Cinemark Holdings Inc Earnings: Profit Drop Breaks Two Consecutive Quarters of Profit Increases
Cinemark Holdings Inc (NYSE:CNK) reported its results for the fourth quarter. Cinemark Holdings is a holding company, together with its subsidiaries, is engaged in the motion picture exhibition industry with theatres in the U.S., Canada, Mexico, Argentina, Brazil, Chile, Ecuador, Peru, Honduras, El Salvador, Nicaragua, Costa Rica, Panama, and Colombia.
Investing Insights: Warren Buffett Trashes Gold, But What About Silver?
Cinemark Holdings Inc Earnings Cheat Sheet for the Fourth Quarter
Results: Net income for the movie production company fell to $18.3 million (16 cents per share) vs. $38 million (33 cents per share) a year earlier. This is a decline of 52% from the year-earlier quarter.
Revenue: Rose 2.1% to $535.9 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: The company missed the mean estimate of 19 cents per share. Analysts were expecting revenue of $531.8 million.
Quoting Management: “Cinemark’s increase in attendance this quarter of 2.3% drove an admissions revenue performance that again exceeded the North American industry’s box office results. Our Latin American assets led us with admissions revenue growth of 8.4%,” stated Tim Warner, Cinemark’s Chief Executive Officer. “During Q4, we completed our goal of being 100% digital in all of the Company’s U.S. first-run theatres and we continue to focus on further expanding our international digital footprint.”
Revenue has now increased for three quarters in a row. In the third quarter, revenue rose 14.2% to $640 million while the figure rose 15.1% in the second quarter from the year earlier.
Last quarter’s profit decrease ends a two-quarter streak of year-over-year profit increases. Net income rose 40.8% in the third quarter and 1.8% in the second quarter.
The company missed estimates last quarter after being in line with expectations in the third quarter with net income of 41 cents per share.
Looking Forward: Expectations for the company’s next-quarter performance are more favorable than they were a month ago. The average estimate for the first quarter of the next fiscal year is now at 24 cents per share, up from 24 cents. For the fiscal year, the average estimate has moved down from $1.32 a share to $1.19 over the last ninety days.
(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)
Don’t Miss These Additional Hot Stories:
To contact the reporter on this story: Derek Hoffman at email@example.com
To contact the editor responsible for this story: Damien Hoffman at firstname.lastname@example.org