The giant-screen company Imax says box-office flops such as King Arthur and the latest Pirates of the Caribbean movie are to blame.
Imax posted a loss of $1.7 million on its overall revenues at $87.8 million. This compared to the previous year’s earnings at $6 million on overall revenue at $91.7 million.
Analysts say that while Warner Bros.’ Wonder Woman performed well on Imax screens, other projected blockbusters didn’t live up to industry expectations. Disney’s Pirates of the Caribbean: Dead Men Tell No Tales and Warner Bros.’ King Arthur: Legend of the Sword were cited as box office disappointments.
Imax CEO Richard Gelfond admitted that several movies “underperformed” expectations during the latest quarter. However Christopher Nolan‘s war epic Dunkirk did better than expected on Imax screens on its opening weekend. It pulled in $12 million in domestic box office.
Global box office from digitally remastered film titles stood at $268.9 million for the latest quarter, compared to $260.8 million for the previous year. However the per-screen average globally was $237,800, down from $268,200. This was mainly due to weaker box office in China.
“While we still view that market as a growth driver long-term, a number of titles didn’t resonate with filmgoers,” Gelfond commented on the company’s performance in the fast-growing Greater China market.
The CEO also pointed to Imax’s recent laying off of around 100 employee. This was part of its latest corporate restructuring aimed at bringing costs more in line with overall revenues.