News

Analyst Sees 1% Hike in Boxoffice

By Robert Marich
   Oct. 9, 2016—A Wall Street analyst is forecasting that domestic theatrical box office will rise an encouraging 1% to $11.2 billion in 2016, says a New York Post article.
   My take: given many other industries aren’t growing revenue (they're flat to down) and cinema faces incursions by video-on-demand, a 1% increase seems pretty good.
   Analyst Robert Fishman of Wall Street investment researcher MoffettNathanson had been forecasting
Secret LIfe of Pets $365 million in domestic BO was a surprise industry boost

a 3% decline in boxoffice, but now sees that 1% uptick due to Universal Pictures’ animated The Secret Life of Pets and Warner Bros. comic book live-action drama The Suicide Squad outperforming. Those two films boosted box office in the third quarter (July-September) 12%. “Fishman calculated that the two films accounted for 41 percent of the quarter’s absolute increase — enough to generate nearly $3 billion in total domestic receipts and result in the best third quarter on record,” writes Richard Morgan of the New York Post.
   Analyst Fishman analysis is that ticket unit sales will fall 1.5% in 2016 to 1.3 billion units, but revenue rises due to higher average ticket sales. Even the weak economy and VOD competition, the movie industry should be happy to take ticket price hikes to keep growing.
   That forecast of $11.2 billion in domestic box office tops these data actuals: $11.1bn in 2015, $10.4bn in 2014, $10.9bn in 2013 and $10.8bn in 2012.
For full text, click links below; this website’s text is searchable via searchboxes on upper right of web pages:
http://nypost.com/2016/10/07/us-movie-biz-will-set-a-record-in-2016-analyst/
http://www.marketingmovies.net/news/north-am-china-rule-global-bo/
http://www.marketingmovies.net/news/researcher-sees-cinema-growing/
http://www.marketingmovies.net/chapters/chapter-9-exhibition-theaters/