Saturday, August 11, 2018 10:25:26 AM
No way they can afford to let everyone go see anything popular right now because with 3 million subscribers buying $10 tickets they'd blow 30 million cash in one weekend alone. They only raking in 30 million a month in subscriber fees and if every subscriber just saw 2 movies this month that's 60 million they have to cover not counting the card processing fees of 3+ million. If it's true and 85% of their base sees 3 movies this month(CEO's words) at a national average of $8 a ticket, that's 72 million dollars they spend on tickets alone.
Now can you see how they have a serious cash flow problem? They stated that the new plan starting on the 15th would remedy this by limiting you to 3 movies a month for $9.95 but I fail to see how that stems the flow of their cash burn. As stated above, their CEO says their average movie goer see 3 movies a month. So with the quick math we can see that's easily over 70 million dollars in ticket purchases. How can you sustain a company that will burn through another 300+ million in cash by Christmas but only take in 120 million in subscriber fees? Even with someone buying them out/taking over, you'd be lucky to get 8 cents a share at this point. Who'd want to inherit that type of cash burn anyway?
I checked all of Baton Rouge Louisiana, Shreveport and New Orleans. The only movie you can see at all of our major cities is Slender Man. NOTHING ELSE!!
An entire state and one single movie choice. My local 16 screen theater has 9 different movies playing, some older as well as the new releases. Shows all of them in the MP app but only one you see which is Slender Man. All other blacked out or says not supported. Just wow.....
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