According to the theater chain, all of AMC's revenue growth can be attributed to the films featuring Taylor Swift and Beyoncé.

• On Wednesday, AMC announced that almost all of its additional revenue and EBITDA were due to the distribution of concert films featuring Taylor Swift and Beyoncé.
• Performers are now reaching out to the movie chain to showcase their talents on the big screen.
• Last year, earnings for several companies, including AMC, were boosted by the popularity of two pop divas.

Move over, Nicole Kidman. has some new patron saints.

The growth in revenue and operating profit at AMC in the final three months of 2023 was solely due to concert films featuring Taylor Swift and Beyoncé, according to CEO Adam Aron.

"The two movies contributed significantly to AMC's revenue and the success of movie theaters in our industry, accounting for one-ninth of the total fourth-quarter, domestic, industry-wide box office, according to Aron on the movie theater chain's earnings call."

In 2023, AMC released two movies, "Taylor Swift: The Eras Tour" and "Renaissance: A Film by Beyoncé," marking the first movie distributions in the company's 103-year history. These projects, which took place in the final quarter of the year, were significant as they coincided with the pop stars' tours that defined the cultural landscape of 2023.

In the fourth quarter, AMC's domestic box office receipts from the two releases exceeded the distribution totals of most major studios, except for one, according to Aron.

As other artists seek to distribute their filmed concert versions in theaters in 2024 and 2025, AMC's phones are "ringing off the hook," said the company's CEO.

""This is a remarkable achievement, considering that neither of these films were initially planned and were the first to be distributed by AMC. It is no wonder that our admiration for Taylor Swift and Beyoncé Knowles-Carter is boundless," said Aron."

A cultural and economic force

The two divas significantly contributed to AMC's financial growth in the fourth quarter. Swift's documentary or concert film grossed over $200 million, setting a new record for AMC.

Last year, stadiums across the U.S. were filled with fans eager to witness the global music superpowers in concert. Notable for their high ticket resale prices, these tours reflected consumers' willingness to spend big on what was dubbed the "funflation" trend. Attendees' outfits, which matched the aesthetic of each star, included friendship bracelets and black fedoras.

The economic impact of these events was noticed by Wall Street and the Federal Reserve, with some questioning its effect on national economic data, while others saw a positive impact on tourism in cities where the tours were halted.

This earnings season, it wasn't just AMC that experienced an increase in revenue from concerts and films.

Swift's movie and merchandise, along with strategic pricing initiatives, were credited by Chief Financial Officer Melissa Hayes Thomas for the 2% increase in average ticket prices and 8% growth in domestic concession stand revenue compared to the same quarter a year ago.

In 2023, there was a 35% increase in rides to stadiums compared to the previous year, according to a ride-share platform. The Swift and Beyoncé concerts, as well as sporting events, were identified as key drivers of this increase.

Disney+ will exclusively host an extended version of Taylor Swift's tour film "Taylor's Version" on March 15, following CEO Bob Iger's announcement on the earnings call earlier this month.

"Disney+ is excited to bring back "Taylor Swift: The Eras Tour (Taylor's Version)" for audiences to enjoy whenever they want."

Meme stock performance

The actors and writers strikes in 2023 posed challenges for AMC, resulting in delays in movie releases and a halt in Hollywood's operations.

Although the company exceeded analysts' revenue predictions in the latest quarter, it also experienced a larger loss in earnings per share than Wall Street forecast.

In 2021, AMC became a popular "meme" stock among retail traders during the pandemic. However, on Thursday, its shares fell more than 14% in afternoon trading. As of 2024, the stock has declined by over 28%.