Delivered record third quarter revenue of
$875 million that grew 35% year-over-year and 6% versus the third
quarter of 2019
Reported $91 million of Net Income and third
quarter record high Adjusted EBITDA of $197 million with a 22.5%
Adjusted EBITDA margin
Cinemark Holdings, Inc. (NYSE: CNK), one of the largest and most
influential theatrical exhibition companies in the world, today
reported results for the three and nine months ended September 30,
2023.
“Our third quarter results once again reflect the significant
impact of our team’s dedication and skilled operating discipline,
as well as the meaningful advancements of our strategic
initiatives,” stated Sean Gamble, Cinemark President and CEO. “As
we assess the fundamental drivers of our industry’s and company’s
long-term health and prosperity – particularly consumer behavior
trends, key indicators for new release volume recovery over time,
and the significant range of incremental revenue and productivity
opportunities that are fully within our control – we remain highly
optimistic about the future.”
Earnings Highlights
- Entertained nearly 62 million global moviegoers throughout our
U.S. and Latin American circuits.
- Delivered box office recovery that continued to surpass
industry results and remained the only major U.S. exhibitor to have
achieved a meaningful increase in market share since the
pandemic.
- July was Cinemark’s biggest domestic box office month of all
time.
- Achieved record third quarter revenue of $875 million, which
increased 35% versus 3Q22 and 6% versus 3Q19.
- Reported $91 million of net income with diluted earnings per
share of $0.61.
- $197 million of Adjusted EBITDA set a third quarter record,
doubling versus 3Q22 and growing 16% versus 3Q19; generated strong
22.5% Adjusted EBITDA margin.
- Further strengthened the balance sheet by generating $50
million of Free Cash Flow and increasing quarter-end cash balance
to $806 million.
Financial Results
Cinemark Holdings, Inc.’s total revenue for the three months
ended September 30, 2023 increased 34.5% to $874.8 million compared
with $650.4 million for the three months ended September 30, 2022.
For the three months ended September 30, 2023, admissions revenue
increased 36.7% to $443.8 million and concession revenue increased
34.0% to $339.8 million, driven by a 27.9% increase in attendance
to 61.9 million patrons. Worldwide average ticket price was $7.17
and concession revenue per patron was $5.49.
Net income attributable to Cinemark Holdings, Inc. for the three
months ended September 30, 2023 was $90.2 million compared with a
loss of $(24.5) million for the three months ended September 30,
2022. Diluted earnings per share for the three months ended
September 30, 2023 was $0.61 compared with a diluted loss per share
of $(0.20) for the three months ended September 30, 2022.
Adjusted EBITDA for the three months ended September 30, 2023
was $196.8 million compared with $99.5 million for the three months
ended September 30, 2022. Reconciliations of non-GAAP financial
measures are provided in the financial schedules accompanying this
press release and at https://ir.cinemark.com.
Cinemark Holdings, Inc.’s total revenue for the nine months
ended September 30, 2023 increased 30.9% to $2,427.8 million
compared with $1,855.0 million for the nine months ended September
30, 2022. For the nine months ended September 30, 2023, admissions
revenue increased 30.9% to $1,233.2 million and concession revenue
increased 33.2% to $949.0 million, driven by a 26.7% increase in
attendance to 169.2 million patrons. Worldwide average ticket price
was $7.29 and concession revenue per patron was $5.61.
Net income attributable to Cinemark Holdings, Inc. for the nine
months ended September 30, 2023 was $206.2 million compared with a
loss of $(171.9) million for the nine months ended September 30,
2022. Diluted earnings per share for the nine months ended
September 30, 2023 was $1.43 compared with a diluted loss per share
of $(1.43) for the nine months ended September 30, 2022.
Adjusted EBITDA for the nine months ended September 30, 2023 was
$514.5 million compared with $263.0 million for the nine months
ended September 30, 2022. Reconciliations of non-GAAP financial
measures are provided in the financial schedules accompanying this
press release and at https://ir.cinemark.com.
As of September 30, 2023, the Company’s aggregate screen count
was 5,765, and the Company had commitments to open 4 new theatres
and 41 screens over the next two years.
Webcast – Today at 8:30 AM
ET
Live Webcast/Replay: Available at
https://ir.cinemark.com. A replay will be available following the
call and archived for a limited time.
About Cinemark Holdings, Inc.
Headquartered in Plano, TX, Cinemark (NYSE: CNK) is one of the
largest and most influential movie theatre companies in the world.
