Expenses before release: prints, marketing, P&A — typically 40–60% of budget. Producer doesn't see profit until these costs are recouped at the box office.
Distribution Costs
Before your film reaches cinemas, you incur expenses unrelated to production – copies, posters, trailers, premiere events, digital screening rights. These are the distribution costs. In English-speaking territories, this is known as P&A (Print and Advertising), where "Print" historically referred to physical 35mm prints; today, it mostly comprises DCP deliverables and VPF (Virtual Print Fee) charges for digital projection. These costs are incurred entirely after post-production is complete and are the responsibility of the distributor or a sales company.
In the reality of a film budget, you need to understand: distribution costs are not optional. A mid-range theatrical film costs 3–5 million Euros to produce? Then expect an additional 2–4 million for distribution and marketing. For blockbuster-style productions, these costs can even exceed the production budget. This is why studios and producers calculate early on how much they will invest in the market – the higher the P&A, the wider the theatrical release, the faster the recoupment. However, as a producer, you don't pay these costs yourself; the distributor fronts them and recoups them from ticket sales before your first profit share is due.
Post-production is finished, and now your film needs: DCP mastering and copies for all screening venues (1,000–5,000 copies nationwide depending on the release strategy), dubbing and subtitled versions for other markets, trailers in multiple lengths, film posters, digital advertising, influencer campaigns, press junkets. Added to this are insurances, legal clearances, and the technical handling with cinemas – all before the first viewer sees the light of the screen.
For your understanding as a producer or cinematographer in discussions with production managers: distribution costs are a separate financing item. They are often covered through distribution pre-financing or by a major distributor. The reason some films disappear from cinemas so quickly? Insufficient P&A. Conversely: a well-marketed film with a strong theatrical launch requires massive distribution costs – and you must factor these into the business plan, otherwise, you are producing into a void.