AMC stock surrenders post-earnings gains
AMC shares gained as much as 9.94%
AMC reports growth in earnings after the bell
Investing YouTuber Kenan Grace discusses AMC earnings and Wealth Enhancement SVP Nicole Webb discusses summer earnings on 'Making Money'
AMC Entertainment Holdings Inc. shares on Tuesday gave up the big gains that came after the company delivered quarterly results that topped Wall Street expectations.
Shares of the Leawood, Kansas-based movie-theater chain climbed by as much as 9.94% to $37.16 apiece before retreating to nearly unchanged.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| AMC | AMC ENTERTAINMENT | 3.28 | -0.01 | -0.31% |
"The second quarter of 2021 was transformational for AMC," said CEO Adam Aron in a statement accompanying his company’s second-quarter results.
AMC on Monday evening reported its quarterly loss narrowed to $344 million, or 71 cents per share, from $561.4 million the prior year. Revenue was up 2,252% to $444.7 million.
The improvement came as AMC had all 593 domestic theaters and 335 international theaters, representing about 95% of overseas locations. More than 22 million customers attended theaters during the quarter, up from 100,000 during the same period last year.
The return to the box office and a number of stock and debt offerings helped AMC raise its cash pile to $1.81 billion. The company last week raised ticket prices by about 5%, which is about a 50 cent per ticket increase, on average.
Still, Aron warns AMC is "not yet out of the woods" despite shares soaring 1,494% this year through Monday.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
AMC narrowly avoided a bankruptcy filing in January after receiving a $917 million infusion from investors. At the time, shares bottomed out at $2.01 apiece.
"While there are no guarantees as to what the future will bring in a still infection-impacted world, one can look ahead and envision a happy Hollywood ending to this story," Aron said.