Cinemark’s circuit, comprised of various brands that also include
Century, Tinseltown and Rave, as of September 30, 2023 operated 507
theatres with 5,765 screens in 42 states domestically and 13
countries throughout South and Central America. Cinemark
consistently provides an extraordinary guest experience from the
initial ticket purchase to the closing credits, including Movie
Club, the first U.S. exhibitor-launched subscription program; the
highest Luxury Lounger recliner seat penetration among the major
players; XD - the No. 1 exhibitor-brand premium large format; and
expansive food and beverage options to further enhance the
moviegoing experience. For more information go to
https://ir.cinemark.com.
Forward-looking Statements
This press release includes “forward-looking statements” within
the meaning of the Private Securities Litigation Reform Act of
1995. These forward-looking statements are based on information
currently available as well as management’s assumptions and beliefs
today. These statements are subject to numerous risks and
uncertainties that could cause actual results to differ materially
from the results expressed or implied by the statements, and
investors should not place undue reliance on them. Risks and
uncertainties that could cause actual results to differ materially
from such statements include:
- future revenues, expenses and profitability;
- currency exchange rate and inflationary impacts;
- the future development and expected growth of our
business;
- projected capital expenditures;
- access to capital resources;
- attendance at movies generally or in any of the markets in
which we operate;
- the number and diversity of popular movies released, the length
of exclusive theatrical release windows, and our ability to
successfully license and exhibit popular films;
- national and international growth in our industry;
- competition from other exhibitors, alternative forms of
entertainment and content delivery via streaming and other
formats;
- determinations in lawsuits in which we are a party; and
- the ongoing recovery of us and the motion picture exhibition
industry from the effects of the COVID-19 pandemic.
You can identify forward-looking statements by the use of words
such as “may,” “should,” “could,” “estimates,” “predicts,”
“potential,” “continue,” “anticipates,” “believes,” “plans,”
“expects,” “future” and “intends” and similar expressions which are
intended to identify forward-looking statements. These statements
are not guarantees of future performance and are subject to risks,
uncertainties and other factors, some of which are beyond our
control and difficult to predict. Such risks and uncertainties
could cause actual results to differ materially from those
expressed or forecasted in the forward-looking statements. In
evaluating forward-looking statements, you should carefully
consider the risks and uncertainties described in the “Risk
Factors” section or other sections in the Company's Annual Report
on Form 10-K filed February 24, 2023. All forward-looking
statements attributable to us or persons acting on our behalf are
expressly qualified in their entirety by these cautionary
statements and risk factors. Forward-looking statements contained
in this press release reflect our view only as of the date of this
press release. We undertake no obligation, other than as required
by law, to update or revise any forward-looking statements, whether
as a result of new information, future events or otherwise.
Cinemark Holdings,
Inc.
Financial and Operating
Summary
(unaudited, in millions, except
per share amounts)
Three Months Ended
Nine Months Ended
September 30,
September 30,
2023
2022
2023
2022
Statement of income (loss)
data:
Revenue
Admissions
$
443.8
$
324.6
$
1,233.2
$
942.3
Concession
339.8
253.6
949.0
712.6
Other
91.2
72.2
245.6
200.1
Total revenue
$
874.8
$
650.4
$
2,427.8
$
1,855.0
Cost of operations
Film rentals and advertising
248.2
180.9
692.9
531.1
Concession supplies
63.0
46.3
174.0
128.8
Salaries and wages
107.9
97.0
306.2
277.0
Facility lease expense
84.4
77.2
250.9
231.2
Utilities and other
129.5
110.4
353.5
303.8
General and administrative expenses
48.2
45.1
144.7
134.0
Depreciation and amortization
51.9
58.3
159.6
181.0
Impairment of long-lived and other
assets
2.0
15.2
12.1
107.5
Restructuring costs
—
—
—
(0.2
)
(Gain) loss on disposal of assets and
other
(6.1
)
1.2
(8.8
)
(6.4
)
Total cost of operations
729.0
631.6
2,085.1
1,887.8
Operating income (loss)
145.8
18.8
342.7
(32.8
)
Other income (expense)
Interest expense
(38.1
)
(38.4
)
(112.0
)
(114.6
)
Interest income
15.3
6.4
40.2
11.1
Loss on debt extinguishment and
refinancing
—
—
(10.7
)
—
Foreign currency and other related
loss
(11.0
)
(5.4
)
(19.4
)
(5.3
)
Distributions from DCIP
—
3.7
—
3.7
Interest expense - NCM
(5.6
)
(5.8
)
(17.0
)
(17.5
)
Equity in income (loss) of affiliates
1.5
0.2
1.2
(7.5
)
Unrealized gain on investment in NCMI
4.7
—
13.9
—
Income (loss) before income taxes
112.6
(20.5
)
238.9
(162.9
)
Income tax expense
21.4
3.4
29.8
6.3
Net income (loss)
$
91.2
$
(23.9
)
$
209.1
$
(169.2
)
Less: Net income attributable to
noncontrolling interests
1.0
0.6
2.9
2.7
Net income (loss) attributable to Cinemark
Holdings, Inc.
