Jun 7, 2026
Horror is winning at the box office. Specifically, indie horror films directed by twenty-something-year-old YouTubers on shoestring budgets.
Backrooms, a film by 20-year old debut filmmaker Kane Parsons grossed $81.5 million domestically in its first three days in theaters over Memorial Day weekend, while breaking numerous records.
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The movie is based on Parson’s popular web YouTube Shorts series, The Backrooms, and originated from an internet “creepypasta” legend — short horror stories shared across the internet. The story follows a furniture store owner, played by Chiwetel Ejiofor, who finds a secret doorway that leads him to a seemingly endless string of rooms.
The other big winner, Obsession, which opened in theaters on May 15, is directed by 26-year-old first-time director Curry Baker. The movie was produced with an under $1 million budget and has grossed over $148 million worldwide. Its plot is a classic “be careful what you wish for” tale where the main protagonist, played by Michael Johnston, breaks a “One Wish Willow” and wishes his coworker Nikki (played by Inde Navarrette) falls madly in love with him.
While competing indie horror films might undermine each other under normal circumstances, fans and critics alike cannot seem to get enough. Arguably most impressive is that both Backrooms and Obsessions cleared Disney’s Star Wars: The Mandalorian and Grogu’s gross revenue head-to-head last weekend.
“They can co-exist because there’s a massive demand for it,” Jeff Bock, senior media analyst at Exhibitor Relations told Variety about the horror films. “Both films doing amazing business in the height of summer proves this audience cannot be satiated yet.”
Head-to-head with Disney
Taking on a behemoth like Disney doesn’t always work out in your favor. But in the case of Backrooms and Obsession, it seemingly has. According to Comscore, the Disney film earned $25 million domestically over Memorial Day weekend, behind Obsession ($26.4 million) and Backrooms ($81.5 million).
The Mandalorian and Grogu got off to a solid start in theaters, earning $82 million its opening weekend and $102 million through Memorial Day. While it’s rare for films to gross more than $100 million post-pandemic, critics expected more from one of Disney’s classic franchises. Opening weekend performance actually was the worst for a Star Wars movie since Disney bought it in 2012, according to Variety.
The Mandalorian franchise began on the small screen and many will watch the movie when it’s available to stream on Disney+. But even graded on a curve, what followed, as aforementioned, was a steep decline in ticket sales in its second weekend.
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Factor in that both Backrooms and Obsession were produced for far less than the $300 million it cost to make and market The Mandalorian and Grogu, according to The New York Times, and it makes for a hard pill to swallow.
The Mandalorian and Grogu film has made approximately $253 million so far worldwide, including $141 domestically. For their parts, Backrooms crossed $100 million in revenue in just six days in North America on a $10 million budget. Obsession has also increased ticket sales each of its first two weekends amidst stiff competition. Both films are already incredibly profitable.
Disney did not immediately respond to Moneywise’s request for comment on this story.
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Gen Z loves horror movies
Another major takeaway from Backrooms’ and Obsession’s success is that younger audiences cannot get enough of them.
With boomers and millennials falling out as moviegoers, questions have been raised about Gen Z’s willingness to see movies in theatres. As it turns out, Gen Z not only loves horror, it’s willing to support two competing movies and sell them out at the same time.
Evidence of this is found in exit polls cited by The Associated Press. According to the outlet, 86% of Backrooms’ audience was under 35 years old. Almost half, 44%, were under 21.
As GQ wrote: “Not only was there room enough for both Parsons’ and Barkers’ debut features — on a purely vibes basis, it’s hard not to feel like each film’s success boosted the other. Even in online discussions, they two are frequently paired despite not being much alike in style or subject.”
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Danni Santana is a journalist based out of New York City with a decade of experience reporting and editing business stories about retail, restaurants, sports, and personal finance.
