AMC Entertainment says today that it had a couple of firsts in 2016, the period when it became the world’s largest exhibition chain with acquisitions of Carmike Cinemas and Odeon and UCI Cinemas: It was the first year in which AMC’s admissions revenues topped $2 billion, and concession sales exceeded $1 billion.
But most of the Q4 numbers were pretty much in line with Wall Street expectations. Net income fell 20.1% to $33.3 million, with $22.8 million of merger and acquisition expenses outweighing a one-time $19.0 million tax benefit from previous acquisitions. Revenues at $926.1 million were up 18.2%.
The top line beat Wall Street’s expectation for $914.4 million. Including the one-time expenses and benefits, earnings came in at 33 cents a share, a penny behind analysts’ target.
AMC shares are up about 1% in post-market trading.
CEO Adam Aron says that his company’s “laser-like focus on the priorities that drive considerable growth is what differentiates us, and what has established AMC as the clear and undisputed leader among movie-theatre operators.”
AMC averaged 6,516 screens in Q4, up 30.6%. Attendance in the quarter increased 21.5% to 62.0 million, but the average outlay per ticket dropped 2.8% to $9.50.
The mix resulted in an 18.1% increase in admission revenues to $588.9 million.
The average outlay per patron for concessions fell 4% to $4.56. With the increased attendance, concessions revenues increased 16.6% to $282.5 million.