AMC Leisure has reached an settlement with Warner Bros. to showcase all the studio’s 2022 slate in theaters for 45 days.
The world’s largest theater chain had balked at Warner Bros.’ choice to launch this 12 months’s movies in cinemas and thru its HBO Max streaming service on the identical day. These movies included “Godzilla vs. Kong,” “House Jam: A New Legacy” and, most lately, “The Suicide Squad.” It additionally encompasses the upcoming releases of “Matrix 4” and “Dune,” amongst others.
AMC struck an identical contract with Comcast-owned Common final 12 months. That deal assured theatrical exclusivity for a minimum of 17 days earlier than movies might go to streaming or on-demand.
“It is particularly gratifying that Warner Bros. is but once more embracing a theatrical window,” CEO Adam Aron mentioned throughout Monday’s earnings name. “For us at AMC, it is particularly pleasing to be working so harmoniously with Warner Bros. as soon as once more.”
Warner Bros. had already introduced that it might be returning to cinema-only releases in 2022 throughout its mum or dad firm AT&T’s earnings name final month. It had additionally signed comparable offers with Cineworld, the proprietor of Regal Cinemas, in April and Cinemark in Might. The monetary particulars of those contracts haven’t been made public.
WarnerMedia CEO Jason Kilar mentioned throughout a July earnings name that theatrical releases will proceed to be necessary to the corporate, even because it creates streaming-only content material sooner or later.
Whereas the hybrid launch mannequin was a necessity in the course of the pandemic, there is no doubt that the technique has eaten into box-office receipts throughout the board for all studios. Large-budget movies have made a fraction of what they’d have in pre-pandemic occasions.
Having unique content material in theaters may help AMC’s money stream flip optimistic. The corporate is setting its sights on the fourth quarter to do that, however it should solely obtain this purpose if the entire home field workplace reaches $5.2 billion, Aron mentioned.
Whereas the theater chain reported second-quarter income of $444.7 million, increased than analyst expectations, it nonetheless posted a web lack of $344 million. That is an enchancment over the $561.2 million loss it posted a 12 months in the past.
Disclosure: Comcast is the mum or dad firm of Common and CNBC.
Correction: AMC mentioned it might publish optimistic money stream as quickly because the fourth quarter if the home field workplace reaches a minimum of $5.2 billion. An earlier model of the story misstated this forecast.