$
90.2
$
(24.5
)
$
206.2
$
(171.9
)
Net income (loss) per share attributable
to Cinemark Holdings, Inc.'s common stockholders
Basic
$
0.74
$
(0.20
)
$
1.70
$
(1.43
)
Diluted
$
0.61
$
(0.20
)
$
1.43
$
(1.43
)
Weighted average shares outstanding
Basic
119.2
118.4
119.0
118.1
Diluted
152.0
118.4
151.8
118.1
Other Operating Data
(unaudited, in millions)
As of
September 30, 2023
December 31, 2022
Balance sheet data:
Cash and cash equivalents
$
805.9
$
674.5
Theatre properties and equipment, net
$
1,154.4
$
1,232.1
Total assets
$
4,811.2
$
4,817.7
Total long-term debt, net of unamortized
debt issuance costs and original issue discount
$
2,398.5
$
2,484.7
Total equity
$
335.1
$
119.5
Nine Months Ended September
30,
2023
2022
Cash flows provided by (used
for):
Operating activities (1)
$
335.8
$
27.7
Investing activities
$
(74.9
)
$
(53.3
)
Financing activities
$
(118.0
)
$
(32.6
)
(1)
We define free cash flow as cash flow
provided by operating activities less capital expenditures. A
reconciliation of cash flow provided by operating activities to
free cash flow is provided below:
Nine Months Ended September
30,
2023
2022
Reconciliation of free cash
flow:
Cash flows provided by operating
activities
$
335.8
$
27.7
Less: capital expenditures
89.7
65.3
Free cash flow
$
246.1
$
(37.6
)
Segment Information
(unaudited, in millions, except
per patron data)
U.S. Operating Segment
International Operating
Segment
Consolidated
Three Months Ended September
30,
Three Months Ended September
30,
Three Months Ended September
30,
Revenue and Attendance
2023
2022
2023
2022
Constant Currency (1)
2023
2023
2022
Admissions revenue
$
350.4
$
257.6
$
93.4
$
67.0
$
112.5
$
443.8
$
324.6
Concession revenue
268.0
200.8
71.8
52.8
87.3
339.8
253.6
Other revenue
64.1
53.3
27.1
18.9
32.7
91.2
72.2
Total revenue
$
682.5
$
511.7
$
192.3
$
138.7
$
232.5
$
874.8
$
650.4
Attendance
37.5
29.5
24.4
18.9
61.9
48.4
Average ticket price
$
9.34
$
8.73
$
3.83
$
3.54
$
4.61
$
7.17
$
6.71
Concession revenue per patron
$
7.15
$
6.81
$
2.94
$
2.79
$
3.58
$
5.49
$
5.24
Cost of Operations
Film rentals and advertising
$
201.1
$
147.1
$
47.1
$
33.8
$
57.8
$
248.2
$
180.9
Concession supplies
$
47.7
$
34.8
$
15.3
$
11.5
$
18.4
$
63.0
$
46.3
Salaries and wages
$
89.0
$
81.9
$
18.9
$
15.1
$
24.0
$
107.9
$
97.0
Facility lease expense
$
61.0
$
61.9
$
23.4
$
15.3
$
26.3
$
84.4
$
77.2
Utilities and other
$
98.9
$
85.4
$
30.6
$
25.0
$
37.0
$
129.5
$
110.4
U.S. Operating Segment
International Operating
Segment
Consolidated
Nine Months Ended September
30,
Nine Months Ended September
30,
Nine Months Ended September
30,
Revenue and Attendance
2023
2022
2023
2022
Constant Currency (1)
2023
2023
2022
Admissions revenue
$
968.5
$
759.1
$
264.7
$
183.2
$
317.2
$
1,233.2
$
942.3
Concession revenue
751.1
576.5
197.9
136.1
238.7
949.0
712.6
Other revenue
176.9
148.9
68.7
51.2
83.3
245.6
200.1
Total revenue
$
1,896.5
$
1,484.5
$
531.3
$
370.5
$
639.2
$
2,427.8
$
1,855.0
Attendance
101.5
84.2
67.7
49.3
169.2
133.5
Average ticket price
$
9.54
$
9.02
$
3.91
$
3.72
$
4.69
$
7.29
$
7.06
Concession revenue per patron
$
7.40
$
6.85
$
2.92
$
2.76
$
3.53
$
5.61
$
5.34
Cost of Operations
Film rentals and advertising
$
558.6
$
439.0
$
134.3
$
92.1
$
163.3
$
692.9
$
531.1
Concession supplies
$
131.0
$
98.9
$
43.0
$
29.9
$
52.0
$
174.0
$
128.8
Salaries and wages
$
253.0
$
233.4
$
53.2
$
43.6
$
66.2
$
306.2
$
277.0
Facility lease expense
$
184.9
$
187.6
$
66.0
$
43.6
$
75.2
$
250.9
$
231.2
Utilities and other
$
269.7
$
234.8
$
83.8
$
69.0
$
101.1
$
353.5
$
303.8
(1)
Constant currency amounts, which are
non-GAAP measurements, were calculated using the average exchange
rate for the corresponding month for 2022. We translate the results
of our international operating segment from local currencies into
U.S. dollars using currency rates in effect at different points in
time in accordance with U.S. GAAP. Significant changes in foreign
currency exchange rates from one period to the next can result in
meaningful variations in reported results. We are providing
constant currency amounts for our international operating segment
to present a period-to-period comparison of business performance
that excludes the impact of foreign currency fluctuations.
