Calculating the Cost of Operating a Movie Theater

Movie theaters face high costs to maintain and upgrade their equipment, including digital projectors, servers, Xenon bulbs, screens, and sound systems. Theaters must choose between upgrading to costly laser projectors, installing premium large-format screens, continually performing maintenance on aging machines, or sacrificing quality altogether. The costs are especially challenging for larger circuits with hundreds or thousands of screens. Despite the high costs, many theaters are investing in upgrades to provide a better moviegoing experience and attract audiences back to the theaters.