Reviving Box Office Success: Fathom Events’ Record Revenue Gains and the Power of Classic Films

Fathom Events, a joint venture between AMC, Regal, and Cinemark, has emerged as a major player in the box office industry. While traditionally known for bringing alternative content to the big screen, such as classic Hollywood films, live theater and opera productions, and concerts, Fathom has recently expanded its reach into specialty distribution. This move has proven to be highly successful, with Fathom generating $100 million at the box office in 2023, a 116% increase from 2019 levels.

One of Fathom’s key strategies is to breathe new life into older films, capitalizing on the nostalgia and love that audiences have for these classics. Paul Dergarabedian, senior media analyst at Comscore, explains that anniversary re-releases of beloved films are a win-win situation, providing joy to movie fans and additional revenues to theaters. This approach has proven to be particularly successful in post-pandemic times when smaller cinema operators have struggled to find content due to production shutdowns.

“The Chosen,” a faith-based television show about the life of Jesus, is a prime example of Fathom’s success in this area. The show generated $32 million at the box office for Fathom, accounting for around 75% of its first-quarter revenue. Brock Bagby, president and chief content officer at B&B Theatres, credits “The Chosen” as a significant revenue source during a time when theaters were in desperate need of content.

In addition to anniversary releases, Fathom also celebrates milestone years of films and hosts film series like Studio Ghibli Fest. This year alone, Fathom celebrated the 85th anniversaries of “The Wizard of Oz” and “Gone with the Wind,” as well as the 35th anniversary of “Steel Magnolias.” These events not only attract fans who want to relive the magic of these films on the big screen but also introduce new audiences to these classics. Jordan Hohman, vice president of project development at Phoenix Theatres, highlights the growing segment of the box office that is interested in seeing older films in theaters, recognizing the value of this experience.

What sets Fathom apart from other distributors is its wide footprint through its parent companies and nationwide marketing. This allows Fathom to do the heavy lifting for smaller theater chains, building relationships, securing licenses, and creating national marketing campaigns for classic film releases. This level of support is highly valuable for these smaller operators who may not have the resources to undertake such endeavors on their own.

One of Fathom’s upcoming releases that has already garnered significant attention is the 15th-anniversary celebration of the film “Coraline.” This stop-motion animated film is set to be shown widely in 3D for the first time since its original release. Previous re-releases of “Coraline” have been highly successful, with ticket sales reaching $7.1 million last year, making it the highest-grossing classic film release in Fathom’s history. What’s even more impressive is that 53% of the audience attending these screenings were 34 years old or younger, indicating that Fathom is successfully attracting new audiences to these older films.

Presales for this year’s screenings of “Coraline” are already exceeding expectations, with seven times as many tickets per location sold compared to the same period last year. Two-thirds of these ticket sales are for the 3D version of the film, highlighting the continued appeal of this format.

Overall, Fathom Events has proven to be a powerhouse in the box office industry. Its ability to tap into audience nostalgia and bring beloved classics back to the big screen has resulted in record-breaking revenue gains. By providing much-needed content to smaller cinema operators and attracting new audiences to older films, Fathom has established itself as a valuable and influential player in the industry.