Carmike Cinemas Inc. (NASDAQ:CKEC) delivered a profit and missed Wall Street’s expectations, BUT beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company.
Carmike Cinemas Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 442.86% to $0.38 in the quarter versus EPS of $0.07 in the year-earlier quarter.
Revenue: Rose 25.1% to $170.5 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Carmike Cinemas Inc. reported adjusted EPS income of $0.38 per share. By that measure, the company missed the mean analyst estimate of $0.41. It beat the average revenue estimate of $162.54 million.
Quoting Management: Carmike Cinemas’ President and Chief Executive Officer David Passman stated, “The benefits of our expanded geographic scale combined with the ongoing execution of our strategies to deliver exceptional service at an attractive value to Carmike’s movie-going patrons helped us achieve impressive year-over-year growth during the second quarter in total revenue, adjusted EBITDA and theatre level cash flow. Second quarter admissions revenues grew 24.7% year-over-year and 13.9% on a per screen basis, significantly outperforming the domestic cinema industry increase of 7.8%. Beyond the strong gains we generated in admissions receipts, second quarter concessions and other revenue per patron increased 6.9% to a new all-time record, extending Carmike’s year-over-year per patron spending growth to 14 consecutive quarters.
Key Stats (on next page)…
Revenue increased 31.06% from $130.09 million in the previous quarter. EPS increased to $0.38 in the quarter versus EPS of $-0.20 in the previous quarter.
Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.31 to a profit $0.3. For the current year, the average estimate has moved down from a profit of $1.18 to a profit of $0.92 over the last ninety days.
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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)