Other Segment
Information
(unaudited, in millions)
Three Months Ended
Nine Months Ended
September 30,
September 30,
2023
2022
2023
2022
Adjusted EBITDA (1)
U.S.
$
151.2
$
70.7
$
395.4
$
196.2
International
45.6
28.8
119.1
66.8
Total Adjusted EBITDA (1)
$
196.8
$
99.5
$
514.5
$
263.0
Capital expenditures
U.S.
$
26.9
$
20.2
$
70.7
$
50.7
International
8.2
4.5
19.0
14.6
Total capital expenditures
$
35.1
$
24.7
$
89.7
$
65.3
(1)
Adjusted EBITDA represents net income
(loss) before income taxes, depreciation and amortization expense
and other items, as calculated below. Adjusted EBITDA is a non-GAAP
financial measure commonly used in our industry and should not be
construed as an alternative to net income as an indicator of
operating performance or as an alternative to cash flow provided by
operating activities as a measure of liquidity (as determined in
accordance with GAAP). Adjusted EBITDA may not be comparable to
similarly titled measures reported by other companies. We have
included Adjusted EBITDA because we believe it provides management
and investors with additional information to measure our
performance and liquidity, estimate our value and evaluate our
ability to service debt. In addition, we use Adjusted EBITDA for
incentive compensation purposes. A reconciliation of net income
(loss) to Adjusted EBITDA is provided below.
Reconciliation of Adjusted
EBITDA
(unaudited, in millions)
Three Months Ended
Nine Months Ended
September 30,
September 30,
2023
2022
2023
2022
Net income (loss)
$
91.2
$
(23.9
)
$
209.1
$
(169.2
)
Add (deduct):
Income tax expense
21.4
3.4
29.8
6.3
Interest expense (1)
38.1
38.4
112.0
114.6
Other (income) expense, net (2)
(4.9
)
4.5
(18.9
)
19.2
Cash distributions from equity investees
(3)
1.6
—
3.2
1.5
Depreciation and amortization
51.9
58.3
159.6
181.0
Impairment of long-lived and other
assets
2.0
15.2
12.1
107.5
Restructuring costs
—
—
—
(0.2
)
(Gain) loss on disposal of assets and
other
(6.1
)
1.2
(8.8
)
(6.4
)
Loss on debt extinguishment and
refinancing
—
—
10.7
—
Non-cash rent expense
(4.8
)
(2.8
)
(13.2
)
(7.5
)
Share-based awards compensation expense
(4)
6.4
5.2
18.9
16.2
Adjusted EBITDA
$
196.8
$
99.5
$
514.5
$
263.0
(1)
Includes amortization of debt issuance
costs, amortization of original issue discount and amortization of
accumulated gains (losses) for amended swap agreements.
(2)
Includes interest income, foreign currency
exchange and other related losses, interest expense - NCM, equity
in income (loss) of affiliates and unrealized gain on investment in
NCMI.
(3)
Includes cash distributions received from
equity investees that were recorded as a reduction of the
respective investment balances. These distributions are reported
entirely within the U.S. operating segment.
(4)
Non-cash expense included in general and
administrative expenses.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20231103124292/en/
Investor Relations Contact:
Chanda Brashears – 972-665-1671 or cbrashears@cinemark.com
Media Contact: Julia McCartha –
972-665-1322 or pr@cinemark.com
Cinemark (NYSE:CNK)
過去 株価チャート
から 8 2024 まで 9 2024
Cinemark (NYSE:CNK)
過去 株価チャート
から 9 2023 まで 9 2024