OWNER John Angel has warned that the Palace Cinema in Devizes could close if more people don't use it.
Mr Angel took over when previous owner, Robins Cinema, went into receivership, and opened it in August after a Gazette campaign.
However, after a successful start audiences have tailed off and Mr Angel said this week the business was just about breaking even.
He said if the cinema is not profitable he will have little alternative but to shut it.
He said: "I am not going to run it if it loses money. If we start to get a bad situation then I shall have to consider closing it. I can't run a business that is losing money. I want to try and keep it running but we need to get more people through the door."
Angel Leisure has recently put up for sale the single screen cinema it runs in Evesham, Worcestershire, because it is not making money.
Mr Angel said: "Single screen cinemas don't generally pay these days. You can get a good film in for one week and make money but the trouble is you don't have enough good weeks.
"The first five or six weeks at Devizes were quite good but since then there hasn't been enough good films around."
Mr Angel is reviewing the situation every two months but hopes forthcoming films, including Walt Disney's Dinosaur which starts tomorrow, and Billy Elliot which starts on November 3, will draw in people.
Cinema manageress Gail Foster wants to hear from local people about showing a late night film once a month.
She said: "It will perhaps appeal to people aged from 18 to 40 who like to combine going out for a drink with seeing a film. We have thought the Rocky Horror Picture Show or Clockwork Orange might be suitable.''
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