in two full years. We continue on our pandemic recovery trajectory, more than quintupling revenues and improving adjusted EBITDA by nearly eighty percent compared to a year ago. The significant progress AMC has made is very rewarding, as our guests continue to recognize the unparalleled movie-going experience offered by AMC.”
Aron added, “The cumulative success of “Spider-Man: No Way Home,” “The Batman,” “Sonic the Hedgehog 2” and “this past weekend’s opening of “Dr. Strange in the Multiverse of Madness,” should leave no doubt about the enduring appeal of theatrical exhibition. When Hollywood releases films that moviegoers want to see, people flock to cinemas in huge numbers to watch movies where they were designed to be seen, in theatres, on the big screen.”
Aron continued, “The outlook for the theatrical box office during the remainder of 2022 is very exciting. AMC is ready to showcase compelling new releases including “Top Gun: Maverick,” “Jurassic World Dominion,” “Lightyear,” “Thor: Love and Thunder,” “Minions: The Rise of Gru,” “Black Panther: Wakanda Forever,” and a host of other films providing something for everyone. And then comes the bell ringer. At year-end, the culmination of 2022 will be James Cameron’s “Avatar 2,” the long-awaited sequel to what was at the time of its original release the #1 grossing movie of all-time.”
Aron concluded, “Our operating and capital allocation priorities remain unchanged: relish and guard our strong liquidity position, strengthen our balance sheet, innovate with our marketing programs to drive revenue, contain costs, invest in our core business and continue to explore transformative value-creating investment opportunities. So far during 2022 AMC has raised $950M to refinance 1st lien debt, lowered interest rates and extended maturities; announced a significant upgrade to laser projectors at 3,500 U.S. auditoriums by 2026; launched multiple NFT programs and accepted more cryptocurrencies and other payment types; acquired 10 new high-profile theatres in key markets; and invested $28 million in Hycroft Mining (NASDQ: NYMC). Whether through leveraging our core competencies in theatrical exhibition or our experience in balance sheet management and capital raising, we will continue to take bold, decisive action to strengthen AMC for the future.”
Balance Sheet, Cash and Liquidity
Cash at March 31, 2022 was $1,164.9 million excluding restricted cash of $23.7 million. AMC currently has liquidity availability of more than $1.35 billion (including cash and undrawn revolver lines), however the Company does not anticipate the need to borrow under the revolver lines during the next twelve months.
On February 14, 2022, the Company completed a private offering of $950.0 million aggregate principal amount of 7.5% first lien senior secured notes due 2029. The Company used the net proceeds and cash on hand, to redeem the Company’s $500.0 million aggregate principal amount of 10.5% First Lien Notes due 2025, $300.0 million aggregate principal amount of 10.5% First Lien Senior Secured Notes due 2026 and $73.5 million aggregate principal amount of 15%/17% Cash/PIK Toggle First Lien Secured Notes due 2026 and to pay related accrued interest, fees, costs, premiums and expenses. The Company recorded a loss on extinguishment of debt of $135.0 million in other expense related to these redemptions during the quarter ended March 31, 2022.
About AMC Entertainment Holdings, Inc.
AMC is the largest movie exhibition company in the United States, the largest in Europe and the largest throughout the world with approximately 940 theatres and 10,500 screens across the globe. AMC has propelled innovation in the exhibition industry by: deploying its Signature power-recliner seats; delivering enhanced food and beverage choices; generating greater guest engagement through its loyalty and subscription programs, web site and mobile apps; offering premium large format experiences and playing a wide variety of content including the latest Hollywood releases and independent programming. For more information, visit www.amctheatres.com.