Luxury theater and dine-in chain iPic Theaters has filed for bankruptcy protection, citing declining ticket sales amid major changes in consumer viewing and unsustainable box office splits with studios.
The company said it’s pursuing a sale through Chapter 11 reorganization in Florida federal court. It has notified employees that it anticipates mass layoffs, including more than 160 workers at an Atlanta location slated for closure. Other theaters may close if a buyer isn’t found.
“After exploring a range of possible alternatives, the Company concluded that a court-supervised sale of assets is in the best interest of the Company and its stakeholders,” said CEO Patrick Quinn in a statement. “We are committed to continuing our business operations with minimal impact throughout the process and will endeavor to serve our customers with the high standard of care they have come to expect from us.”
The filing comes during volatile time for theaters. Last month, AMC Entertainment reported disappointing earnings fueled by a 10 percent drop in attendance toward the end of 2025. Shares of the debt-laden company have been hovering around all-time lows as it plans to close underperforming locations.
iPic Theaters operates 13 locations across eight states and employs roughly 1,300 employees. It bills itself as offering a luxe theater experience, with food delivered straight to viewers in their seats. It has a Westwood location on Wilshire Boulevard across from the Hammer Museum near UCLA. The menu includes a charcuterie and cheese platter, seared tuna salad and filet mignon sliders.
The company has roughly $10 million to $50 million in assets with liabilities up to $10 million, according to court documents filed on Feb. 25, when it moved for bankruptcy protection. It reported a net loss of almost $20 million last year on $112.5 million in gross income and owes more than $2.5 million to vendors and workers.
iPic previously filed for Chapter 11 reorganization in 2019, pointing to increased competition and rising construction costs. Less than six months after it was bought out of bankruptcy by Alabama employee retirement funds, COVID-19 lockdowns forced the closures of several theaters. It never fully bounced back.
“While movie theaters subsequently reopened, the audience levels and box office receipts have never recovered to the levels that existed prior to the Covid pandemic,” wrote Joseph Luzinski, a financial advisor for the company, in a court filing. “There are a variety of factors which have resulted in these depressed levels. The number of theatrical releases by movie studios has dropped significantly since prior to the Covid pandemic. Additionally, there is significantly increased competition for movie theaters from streaming services which enable consumers to watch a variety of entertainment options at home.”
In its earnings report last month, AMC reported a net loss of $127.4 million. Of note: U.S. markets attendance was off 7.5 percent while international attendance was off nearly 15 percent in a disappointing box office for Hollywood in 2025. AMC Theatres CEO Adam Aron said he expects a better year, with major studio releases like Avengers: Doomsday, Toy Story 5 and Dune: Part Three.
