AMC Entertainment Stock Falls After Q1 Results

Shares Slump 43 to $29.30

Earnings Miss Estimates, Revenue Falls

AMC Entertainment Holdings Inc. (NYSE: AMC) shares plunged 43 cents to $29.30 in after-hours trading on Wednesday after the movie theater chain reported disappointing first-quarter results.

The company reported a loss of $116.4 million, or $1.47 per share, compared to a loss of $148.9 million, or $2.33 per share, in the same period last year. Revenue fell 22% to $1.02 billion.

Analysts had expected the company to report a loss of $1.08 per share on revenue of $1.05 billion.

"Our first-quarter results reflect the continued impact of the COVID-19 pandemic on our business," CEO Adam Aron said in a statement. "However, we are encouraged by the improving box office trends and the strong demand for our new releases."

AMC operates over 950 theaters worldwide, including 625 in the United States. The company has been struggling in recent years as attendance at movie theaters has declined.

The pandemic has further exacerbated the company's challenges. AMC was forced to close all of its theaters in March 2020 and did not fully reopen until April 2021.

The company is hoping that the release of major blockbusters such as "Top Gun: Maverick" and "Jurassic World Dominion" will help boost attendance in the coming months.