? Production budget of $3.25M; opened at #3; second week at #1: US gross at $20M.
The info I have is a $4mil budget and US gross of $16 million, but I'll take your numbers.
The theaters take, conservatively, around 50% of that, considering that the longer the movie is in the theaters the more the percentage shifts to the releasing company's advantage. This was only tracked for three or four weeks (that's not good news) before it dropped below the one million per week mark and drops off the studio's radar, so I feel comfortable with the 50% amount, especially on a small film with no stars and no big director. That leaves $10 million going back to the studio--again, I'm being generous.
Prints and advertising, VERY conservatively, another $5 million, which brings the studio's investment up to $9 million. Subtract that from the rental returns.
A $1 million return on a $9 million investment is a big bomb by my estimation.
BTW, plenty of movies have opened at #1 and been huge bombs. Take a look at some of these #1 openers.
http://www.boxofficemojo.com/alltime/lowest1.htm