“Joker: Folie à Deux” was supposed to be another crazy comic hit. Instead, the sequel to 2019's billion-dollar hit “Joker” is a box office disaster.

So far, the offbeat musical about Batman's infamous foe has grossed $51.5 million domestically and $165 million worldwide after a two-week release. In comparison, the first Joker had grossed $96.2 million domestically and $248.4 million worldwide three days after its release. The sequel won't gross nearly as much by the end of its theatrical run, with ticket sales expected to stall at a total gross of $65 million domestically and $210-$215 million worldwide when “Folie à Deux” hits theaters leaves.

This is a big problem because Joker 2 cost $200 million to produce and about $100 million to market and distribute. At this rate, the film won't come close to the $450 million needed to break even for a theatrical release (ticket sales are split between studios and theater owners). Sources at Warner Bros. say the film will break even at $375 million. After critics and audiences categorically rejected the big-budget film, which received an average of 33% on Rotten Tomatoes and a rare grade of “D” on CinemaScore, it is shaping up to be one of the biggest disasters of the year. The film now stands to lose at least $150 million to $200 million in theatrical release, according to estimates from insiders and three rival executives with knowledge of similar productions. One source speculates that the film will end up losing its backers just over $200 million, while another thinks the damage could be closer to $125 million.

“Any estimates suggested by anonymous 'insiders' or 'rival executives' are completely false and continue the trend of presenting rumors as fact,” a Warner Bros. spokesperson said in a statement. “The film continues to play in theaters, including premiering in China this week, and will continue to generate revenue during home and ancillary production.”

Warner Bros. has the potential to recoup at least some of its investment when “Folie à Deux” hits home entertainment platforms on October 29th. But its paltry box office returns represent a shocking collapse of “Joker,” which became an unlikely and unlikely success and an undisputed box office hit with $335 million in North America and $1.078 billion worldwide. At the time, the film was considered the highest grossing R-rated film in history. Disney's Marvel sequel “Deadpool & Wolverine” surpassed that summer record in the U.S. ($635 million) and worldwide ($1.32 billion), although “Joker” remains the biggest international with $743 million R-rated release remains. With a budget of around $65 million, “Joker” was one of the most profitable comic book adaptations of all time – although Warner Bros. had to share the riches with two co-financiers the studio added to risk the unconventional DC anti-hero story to reduce. Warners has a co-financier, Domain, on the sequel.

Given the huge success of Joker, which also won two Oscars, it's no surprise that Folie à Deux was given the green light and given a larger budget. But the inflated price makes it difficult for most films to achieve profitability in the current theatrical landscape. Much of the reason for the follow-up film's gargantuan price tag was the fees paid to director Todd Phillips and Joaquin Phoenix (returning as troubled stand-up star Arthur Fleck), who both earned $20 million up front, and to Lady Gaga (Accession). as fellow Arkham inmate Harleen “Lee” Quinzel), who pocketed $12 million.

“If the filmmakers and studio were determined to make a sequel – and why wouldn't they after the first film grossed $1.08 billion – they faced the difficult challenge of creating a new chapter story that captivated the audience,” says analyst David A. Gross from the film consulting firm Franchise Entertainment Research.

Box office analysts believe that Phillips angered the DC fan base by incorporating song and dance routines into the sequel, which led to the huge sales difference between the first and second Joker entries. While the original was a dark and spooky drama that took its cues from Martin Scorsese's filmography of “Taxi Driver” and “King of Comedy,” the next chapter plays like a fantasy musical – and includes covers of “That's Life,” “Get Happy” and “For Once in My Life” – as Arthur Fleck awaits trial for murder.

“The first Joker was a contemporary, fresh counterpoint to the prevailing superhero narrative and tone, and it worked,” adds Gross. “The filmmakers deserve credit for making more unconventional creative choices in 'Folie' and adding the romance aspect with Lady Gaga. But this time nothing worked.”

“Joker” was released at a convenient time for comic book tentpoles, when the very idea of ​​superhero fatigue seemed ludicrous. But the genre has proven less resilient in the post-pandemic era. “Joker: Folie à Deux” joins the nefarious trio of 2023’s “Aquaman and the Lost Kingdom” and “The Marvels” – all three of which are sequels to billion-dollar tentpoles that completely collapsed at the box office and became major money losers . The 2018 sequel to “Aquaman” grossed $439 million worldwide, while the 2019 sequel to “Captain Marvel” only grossed $206 million worldwide. These bloopers proved that audiences won't show up just because there's a DC or Marvel logo in the title credits.

“Superheroes used to be able to guarantee a certain level of opening weekend revenue, but there is no longer a minimum for that,” says a rival studio executive, speaking on condition of anonymity. “Tolerance for films that are 'just okay' is no longer enough.”