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Home » How does IMAX make money from movie theaters it doesn’t own?
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How does IMAX make money from movie theaters it doesn’t own?

Editor-In-ChiefBy Editor-In-ChiefAugust 29, 2026No Comments6 Mins Read
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This summer, movie fans flocked to theaters to see Christopher Nolan’s film adaptation of “The Odyssey.” And for many fans, just watching the movie wasn’t enough. They had to see it in Imax.

The film was the first to be shot entirely on Imax film and is known for its high-quality images designed to immerse audiences in a superior viewing experience when shown on Imax screens. Superfans traveled across continents to see the latest film on Imax 70mm screens, the format’s highest quality media, just as Nolan intended. The company says there are only 25 Imax 70mm theaters in the United States and 41 worldwide. Imax itself owns and operates only one theater, Esquire Imax in Sacramento, California.

According to an August 3 press release, the success of “Odyssey” made July the highest-grossing month in IMAX’s history, with global box office receipts of $257 million. As of August 10, the company announced that the film had become the biggest IMAX release of all time, grossing $289 million worldwide less than a month after its theatrical release.

“I think we woke up to Imax last year,” says Imax CEO Richard Gelfond. 2010’s Avatar started a “huge evolution” among viewers who wanted to experience movies in Imax, but Gelfond said the format has passed a “tipping point” in recent years with the release of Dune, Oppenheimer and Thinners, among others.

“Of course, it’s about the movie and the director, but it’s also about what’s playing in the Imax theater,” he says.

“Dune: Part 3” is expected to be the next big IMAX event, hitting theaters on December 18th. The ticketing site reportedly crashed when tickets went on sale on August 18, leaving fans in line for hours at the box office trying to secure their passes.

At Manhattan’s AMC Lincoln Square, which has the Big Apple’s only Imax 70mm screen, some fans camped outside the theater before the show started, trying to get tickets to “Dune.”

“When my friend and I were here last week, the line wrapped around the block, so we were really lucky,” a moviegoer at the theater told CNBC Make It. “For now, Imax 70mm — shooting that way is worth every second, every sacrifice, every dollar.”

Ticket sales are central to Imax’s success, but here’s how the company makes millions of dollars without owning nearly as many theaters to show its movies.

Theater chain wants to enter Imax business

Imax has two main business streams: Content Solutions and Technology Products and Services.

In the content solutions business, studios pay companies to create and distribute Imax-optimized movies. The company receives an average of 12.5% ​​of a movie’s IMAX box office revenue under these agreements, according to SEC filings. The business unit generated approximately $151 million in revenue in 2025, according to the company’s 2025 full-year earnings report released in February.

The Technology Products and Services segment generated additional revenue (approximately $251 million last year) by selling, leasing or renting Imax technology to theaters.

“Imax operates on a licensing model. Theater chains and venues and outdoor experience companies from all over the world come to us and say they want to be in the Imax business,” Gelfond says. “So we license our name and our technology to them. And along with that, we design the location and help evaluate it. We help install the Imax theater and we oversee it.”

Theaters can purchase an Imax system by paying most of the cost upfront to the company, or they can enter into a joint revenue sharing agreement (JRSA). At JRSA, Imax typically provides the system and covers most of the equipment and installation costs. In return, Imax receives a cut of box office revenue through long-term contracts that typically last at least 10 years.

This is a good deal for Imax because it allows theaters to charge a premium for screenings. An Imax 70mm ticket costs about $27.77, according to EnTelligence data shared with CNBC, while the national average standard ticket price is $16.30, according to CableTV.com. Also, because audiences are often willing to pay. The demand for such high ticket prices makes Imax even more valuable to filmmakers and studios, who can produce and sell films based on the format, giving theaters a lucrative reason to offer screening capabilities.

“The best experience on earth”

People go to movies “for the magic,” Nicole Kidman says in AMC’s popular pre-screening ad. And Imax aims to enhance that feeling with a fully immersive viewing experience supported by its largest screen with its proprietary projection system and film camera, Gelfond said.

In the premium movie viewing space, competitors such as Dolby Cinema and Regal’s RPX have emerged. Both tend to offer a better viewing experience with higher quality picture and sound than standard format theaters. But “consumers want Imax because, frankly, it’s the best experience on the planet,” Gelfond said.

The company has also built strong brand loyalty among movie fans, comparable to Nike and Disney, he said.

The Imax 70mm experience is especially coveted given the limited supply and high demand for screens. Gelfond wishes more theaters could show the format, but he says it doesn’t work out economically. Most studios incur costs of $50,000 per film, and only a limited number of movie theaters draw enough attendance to justify that price. But he considers the Imax 70mm experience a luxury.

“In some ways, Rolls-Royce is a great car, but it’s not competing with Honda,” he says. “The customer base is different, the price point is different, the marketing is different. I think there’s a place for both Rolls-Royce and Honda. They’re both doing pretty well as businesses, no doubt.”

Indeed, the box office success of both 70mm and regular Imax screenings suggests that moviegoers are willing to pay extra for that final product.

Another moviegoer at AMC Lincoln Square said, “I don’t go to the movie theater that much anymore, so when I do, I want it to be an experience.” “As a visual artist, I love[Imax]. You feel like you can see the big picture, and you feel like you’re getting closer to a piece of art… There’s no comparison to Imax 70mm.”

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