NEW YORK--(BUSINESS WIRE)--MoviePass™, the nation’s premier movie theater subscription service and a majority-owned subsidiary of Helios and Matheson Analytics Inc. (Nasdaq: HMNY) (“Helios”), announced today that it has exceeded 3 million paying subscribers since announcing its low-cost subscription plans in August 2017.
MoviePass’ rapid growth is within its projections that estimate the service will exceed 5 million paying subscribers by the end of 2018. MoviePass currently represents more than 5% of total U.S. box office receipts, with its peak weeks nearing 8% of box office. When actively advertising select films to its subscribers, box office receipts have seen weeks push to over 30%.
As a subsidiary of Helios, MoviePass has substantially driven Helios’ growing presence in the entertainment industry. Helios recently acquired Moviefone™, a multimedia information and advertising service, from Oath Inc., a Verizon company, which has enabled MoviePass to expand its advertising offerings. In addition, Helios’ subsidiary, MoviePass Ventures, has already acquired economic interests in films and teamed up with MoviePass to drive box office for those films, which Helios believes will maximize downstream revenue opportunities. Helios’ recent announcement of its deal to buy the film library and current production slate of Emmett Furla Oasis Films and its launch of MoviePass Films with veteran producers Randal Emmett and George Furla, further expands Helios’ ability to self-generate new revenue opportunities for MoviePass.
“With MoviePass Films and MoviePass Ventures under the Helios umbrella, we are continuously adding more perks and services for our MoviePass subscribers. Consistent growth in MoviePass subscribers means we can utilize our media companies in ways no one has seen before,” said Ted Farnsworth, Chairman and CEO of Helios. “With its considerable market share of moviegoers, MoviePass expects to influence its subscribers to engage with our other revenue channels throughout the entire film industry ecosystem.”
MoviePass Ventures acquired an economic interest in the critically acclaimed film American Animals with The Orchard, a film and music distribution company and a subsidiary of Sony Music Entertainment. The theater debut of American Animals represents one of the year’s most successful independent films, thanks, in part, to marketing efforts orchestrated by MoviePass and The Orchard. Additionally, MoviePass Ventures holds an economic interest in the John Travolta film, Gotti, premiering this Thursday in New York City.
MoviePass Ventures and MoviePass Films uses MoviePass to market its films to MoviePass subscribers, strengthening the box office performance of these films, which in turn maximizes downstream revenue opportunities for MoviePass Ventures from home entertainment (video-on-demand (VOD), subscription video on demand (SVOD), electronic-sell-through (EST), physical-sell-through (DVD, Blu-ray, 4K) and other forms of content distribution beyond the theatrical window).
“MoviePass is moving quickly and decisively on a course to continue innovating the film industry from the ground up and delivering audiences for films and films for audiences,” said MoviePass CEO Mitch Lowe. “This is the eve of a transformative time in the movie industry. We are witnessing the dawn of a new Golden Age, where audiences, studios, and exhibitors are all connected, from top to bottom — all in the interest of diversifying the movie-going palate and demonstrating the success of smaller, independent titles.”
About Helios and Matheson Analytics
Helios and Matheson Analytics Inc. (Nasdaq:HMNY) (“Helios”) is a provider of information technology services and solutions, offering a range of technology platforms focusing on big data, artificial intelligence, business intelligence, social listening, and consumer-centric technology. Helios currently owns approximately 92% of the outstanding shares (excluding options and warrants) of MoviePass Inc., the nation's premier movie-theater subscription service. Helios' holdings include RedZone Map™, a safety and navigation app for iOS and Android users, and a community-based ecosystem that features a socially empowered safety map app that enhances mobile GPS navigation using advanced proprietary technology. Helios is headquartered in New York, NY and listed on the Nasdaq Capital Market under the symbol Helios. For more information, visit us at www.hmny.com.
About MoviePass Inc.
MoviePass Inc. (“MoviePass”) is a marketing technology platform enhancing the exploration of film and the moviegoing experience. As the nation's premier movie-theater subscription service, MoviePass provides film enthusiasts the ability to attend up to one new movie title per day in theaters. The service, now accepted at more than 91% of theaters across the United States, is the nation's largest theater network. Visit us at moviepass.com.
Cautionary Statement on Forward-looking Information
Certain statements in this communication contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 or under Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (collectively, “forward-looking statements”) that may not be based on historical fact, but instead relate to future events, including without limitation statements containing the words “believe”, “may”, “plan”, “will”, “estimate”, “continue”, “anticipate”, “intend”, “expect” and similar expressions. All statements other than statements of historical fact included in this communication are forward-looking statements.
Such forward-looking statements are based on a number of assumptions. Although Helios’ management believes that the assumptions made and expectations represented by such statements are reasonable, there can be no assurance that a forward-looking statement contained herein will prove to be accurate. Actual results and developments (including, without limitation, the potential benefits of Helios’ partnership with Emmett Furla Oasis Films through MoviePass Films, the ability of MoviePass Ventures or MoviePass Films to maximize downstream revenue opportunities through joint marketing or advertising activities with MoviePass, the ability of Helios to derive economic benefits from increases in the number of MoviePass subscribers and the ability of MoviePass to reach 5 million subscribers by the end of 2018) may differ significantly from those expressed or implied by the forward-looking statements contained herein and even if such actual results and developments are realized or substantially realized, there can be no assurance that they will have the expected consequences or effects. Risk factors and other material information concerning Helios and MoviePass are described in Helios’ Annual Report on Form 10-K for the fiscal year ended December 31, 2017, its quarterly report on Form 10-Q for the quarter ended March 31, 2018 and other filings, including subsequent current and periodic reports, information statements and registration statements filed with the U.S. Securities and Exchange Commission. You are cautioned to review such reports and other filings at www.sec.gov.
Given these risks, uncertainties and factors, you are cautioned not to place undue reliance on such forward-looking statements and information, which are qualified in their entirety by this cautionary statement. All forward-looking statements and information made herein are based on Helios’ current expectations and Helios does not undertake an obligation to revise or update such forward-looking statements and information to reflect subsequent events or circumstances, except as required by law.