Report: AMC has ‘substantial doubt’ it will recover from COVID-19 theater closures

Business

AUSTIN (KXAN) — According to a report from CNBC, the world’s largest movie theater chain has “substantial doubt” it can stay in business after closing for the COVID-19 pandemic.

AMC, with 49 locations in Texas and three in the Austin area, revealed in filings with the Securities and Exchange Commission they lost $941.5 million in revenue in the first quarter, and the second quarter is projected to be worse.

The losses reported in the most recent filing are preliminary, the company said, and the full revenue reports are due Tuesday, so the losses will probably be worse.

AMC says they are planning for first-quarter losses to total between $2.1-$2.4 billion.

“We are generating effectively no revenue,” the company said in its filing.

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