Carmike Cinemas Continues Streak of Financial Success For Movie Exhibitors
Carmike Cinemas reported a surge in quarterly profit on Monday, in part due to a 30 percent jump in attendance, following a similar report from movie exhibitor CInemark earlier in the day.
Carmike recorded net income of $3.2 million in the first quarter compared with an $18.4 million loss in the same quarter last year. Revenue leapt 37 percent to $130.8 million.
The company also said “concessions and other revenue” rose 5 percent to a record $3.91 per patron.
The 30 percent surge in attendance, Carmike executives noted on Monday, bested the industry’s average increase of 24 percent in the first quarter.
“Over the past few years, we have worked hard to divest underperforming locations and refresh our circuit,” CEO David Passman said.
Attendance during the quarter was 12.2 million at an average of 236 theaters, up from last year’s 9.4 million at 238 theaters. Average attendance per screen rose to 5,394 from 4,216 last year, and the average price of a ticket rose to $6.84 from $6.53 a year ago.
Carmike, which reported its financials after the closing bell, saw its shares rise 4 percent during the regular session to $14.70. The stock was little changed after the closing bell.
Before the opening bell on Monday, Cinemark reported earnings of $42 million, up from $25 million a year ago, though its attendance increased a far more modest 14 percent. Cinemark shares rose 3 percent on Monday to $23.68.
Last week, Regal Entertainment also reported strong financials, reversing a $24 million loss to post a $46 million quarterly profit on revenue that rose 20 percent to $685 million.
Shares of Cinemark, Carmike and Regal are all trading close to their 52-week highs. Their current quarters are getting a jolt from The Avengers. Regal said Monday the Marvel film earned $42 million at its theaters, an opening-weekend record for Regal. The chain said seventy-eight of its 522 theaters celebrated the opening of Avengers last Thursday by playing four previously released Marvel films leading up to the midnight debut of Avengers.