With the internal politics of Hollywood, the losses of that $220million movie would be written against that debut hit (or fledgling hit) to protect the clout of A-list directors/actors. Hollywood engages in creative accounting and that "food cart" could be padded with all sorts of expenses. Same with "promotion" costs.
Another thing is when the corporation owns a tv-cable channel. Ever wonder why the Batman movie with "Arnold" aired so much? Time-Warner owns HBO. Pad the calendar until it breaks even.
Since the entertainment unions are a fixture in California, I have long thought that they could set up their own studio, with a very different character from the typical.
To start with, the production, writers, actors, musicians, etc., unions all agree that everybody is just paid scale, across the board. The emphasis is on production volume, that is “a little work for everyone”, instead of “all the work for just a few”.
Productions would be very low budget, and ordered towards vignette and variety shows with different casts and production teams, like the original Twilight Zone, American Bandstand, and variety shows.
Profits from series sales and syndication get plowed back into more productions. Eventually create a cable syndicate with two or three channels. If, and only if, one of the shows becomes a hit, it and its cast can be contracted off to a network, entering the major leagues, as motivation to do quality work.
Thus the public gets good acting and writing and a bunch of programs to watch, even if they are on a budget; and the union’s rank and file actually get some profit and exposure for a change, instead of starving while a few on the ‘A’ list get all the work.