Today AMC Networks reported its 2nd quarter 2023 earnings and announced that its streaming services, like AMC+ lost 500,000 subscribers in just three months. This is a jump from the 300,000 subscribers AMC lost in the 1st quarter of 2023.
“Six months into my tenure as CEO, I am impressed with our team’s ability to do what this company has always done best: produce high-quality content and make it available to viewers across an expanding array of platforms. We accomplish this through a measured, opportunistic and disciplined strategy that drives free cash flow. Even during a period of industry-wide uncertainty and change, we are seeing the benefits of our strategy play out in our financial results, which for the second quarter include year-over-year increases in free cash, streaming subscribers, and streaming revenue, as well as healthy margins. It’s clear we have the programming, the platforms and the partners necessary to continue to operate a very profitable business that delivers long-term shareholder value.” Said Chief Executive Officer Kristin Dolan.
This comes as AMC has been looking for ways to make its streaming services profitable. To help do this, AMC has announced that it will be launching an ad-supported version of its streaming service AMC+.
“This is a big moment for AMC Networks and for our advertising partners because it not only creates a fully-ad supported distribution ecosystem, it also allows advertisers to buy our shows, genres, and franchises in a much more comprehensive and impactful way,” said Kim Kelleher, chief commercial officer of AMC Networks. “With our new series content, library titles, and other targeted streaming platforms that are all bundled into AMC+, partners can move beyond individual shows and even series and choose to ‘own’ whole genres and franchises, and drive messaging to target audiences no matter what they are watching or where. We’ve never been able to offer this level of sweeping yet highly focused reach before in such an effective and comprehensive way.”
AMC has also announced that its Shudder streaming service will be going up in price from $5.99 a month to $6.99 a month.
Here is the announcement posted on Shudder’s website:
To continue delivering new and exclusive premium television programming from around the world, the pricing of our Shudder subscriptions will increase on August 29th, 2023 for subscribers in the US and Canada.
Our updated pricing is part of our commitment to improve Shudder, so you have even more of the world-class entertainment you like to watch waiting for you. The new rate of $6.99/month (plus applicable taxes) for our monthly plan and $71.88/year for our annual plan will be reflected on your next billing cycle after August 28th.
Subscribers in other countries will not be affected at this time.
Now we will have to wait and see if AMC’s plans to become profitable int he world of streaming will work.