If anything, movies are even more profitable. It's not as unusual for a film to make close to or even exceed a $1 billion box office take. While budgets are increasing, the box office profitability seems to be increasing along with it. Only the truly bad movies, like RIPD, are having problems turning a profit with purely box office sales. More than one movie has recently released that made a profit within the opening weekend or first week.
While it seems like everything is just sequels and remakes nowadays, that's been happening practically since the dawn of the motion picture industry. Dracula alone has had over 40 film adaptations. What seems to be more common, in fact, are sequels for non-animated films becoming more common in actual theaters rather than being direct-to-video schlock that's churned out with none of the original actors and tossed into Walmart for a dime. And honestly, I don't mind films (original or otherwise) receiving sequels. How to Train Your Dragon has more stories to tell than the one adapted from the children's book, and I don't see why most fictional universes should be restricted to a single story and then archived.
