Cinemark Holdings Beats on Both Top and Bottom Lines
Cinemark Holdings (NYS: CNK) reported earnings on May 7. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Cinemark Holdings beat slightly on revenue and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly and GAAP earnings per share grew significantly.
Gross margin dropped, operating margin expanded, and net margin increased.
Cinemark Holdings recorded revenue of $578.8 million. The 15 analysts polled by S&P Capital IQ expected a top line of $572.4 million on the same basis. GAAP reported sales were 20% higher than the prior-year quarter's $483.1 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.37. The 14 earnings estimates compiled by S&P Capital IQ predicted $0.35 per share. GAAP EPS of $0.37 for Q1 were 68% higher than the prior-year quarter's $0.22 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 27.9%, 720 basis points worse than the prior-year quarter. Operating margin was 15.6%, 520 basis points better than the prior-year quarter. Net margin was 7.3%, 210 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $651.2 million. On the bottom line, the average EPS estimate is $0.45.
Next year's average estimate for revenue is $2.50 billion. The average EPS estimate is $1.62.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 95 members out of 116 rating the stock outperform, and 21 members rating it underperform. Among 30 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 26 give Cinemark Holdings a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Cinemark Holdings is outperform, with an average price target of $25.56.
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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.