MoviePass' parent company says it lost over $266 million last year
- MoviePass parent company, Helios and Matheson Analytics, reported to the Securities and Exchange Commission on Wednesday that it lost over $266 million in 2018.
- The company has continued to burn through money since buying MoviePass in the summer of 2017 and dropping the monthly subscription price to see movies to $10 a month.
- In April, Business Insider reported that MoviePass dropped from over 3 million subscribers to about 225,000, according to leaked internal data.
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MoviePass' parent company, Helios and Matheson Analytics, reported its 2018 financials to the Securities and Exchange Commission on Wednesday and said that, based on a "preliminary evaluation," it estimated a net loss of over $266 million.Helios and Matheson (HMNY) has sustained heavy losses since it bought the movie-ticket subscription company in August of 2017 and dropped the monthly price to $10 a month. A corresponding drop in stock price led to HMNY's delisting from the Nasdaq in February after trading below $1 for months. In March, the company tried to rebound by launching a new "Uncapped" plan in which there would be no restrictions on the number of 2D movies subscribers could see (though MoviePass could throttle a subscriber's access at its discretion).
But in April, Business Insider reported that MoviePass dropped from over 3 million subscribers to about 225,000, according to leaked internal data.