AMC Entertainment Holdings Inc Q2 2025 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Eric Wold - Texas Capital Securities - Analyst : Thanks. Good afternoon, everybody. A couple of questions. First off on pricing, so you talked a lot about pricing, Aron. You obviously mentioned the 50% off when they priced the implemented about a month ago to bring in the bargaining hunters. And you also mentioned you took out -- or feel comfortable after it raised prices every day of the week, except Tuesday. I think you still have surcharges in some of the blockbuster films kind of opening weekends. So I guess, if you're comfortable raising prices on tickets in this macroenvironment, maybe talk a little about food and beverages. What are your thoughts there once you get the consumers into the theaters? Are you taking up prices on food and beverage? Are you more focused on driving incidents and getting people to the counters instead of taking a price. Where's the [focus] there and what is the best way that you found to drive incidents recently? What's worked the best there?

Question: Eric Wold - Texas Capital Securities - Analyst : Got it. If I could squeeze one more. You signed the amended agreement with National Center Media a few months back to extend the amount of advertisers prior to the showtime that started at the start of July. Reports out recently that you may now be cutting that back already. Any comments there that is true, you are cutting it back. What's leading to that decision to do so quickly after sending it?

Question: Chad Beynon - Macquarie Group Ltd - Analyst : Good afternoon, guys. Thanks for taking my question. Nice quarter. Wanted to ask about just the overall portfolio, Adam. And Sean, you went through the net closures over the past couple of years. I think this was one of the first quarters where there was almost zero net closures sequentially. So with that in mind, can you just talk about, you know, given the profit outlook and the more positive view on the industry, are we at a point where we might start seeing, you know, net ads going forward? Obviously understanding that leases come up on an annual basis, but just kind of thinking about the portfolio and the cash flow per screen. Could this start to be a floor in terms of the number of units in your portfolio? Thank you.

Question: Chad Beynon - Macquarie Group Ltd - Analyst : That's interesting. Okay. Thanks for all that, Adam. And then lastly, quickly, Sean, just on the Big Beautiful Bill benefits to CapEx-generating companies. Can you just talk about, as you see it now, maybe what some of the cash benefits could be either from a cash-stack standpoint or a cash-shield standpoint in future years? Thank you. Sean Goodman - AMC Entertainment Holdings Inc - Executive Vice President - International Operations, Chief Financial Officer and Treasurer Chad, thanks. Obviously, as a result of that bill, we get two key benefits. The one is the depreciation deduction and the other is the interest deduction based on EBITDA as opposed to EBIT. So that has a benefit for us, but bear in mind that we have NLRs that will run through probably through 2026 or so. So the cash benefit will only be in future years, '27, '28, and going forward from there. So it's certainly beneficial, it increases the NLRs for