Lilo & Sтιтch is the latest in a long line of Disney live-action remakes, but the already staggering success of the film, grossing $183 million domestically over Memorial Day weekend, clearly indicates there are many important lessons to learn from its profits. Even after the recent box office failure of Snow White, there are still several upcoming Disney live-action remakes that hope to break through with audiences. There is much to be learned from the triumph of Lilo & Sтιтch that may be able to help these other films.

The box office success of films like Lilo & Sтιтch is incredibly illuminating for the Disney brand. Everything known about Lilo & Sтιтch suggests that the film was originally envisioned to be a streaming movie for Disney+, but pivoted early in its production to a theatrical release. This calls to mind comparisons with last year’s Moana 2, which was developed as a streaming series before switching to a theatrical film later into production. Considering Moana 2‘s many box office milestones and its worldwide gross of over $1 billion, these recent switches to theatrical seem to be the right move.

Lilo & Sтιтch Made A Record-breaking $183 Million At The Domestic Box Office

The New Film Set A Memorial Day Weekend Opening Record

ᴅᴇᴀᴅline has reported that Lilo & Sтιтch has made an incredible $183 million at the domestic box office over the three-day Memorial Day holiday weekend. This number makes it the highest-grossing Memorial Day weekend release ever, usurping the previous record holder, Top Gun: Maverick, and its $160.5 million gross. This is a mᴀssive figure and puts Lilo & Sтιтch on an incredible path to box-office success. Notably, these millions would never have been earned if Disney had followed their original Lilo & Sтιтch plan.

Lilo & Sтιтch‘s ability to reach $1 billion at the worldwide box office now seems ᴀssured. The film has already made more than its budget and has plenty of runway in the coming weeks to make a great deal more money. With the worldwide figure already at $341.7 million, success is all but ᴀssured for the film, which may already be in the black. Notably, this is also the second-biggest opening for a live-action Disney remake, just behind The Lion King. Notably, however, Lilo & Sтιтch‘s holiday weekend release has given it an extra day gross compared to these other тιтles.

The Lilo & Sтιтch Live-Action Remake Simply Had A $100M Budget

The Budget Was Much Smaller Than Most Live-Action Disney Remakes

One element that has gone into making Lilo & Sтιтch‘s record-breaking success more notable is that the film was made on a $100 million budget. This number reflects the original intent to have the film released on streaming and is significantly lower than most other Disney remakes. This year’s box office disappointment Snow White was burdened by a budget of between $240-270 million, making profitability that much more difficult for the film. The same was true of last year’s The Little Mermaid, which cost a similar $240 million.

Following in the footsteps of the original animated Lilo & Sтιтch, which cost a modest $80 million back in 2002, the new remake took a pared-down approach. By keeping costs lower, the film’s bar to break even was not nearly as high. Considering the disappointing results of films like The Little Mermaid, scaling down budgets in this fashion is a smart choice for Disney. Doing so has especially paid off now, as Lilo & Sтιтch looks to become one of the highest-grossing live-action remakes yet.

Disney Must Learn This Major Lesson When It Comes To Budgeting Their Movies

A $100 Million Movie Has A Much Easier Path To Success

Budgeting has become a significant problem in Hollywood overall. Many films have become increasingly bloated and expensive, creating almost impossible numbers to make back. Even the budget for this weekend’s Mission: Impossible – The Final Reckoning, which has earned a franchise-best $204 million worldwide in its opening days, will likely keep the film from becoming profitable, as it is rumored to have cost up to $400 million. With numbers like these, it is almost impossible for almost any film to succeed.

With marketing costs and the split of ticket proceeds with exhibitors, most films will need to make about 2.5x their budget to break even. By budgeting their films more modestly, such as Lilo & Sтιтch has done, that path to success is more attainable. Rather than having to gross $1 billion just to make a profit, as The Final Reckoning might need, the new Disney hit is likely already making money after its opening weekend.

Hollywood budgets are too high, and Lilo & Sтιтch‘s success, based on a $100 million budget, shows that they don’t need to be so expensive to connect with audiences. Certainly, the series has great international appeal due to its Sтιтch character and popularity, and not every $100 million film could hope to reach these highs. However, Lilo & Sтιтch sets an important example for Disney to follow with its upcoming releases. To ensure sustainable and consistent success, the budgets must be at least somewhat pared down.

Source: ᴅᴇᴀᴅline, Box Office Mojo