Cinemark Holdings, Inc. Reports Q2 2013 Adjusted EBITDA of $178.0 Million on Revenues of $725.6 Mill
Cinemark Holdings, Inc. Reports Q2 2013 Adjusted EBITDA of $178.0 Million on Revenues of $725.6 Million
PLANO, Texas--(BUSINESS WIRE)-- Cinemark Holdings, Inc. (NYS: CNK) , one of the largest motion picture exhibitors in the world, today reported results for the three and six months ended June 30, 2013.
Cinemark Holdings, Inc.'s revenues for the three months ended June 30, 2013 increased 11.7% to $725.6 million from $649.6 million for the three months ended June 30, 2012. For the three months ended June 30, 2013, admissions revenues increased 11.1% to $464.5 million and concession revenues increased 13.6% to $228.7 million. Average ticket price increased 4.1% to $6.33, concession revenues per patron increased 6.5% to $3.12 and attendance increased 6.7% to 73.4 million patrons during the three months ended June 30, 2013.
Adjusted EBITDA for the three months ended June 30, 2013 was $178.0 million compared to $157.0 million for the three months ended June 30, 2012. Reconciliations of non-GAAP financial measures are provided in the financial schedules accompanying this press release.
Net income for the three months ended June 30, 2013 included a loss on early retirement of debt of approximately $72.3 million, before income taxes. Net income attributable to Cinemark Holdings, Inc. for the three months ended June 30, 2013 was approximately $20.3 million compared to $51.6 million for the three months ended June 30, 2012. Diluted earnings per share for the three months ended June 30, 2013 was $0.18 compared to $0.45 for the three months ended June 30, 2012.
"Although news headlines may lead you to believe that movies are not performing well, the real story is in the numbers this quarter. The diversity and breadth of the second quarter's film product resulted in an all-time North American industry box office record of over $3 billion dollars, an increase of nearly 8% from the year ago period," stated Tim Warner, Cinemark's Chief Executive Officer. "With more than 500 theatres and nearly 5,800 screens, we achieved record worldwide admissions revenues of $464.5 million, an increase of 11.1%, and over-indexed the North American industry by approximately 320 basis points. The diversity of our global circuit has allowed us to outperform the North American industry in 16 out of the past 17 consecutive quarters on a currency adjusted basis."
Cinemark Holdings, Inc.'s revenues for the six months ended June 30, 2013 increased to $1,273.4 million from $1,228.4 million for the six months ended June 30, 2012. During the six months ended June 30, 2013, admissions revenues increased 2.8% to $813.9 million and concession revenues increased 5.2% to $401.1 million. Average ticket price increased 2.3% to $6.22 and concession revenues per patron increased 4.8% to $3.07 during the six months ended June 30, 2013.
Adjusted EBITDA for the six months ended June 30, 2013 was $294.3 million compared to $297.3 million for the six months ended June 30, 2012. Reconciliations of non-GAAP financial measures are provided in the financial schedules accompanying this press release.
Net income attributable to Cinemark Holdings, Inc. for the six months ended June 30, 2013 was $52.9 million compared to $93.7 million for the six months ended June 30, 2012. Diluted earnings per share for the six months ended June 30, 2013 was $0.46 compared to $0.82 for the six months ended June 30, 2012. Net income for the six months ended June 30, 2013 included a loss on early retirement of debt of approximately $72.3 million, before income taxes.
On June 30, 2013, the Company's aggregate screen count was 5,794. As of June 30, 2013, the Company had signed commitments to open 21 new theatres and 181 screens by the end of 2013 and open 16 new theatres with 153 screens subsequent to 2013.
Conference Call/Webcast - Today at 8:30 AM ET
Telephone: via 888-755-8910 or 706-679-3149 (for international callers).
Live Webcast/Replay: Available live at investors.cinemark.com. A replay will be available following the call and archived for a limited time.
About Cinemark Holdings, Inc.
Cinemark is a leading domestic and international motion picture exhibitor, operating 504 theatres with 5,794 screens in 40 U.S. states, Brazil, Mexico, Argentina and 10 other Latin American countries as of June 30, 2013. For more information go to investors.cinemark.com.
This press release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The "forward-looking statements" include our current expectations, assumptions, estimates and projections about our business and our industry. They include statements relating to future revenues, expenses and profitability, the future development and expected growth of our business, projected capital expenditures, attendance at movies generally or in any of the markets in which we operate, the number or diversity of popular movies released and our ability to successfully license and exhibit popular films, national and international growth in our industry, competition from other exhibitors and alternative forms of entertainment and determinations in lawsuits in which we are defendants.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 and 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 28, 2013 and quarterly reports on Form 10-Q. 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 thousands)|
|Three months ended June 30,||Six months ended June 30,|
|Statement of income data:|
|Cost of operations|
|Film rentals and advertising||257,435||227,301||437,427||422,716|
|Facility lease expense||76,124||71,614||145,742||140,176|
|Other theatre operating expenses||143,445||131,923||270,666||256,924|
|General and administrative expenses||40,546||35,951||78,325||70,015|
|Depreciation and amortization||38,734||36,341||77,766||73,157|
|Impairment of long-lived assets||1,101||311||1,945||496|
|(Gain) loss on sale of assets and other||(2,801||)||469||(3,143||)||1,305|
|Total cost of operations||591,605||535,697||1,073,749||1,025,027|
|Interest expense (1)||(34,458||)||(31,375||)||(67,064||)||(63,508||)|
|Distributions from NCM||1,693||386||7,796||8,417|
|Loss on early retirement of debt||(72,302||)||—||(72,302||)||—|
|Income before income taxes||29,559||82,983||73,239||153,791|
|Less: Net income attributable to noncontrolling interests||572||501||1,040||1,273|
|Net income attributable to Cinemark Holdings, Inc.||$||20,265||$||51,638||$||52,859||$||93,742|
|Earnings per share attributable to Cinemark Holdings, Inc.'s common stockholders:|
|Weighted average diluted shares outstanding||114,387||113,737||114,210||113,568|
|Other financial data:|
|Adjusted EBITDA (2)||$||178,024||$||156,952||$||294,280||$||297,280|
(1) Includes amortization of debt issue costs.
(2) Adjusted EBITDA is a non-GAAP financial measure. A reconciliation of Adjusted EBITDA to net income is provided in the financial schedules accompanying this press release.
|As of||As of|
|June 30,||December 31,|
|Balance sheet data:|
|Cash and cash equivalents||$||515,474||$||742,664|
|Theatre properties and equipment, net||$||1,395,911||$||1,304,958|
|Long-term debt, including current portion||$||1,827,651||$||1,764,010|
|Three months ended|
|Six months ended|
|Other operating data:|
|Average ticket price (in dollars):|
|Concession revenues per patron (in dollars):|
|Average screen count (month end average):|
(unaudited, in thousands)
|Three months ended|
|Six months ended|
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