AMC Global Media Inc. (NASDAQ:AMCX) (formerly known as AMC Networks) shares fell Friday after the entertainment company reported mixed first-quarter 2026 results, with revenue topping Wall Street estimates but earnings missing expectations.
The company reported first-quarter revenue of $542.13 million, down 2.4% year over year but ahead of the analyst consensus estimate of $540.73 million. Adjusted earnings came in at 8 cents per share, down 84.6% from a year earlier and below analyst estimates of 21 cents.
Domestic Revenue Declines Continue
Revenue in the domestic operations segment fell 3.2% year over year to $470.69 million.
Subscription revenue declined 2.6% to $305.28 million as growth in streaming revenue partially offset declines in affiliate revenue. Streaming revenue rose 11% to $174 million, driven primarily by price increases across AMC's services.
Streaming subscribers totaled 10.1 million at the end of the quarter, down 1% from 10.2 million a year earlier.
Affiliate revenue dropped 16% to $131 million due to declines in basic subscribers.
Advertising revenue fell 5% to $113 million, mainly because of lower marketplace pricing, although digital advertising growth partially offset the decline.
Content licensing revenue decreased 2.1% to $52.56 million due to the timing and availability of content deliveries during the quarter.
International Segment Posts Growth
International revenue increased 3.3% year over year to $72.26 million.
Consolidated adjusted operating income declined 34% to $68.97 million.
Operating cash flow fell 38% year over year to $67.47 million, while free cash flow declined 31.2% to $64.82 million.
AMC ended the quarter with cash and cash equivalents of $552.14 million.
AMC Reaffirms Full-Year Outlook
CEO Kristen Dolan said the company delivered another quarter of double-digit streaming revenue growth and strong free cash flow generation while reaffirming its full-year outlook.
AMC expects approximately $2.25 billion in annual revenue, about $350 million in adjusted operating income and at least $200 million in free cash flow for 2026.
President and Chief Commercial Officer Kim Kelleher said the company saw improving advertising trends during the quarter, including 44% growth in digital advertising and stronger ratings for original programming in key demographics.
Partnerships And FAST Expansion
Dolan said AMC signed a new long-term affiliation agreement with DISH Network Corp. (NASDAQ:DISH) and Sling TV while expanding streaming distribution through bundle partnerships with Charter Communications, Inc. (NASDAQ:CHTR), Philo
and DirecTV. The company has recorded 1.8 million hard-bundle activations to date.
AMC also plans to launch 12 additional FAST channels and expand internationally across the U.K., Latin America and Spain.
The company announced a partnership with Meta Platforms, Inc. (NASDAQ:META) to bring streaming apps, including AMC+, to Meta Quest headsets later this year.
Content Licensing Remains A Key Focus
Dolan said AMC continues to see strong interest in licensing rights for "The Walking Dead" franchise ahead of regaining streaming rights in early 2027. She said the company is evaluating multiple co-exclusive licensing structures with major platform partners.
Kelleher described the content licensing market as "very robust and competitive," while Chief Content Officer Dan McDermott said programming spending and content volume in 2026 are expected to remain broadly consistent with 2025 levels.
AMCX Price Action: AMC Global Media shares were down 7.83% at $7.89 at the time of publication on Friday, according to Benzinga Pro data.
Photo by PJ McDonnell via Shutterstock
