Amc Entertainment Holdings, Inc. · NYSE:AMC
Amc Entertainment — Investor Day (March 2017)
19 slides from Amc Entertainment's investor day presentation, Mar 23, 2017
Slide 1: Investor Day
Investor Day San Francisco, California March 23, 2017
Slide 2: Disclaimer
Disclaimer While the information included herein is believed to be reliable, AMC and Nordic Cinema Group do not make any representations or warranties, expressed or implied, as to the accuracy or completeness of such information contained herein or made available, orally or in writing, in connection
Slide 3: Company Representatives
Company Representatives Adam Aron Chief Executive Officer and President Craig Ramsey Executive Vice President and Chief Financial Officer 3
Slide 4: AMC Today – Global Scale & Diversity
AMC Today – Global Scale & Diversity Recent M&A Transactions Have Created Largest AMC is the largest exhibitor in the US, in Europe Circuit in the World and in the World (Screen Count as of 12/31/16) AMC’s footprint including Nordic Cinema: 11,225 – Operates in 15 countries (1) 667 – Over 1,000
Slide 5: Global Platform
Global Platform Pro forma circuit, including Nordic, will have more than 1,000 theatres and 11,000 screens, in 15 countries (1) U.S.: Large Market and Customer Experience Leader Europe: Platform for Investment and Expansion (1) 660 theatres 364 theatres 8,293 screens 2,932 screens #1 #1 Nordic Odeon
Slide 6: Industry is Large and Stable with Attractive Value Proposition
Industry is Large and Stable with Attractive Value Proposition The Box Office Has Demonstrated a Positive Long-Term Trend North American Box Office, $ in billions $12 $11 $10 $9 $8 $7 Dec-03 Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 NA Box Office, Tra
Slide 7: Record Industry Box Office and AMC Initiatives Create Growth Potential
Record Industry Box Office and AMC Initiatives Create Growth Potential Record Box Office Performance in 2015 and 2016 (Box Office in $ billions)(1) North America Europe(2) $11.5 $11.9 $11.1 $11.4 $10.3 $4.3 $5.0 $4.9 2014A 2015A 2016A 2017E 2018E 2014A 2015A 2016A 2017 Films 2018 Films • Lego Batman
Slide 8: AMC’s Strategy: Enhance + Engage + Expand
AMC’s Strategy: Enhance + Engage + Expand Leveraging AMC’s Success Across a Larger Base Creates Value 1 Enhance Comfort and convenience initiatives – Recliner seating / Reserved seating Food & Beverage – Coke Freestyle / MacGuffins / Expanded Food Offerings Premium Sight & Sound 1 – IMAX / Dol
Slide 9: Quicken Pace of Theatre Innovation Deployment
1 Quicken Pace of Theatre Innovation Deployment Recliner Reseats at Legacy AMC (1) Progress to Date Legacy AMC at Legacy AMC Pipeline Screens:(2) 1,898 Screens % of Legacy AMC 35% 2017: 2,650 Growth to Date(3) Attendance: 47% 2018: 3,350 ATP: 7% Total Revenue: 64% Pre-Renovation Theatres Renovated T
Slide 10: Legacy AMC Food & Beverage Innovation has Increased Revenue
1 Legacy AMC Food & Beverage Innovation has Increased Revenue Growing F&B Take Rates… …Have Diversified Legacy AMC’s Revenues… (F&B Take Rate as % of Total Attendance)(1,2) (F&B Revenues as a % of Total Revenue)(2) 71% 31.5% 31.5% 71.0% 27.6% 27.6% 64% 64.0% 2011A 2016A 2011A 2016A …And Improved F&B
Slide 11: Sight and Sound Remains an Opportunity
1 Sight and Sound Remains an Opportunity (1) • Largest IMAX operator in the US with 178 locations expected to be open by end of March 2017 • Premium Large Format (PLF) experience • Global brand • Announced expansion with a total of 185 IMAX screens to be operational by 2019 • Largest Dolby Cinema op
Slide 12: World Class Marketing to Drive Growth
2 World Class Marketing to Drive Growth (1) Re-launch of AMC Stubs • Introduced new free loyalty tier, relaunched paid tier • More than doubled membership since January 1, 2016 • Surpassed 6 million member households • Early box office and food & beverage results are very positive Re-launch of AMC W
Slide 13: Acquisitions Provide Scale and Growth Opportunities
3 Acquisitions Provide Scale and Growth Opportunities Theatres / Screens (1) 271 / 2,923 245 / 2,249 118 / 667 (2) Western and Scandinavia, Nordic and Baltic Geographic Footprint Suburban and rural U.S. Southern Europe Regions Combined the #2 and #4 Largest European exhibitor Expands AMC’s lea
Slide 14: Larger Platform for Growth Initiatives
Larger Platform for Growth Initiatives (1) Core Growth Initiative Pipeline Circuit (w/o recliner Recliner Dine-In Total seats) Re-seats Theatres w/o recliners w/recliners Legacy AMC Screens 3,330 1,788 202 110 5,430 As of 12/31/16 5-Year Target Screens Legacy AMC (2) 2,159 3,744 210 127 6,240 (+) Ca
Slide 15: AMC Has Delivered Above and Beyond December 2013 IPO Story
AMC Has Delivered Above and Beyond December 2013 IPO Story Legacy AMC Revenue Legacy AMC Theatre Adjusted EBITDA ($ in millions) ($ in millions) Growth Comparison CAGR (1) Growth Comparison CAGR (1) ’14-’16 ’14-’16 AMC Targets at IPO (2) ~4 – 5% AMC Targets at IPO (2) ~8 – 9% AMC’s Actual Growth Rat
Slide 16: AMC’s Recent Financial Performance
AMC’s Recent Financial Performance AMC has had a strong last 12 months, with EBITDA up over 12% from same time last year. FY2016 Performance (1) Key Messages ($ in millions) Admissions Revenue 8.3% 2016 Domestic Box Office grew ~2% YoY to an all-time $1,892 $2,049 high of $11.4 billion 2015A 2016A
Slide 17: 2016 Pro Forma Results
2016 Pro Forma Results AMC, Odeon & Carmike Nordic Information LTM 12/31/2016 LTM 9/30/16 $842M 2016 Pro forma Adj. EBITDA $375M (ex-Nordic) Total Revenue $35M Expected Carmike + $10M Expected Odeon Synergies Synergies $5M Expected Nordic Synergies = Operating margins greater $887M (ex-Nordic) than
Slide 18: AMC Investment Highlights
AMC Investment Highlights #1 operator in the U.S., Europe and the World Exhibition industry is large and stable with a positive outlook Proven track record of success Large pipeline of theatres to deploy proven growth initiatives Well positioned to deliver superior results through our grow
Slide 19: Appendix
Appendix Reconciliation of Pro Forma Adjusted EBITDA: (dollars in thousands) (unaudited) LTM December 31, 2016 Earnings from Continuing operations $ (19,357) Plus: Income tax provision $ 27,862 Interest expense $ 241,129 Depreciation and amortization $ 475,675 Impairment of long-lived assets $ 9,036
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