Portugal’s Cinemas Empty Out as Costs Rise and Streaming Soars

Dusk seems to be creeping over Portugal’s silver screens. October 2025’s ticket sales fell to their dimmest levels since records began, fanning debate about whether Portuguese cinemas are slipping into a new normal shaped by streaming, shifting habits and a sluggish slate of Hollywood releases.

Snapshot of the October Shock

The Instituto do Cinema e do Audiovisual (ICA) logged 560 000 admissions in Portuguese cinemas during October 2025, a figure that only the first pandemic year managed to undercut. Even February 2022, still scarred by restrictions, attracted more patrons. Box-office takings were just €3.7 million, the weakest monthly haul in four years despite higher ticket prices, underscoring that fewer people are paying more for the big-screen experience. When the first ten months of 2025 are stacked against the same period of 2024, cinemas have surrendered more than 600 000 spectators and €1.5 million in revenue, a slide that analysts call a warning light for the all-important Christmas releases.

A Recovery That Stalled

By late 2023 the industry was daring to hope: admissions had climbed back above 12 million and receipts hit €70.7 million, trends mirrored across Europe. But 2025’s curve is bending the wrong way. October’s plunge erased most of the gains notched earlier in the year and re-exposed a gap with pre-pandemic 2019, when 15.6 million tickets were sold. Distributors blame the after-shocks of last year’s Hollywood strikes for leaving multiplexes with fewer blockbusters. Exhibitors counter that rising energy bills and €9-plus average ticket prices are driving families to choose home entertainment instead. Either way, the anticipated return to pre-COVID momentum has stalled.

Streaming Tightens Its Grip

Portuguese households have embraced on-demand viewing at breakneck speed. Surveys show 42 % of residents now subscribe to at least one platform—up from 24 % in 2021—and casual users push overall streaming penetration above 50 %. The convenience of watching premieres on the sofa for the cost of a single cinema ticket each month has changed expectations. Analysts highlight that October’s cinema slide almost mirrors the one-point rise in streaming subscriptions recorded over the same period, suggesting a direct substitution effect. The result is a new habit loop: films reach homes earlier, audiences wait, cinemas lose repeat viewings, and streaming churn drops.

How Portugal Compares

Neighbouring markets offer a telling contrast. France still draws over 180 million admissions annually thanks to strong local productions and national event days that slash ticket prices. Italy’s summer of 2024 delivered the best seasonal box office in its history, buoyed by state-backed promotions. Spain mobilises millions through its semi-annual Fiesta del Cine. Portugal’s audience, by contrast, remains fragmented, and its density of screens per capita lags behind the French benchmark. Cultural factors also weigh: going to the cinema is considered a routine outing in much of France, while in Portugal it is still viewed as an occasional treat—one that inflation now makes easier to forego.

Glimmers on the Big Screen

Not all the news is grim. Paul Thomas Anderson’s “Battle After Battle” topped October’s chart with 88 000 tickets, proving auteur-driven fare can still cut through. Animated offering “Gabby’s Dollhouse” lured nearly half that tally, affirming family films remain a lifeline. Over the calendar year, the new “Lilo & Stitch” instalment has enticed 665 000 viewers, outperforming Japan-origin anime imports and every Marvel release. Domestic cinema found a modest hit in Leonel Vieira’s O Pátio da Saudade, which crossed 68 000 admissions—a reminder that Portuguese stories can punch above their traditional 2–3 % market share when given screens and marketing muscle.

Policy Levers and Industry Bets

Lisbon officials argue that supply, not demand, is the problem and have doubled down on incentives. The Pic Portugal cash-rebate now reimburses up to 30 % of local spending, luring international shoots while underwriting home-grown productions. A parallel €30.6 million ICA fund is earmarked for 2026 to nurture scripts and debut directors. In schools, the Plano Nacional de Cinema is rolling out extracurricular screenings to rebuild the habit early. Exhibitors, meanwhile, pin hopes on postponed Hollywood tent-poles finally landing in 2026 and have begun renovating older multiplexes to add recliner seating, dine-in options and premium large formats. NOS Cinemas forecasts an extra one million patrons next year if the line-up holds. Whether these moves can outpace the convenience of streaming will determine if October 2025 goes down as a blip—or a bleak preview of cinema’s future in Portugal.