Welcome to BigScreenBiz.com

I am glad that I found this resource. It seems like a relatively active yet well experienced group. Thank you in advance.

We are a development company and are in the process of considering a art house movie theater (3 screens) for a project we are working on. We have already spoken to a chain and might work with them.

But for now I would just like to get a feel for the financials. For example, when looking at a restaurant, I know that typically you can expect 30% food costs, 25% labor, etc. etc. ending with around a 13-17% EBIDTA.

Are there any standard rules and expectations for the movie theater industry? I know it varies widely, but just some general figures would help me have a feel for the business.

Thanks again for any help.

A standard for EBIDTA is tough across companies as different companines own different amount of the properties they operate in. For example Marcus touts a 28% EBITDA but they own a very large percent of the properties they operate in..

AMC has a 13% EBITDA but has a significant rent expense on their income statements.

What you can use to get close are: film expense 55%, concession expenses: AMC runs about the lowest at 10.5% or so (Way too much IMHO) others run 20-25%. theater operating expenses 20-25%. Ticket sale are approx 2x concession to as high as 2.5 (AMC-not suprising with their high concession margins).

I am in Australia. I think it varies to how many screens and how many people you expect to have. If you are averaging $500,000 per screen your profit would be higher than say an average of $300,000 turnover per screen.

Film Hire can also vary location to location depending upon how long you keep the movie going or negotiate new titles.

For a three plex I would expect the following. The calculations would vary on say a 4 plex or 5 plex but for a 3 plex may be able to expect the following.

I haven't checked this with out own figures but this is from the top of my head.

Turnover Box Office $1,000,000
Candy Bar $300,000
Labour $200,000
Rent $200,000
Rates Insurance can't remember
Profit (EBITDA) $150,000
Seats around 800
Film Hire $450,000

Thanks for the info. I apologize for the long delay, but we've been busy opening our restaurants and bowling lounge.

The info seems pretty much along the lines of the restaurant industry. We're coming along nicely and will open in May (with no further delays hopefully).

Devax - where is the bowling lounge / restuarant located? Is there a website i can visit?