Hollywood box-office sales rise to record $11b

Bloomberg

31 Dec, 2015 05:23 AM2 mins to read

The seventh "Star Wars" film has crossed the $1-billion mark in worldwide gross, faster than any movie in history.

North American box-office sales crossed the US$11 billion mark, industry researcher Rentrak Corp said Tuesday in a statement.

Propelled by the blockbusters "Jurassic World" and "Star Wars: The Force Awakens," US and Canadian ticket sales surpassed the high of US$10.9 billion set in 2013. Revenue is up 7.2 percent this year.

Sequels to already popular movies and revivals of older hits, such as "Avengers: Age of Ultron" and "Furious 7," were largely responsible for the record. Walt Disney Co. and Comcast Corp.'s Universal Pictures were the main beneficiaries, sharing almost half of the year's spoils. Universal had the biggest share, with sales of US$2.55 billion, according to researcher Box Office Mojo. Rentrak expects US$11.1 billion in total sales by year-end.

"You are getting great momentum heading into 2016," Eric Wold, analyst at B. Riley & Co, said in an interview. While the 2015 totals were slightly below his initial predictions, the fourth quarter is expected to exceed his forecasts.

While the 2015 totals were slightly below his initial predictions, the fourth quarter is expected to exceed his forecasts.

You are getting a great momentum heading into 2016.

Revenue from "Star Wars" will feed into 2016, delivering a possible 4 percent boost and alleviating concerns about the year's film slate, Wold said.

A diverse film mix contributed to the industry's success, said Paul Dergarabedian, Rentrak's senior media analyst, said in the statement.

With U.S. movies so popular internationally, the record North American take also signals a new high mark for the global box office, which has been rising steadily in recent years mainly due to exponential growth in China.