Holiday movie SURGE: IMAX CEO says it’s ‘a great time of year to be in the movie business’

Key Concepts

• Box Office Performance: Success of films based on ticket sales.
• IMAX: Premium large-format cinema technology.
• Film Debuts: The initial opening weekend performance of a movie.
• Consolidation: Mergers and acquisitions within industries, including the film business.
• Content Ecosystem: The overall landscape of available entertainment.
• Market Share: A company's portion of the total sales in an industry.
• Premium Out-of-Home Entertainment: Experiences outside the home that offer enhanced quality and value.

Film Performance and Box Office Success

The transcript discusses the strong performance of Universal Pictures' "Wicked for Good," which achieved the second-biggest U.S. film debut of 2025, earning $150 million domestically and $76 million internationally for a worldwide total of $226 million. This success is highlighted as a significant tradition for Thanksgiving weekend moviegoing. Comcast, the parent company of Universal Pictures, saw a 3% dip in its stock.

IMAX's Significant Contribution

IMAX played a crucial role in "Wicked for Good's" success, accounting for $15.5 million of the domestic gross, setting a new November record for IMAX. Internationally, IMAX contributed $5.6 million, bringing the total IMAX box office to $21.1 million. IMAX CEO Rich Gelfond expressed optimism, noting that the film's performance was higher than anticipated and that it has strong momentum.

Upcoming Releases and Competition

The discussion touches upon upcoming films and the competitive landscape. "Is Utopia," a Disney movie that previously grossed over a billion dollars, is set to open on Wednesday night, presenting competition for "Wicked for Good." Other films mentioned include "Mystery, Marty Supreme" and "Now You See Me Now You Don't." Gelfond anticipates a strong period between Thanksgiving and Christmas, with films like "Is Utopia" and "Wicked" appealing to family audiences. "The Piece to Resist" starring Hailee Steinfeld is also mentioned.

Avatar's Anticipated Impact

The conversation shifts to the upcoming "Avatar" film, which is expected to be a major release next month. Gelfond emphasizes that "Avatar" is in a class of its own, with the previous two installments being the biggest movies of all time, each grossing over $2 billion. He quotes the common sentiment: "Whatever you do, don't bet against James Cameron."

Remakes, Sequels, and Industry Consolidation

The trend of remakes and sequels is noted, with the upcoming "Anaconda" remake being mentioned. Gelfond, however, states that he is "very credential" and not focused on such projects, implying a lack of interest or belief in their success. The transcript also addresses industry consolidation, with mentions of Paramount, Skydance, and Warner Bros. Discovery. Gelfond acknowledges that consolidation could be detrimental to IMAX in isolation but emphasizes the broader context of the entertainment universe.

The Expanding IMAX Content Ecosystem

Gelfond highlights the significant growth in content available on IMAX. In 2024, 140 pieces of content were shown on IMAX screens, double the number in 2019. This expansion is attributed to streamers entering theatrical releases (e.g., Apple's "F1," Amazon's acquisition of MGM for "Narnia," and Netflix's upcoming theatrical release). Foreign language content has also become a major driver, with "Demon Slayer" and "Nurse Shot to Coming" performing exceptionally well. "Demon Slayer" is approaching $100 million in IMAX, and "Nurse Shot to Coming" grossed $116 million in IMAX alone. Gelfond asserts that the content ecosystem is "very healthy" and he is "not terribly concerned about consolidation."

IMAX's Market Share and Investor Confidence

The transcript notes the positive performance of IMAX's stock, which has broken out of a tight trading range. Gelfond attributes this success to a significant increase in market share for IMAX. He points out that for family films like "Wicked," IMAX achieved an 11% share of the domestic box office, compared to the industry average of around 8%. The increasing use of IMAX cameras in filmmaking, exemplified by "Oppenheimer" and "Superman," is also contributing to higher market share numbers.

The Rise of Premium Out-of-Home Entertainment

Gelfond describes the current trend as a "movement" towards premium out-of-home entertainment, extending beyond just IMAX to include events like Formula 1 and concerts. He explains that post-pandemic, consumers seek experiences that are "more and better" than what they can get at home. When regular experiences don't satisfy, IMAX offers a special and enhanced option. He also notes that even during economic slowdowns, movies remain an affordable form of entertainment, making IMAX a desirable choice.

Conclusion

The transcript concludes with a positive outlook on the film industry, particularly for IMAX. The success of "Wicked for Good," the anticipation for "Avatar," the growth in content diversity, and the increasing market share for IMAX all point to a healthy and thriving ecosystem for premium cinematic experiences. The demand for enhanced out-of-home entertainment is a key driver of this growth.