Cinemark Holdings Inc. (NYSE:CNK) reported strong financial results for the first quarter of 2017. Both the top and the bottom line surpassed the Zacks Consensus Estimate.
Quarterly net income was $79.7 million or 68 cents per share compared with $58.5 million or 50 cents in the year-ago quarter. The company’s reported earnings figure of 68 cents per share outpaced the Zacks Consensus Estimate of 61 cents.
Quarterly total revenue of $779.6 million was up 10.6% year over year beating the Zacks Consensus Estimate of $752.4 million.
Segment-wise, Admissions revenues were $476.5 million, up 9.3% year over year. Concession revenues grossed $268.2 million, up 12.8%. Other revenues were $34.9 million, down 11.8% year over year. Geographically, U.S. revenues totaled $581.2 million, up 6.9% year over year. International revenues were $202.1 million, up 23.1%.
Quarterly operating costs and expenses totaled $648.4 million, up 9.9% year over year. Operating income was $131.2 million, up 14.3% year over year. Operating margin was 16.8% compared with 16.3% in the prior-year quarter. Adjusted EBITDA in the reported quarter was $211.9 million, up 14.7% from the year-ago quarter.
At the end of the first quarter of 2017, Cinemark had $584.3 million of cash and cash equivalents and $1,789.6 million of debt outstanding compared with $561.2 million and $1,788.1 million, respectively, at 2016 end. At the end of the reported quarter, the debt-to-capitalization ratio was 0.57 compared with 0.58 at the end of 2016.
Cinemark Holdings is a leading motion picture exhibition company. Its major competitors include AMC Entertainment Holdings Inc. (NYSE:AMC) , Regal Entertainment Group (NYSE:RGC) and IMAX Corp. (NYSE:IMAX) . Cinemark currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Operating Metrics
As of Mar 31, 2017, Cinemark’s aggregate screen count was 5,898, up 1.6% year over year. Average ticket price was $6.41, up 6.6% year over year. Worldwide attendance was 74.3 million, up 2.5% year over year. Cinemark operates 525 theatres with 5,894 screens and has commitments to open seven new theatres with 63 screens during the remainder of 2017 and an additional 12 new theatres with 106 screens subsequently.
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Regal Entertainment Group (RGC): Free Stock Analysis Report
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