Cinemark Third-Quarter Earnings, Attendance Rise
The exhibitor posted a 7.3 percent gain in admissions revenue and 9 percent growth in concession revenue, but earnings came in below Wall Street expectations.
Movie theater operator Cinemark Holdings on Thursday reported its third-quarter financials, recording growth in concession and admissions revenue.
The company, which has a major presence in Latin America, reported quarterly earnings of $46.3 million, compared with $38.1 million in the same quarter last year, up 21.5 percent. The latest result amounted to earnings per share of 40 cents, below the Wall Street estimate for 43 cents per share. Quarterly revenue rose 8.2 percent to $700.1 million.
In the year-ago period, Cinemark had posted lower financials amid decreased attendance in the U.S. and the company's international markets, citing a weak box-office summer and the World Cup in Brazil.
Admissions revenue rose 7.3 percent to $432.2 million, and quarterly attendance rose 7.3 percent to 71 million. Concession revenue rose 9 percent to $230.2 million. But cost of operations also rose. The company said its average domestic ticket price came in at $7.27 for the quarter, up from $6.79, while its international average price hit $4.18, down from $4.80. That left the average worldwide price unchanged at $6.09.
Said new Cinemark CEO Mark Zoradi: "Our worldwide admissions revenues increased 15.1 percent on a currency adjusted basis, exceeding the North American industry’s box office by an impressive 930 basis points. Our Latin American segment’s attendance growth of 16.2 percent further substantiates the exhibition industry is reliant upon film content rather than economic cycles. Cinemark is well adept at navigating through various economic cycles with more than 20 years of operating experience in the region."