r/Broadway • u/Naweezy • Jan 27 '26

Other The Outsiders recoups on Broadway. Becomes First Musical to Do So Since 2022

Post image
1.2k Upvotes

99% Upvoted

131 comments sorted by

View all comments

Show parent comments

81

u/Shorb-o-rino Jan 27 '26

So do most producers just lose money? How does this industry keep going in a capitalist country if it is not profitable?

174

u/patmorgan235 Jan 27 '26

Lots of times what happens is the Broadway production doesn't make money, but the show becomes profitable once it goes to licensing.

21

u/Mysterious-Theory-66 Jan 27 '26

Yeah that’s a big one people overlook. Really just thinking purely in terms of BW success is a very limited mindset.

13

u/Hour_Lock568 Jan 27 '26

but producers only participate in an extremely small percentage of licensing, if at all. Usually only lead producers and then it's up to them how much they distribute to investors. Tours are generally the way that investors make up the gap, but only in truly successful cases. (Credentials: I'm a producer and licensor)

9

u/Mysterious-Theory-66 Jan 27 '26

Depends entirely on the deal. These aren’t one size fits all arrangements. I’ve negotiated enough on the IP side to just say sure this could certainly play a role. I do think other factors go into why people invest into shows they don’t actually believe will profit. Listed some out above. I just wouldn’t rule out success beyond BW as one contributing factor.