Cinemark Second-Quarter Earnings Rise, Revenue Drops
UPDATED: The exhibitor grew its profit after a debt payment had affected its bottom line in the year-ago period, with the latest financials exceeding expectations amid strong international trends.
Movie theater operator Cinemark Holdings on Tuesday reported improved second-quarter earnings despite a slight revenue drop.
Earnings rose to $71.7 million from $20.3 million in the year-ago period, which had included a $72.3 million loss on the early retirement of debt. Quarterly revenue of $717.9 million was down from $725.6 million.
The financials exceeded Wall Street expectations.
Admissions revenue amounted to $455.7 million in the quarter, down from $464.5 million, with concession revenue reaching $226.5 million, down from $228.7 million. Average ticket prices increased 2.1 percent to $6.46, and concession revenue per patron rose 2.9 percent to $3.21 during the three months ended June 30.
Stifel, Nicolaus analyst Benjamin Mogil said the company's operations in Latin America and beyond boosted the results. "International results were better than expected," he said.
"The second quarter of 2014 was up against a record-breaking 2013,” said Cinemark CEO Tim Warner. "Regardless of the difficult comparisons of the prior year, Cinemark’s second-quarter worldwide admissions revenues outperformed the North American industry," marking 21 out of 22 consecutive quarters of outperformance on a currency adjusted basis.