Preview: Cinemark Hldgs's Earnings

Cinemark Hldgs CNK announces its next round of earnings this Friday, May 07. Here is Benzinga's everything-that-matters guide for this Friday's Q1 earnings announcement.

What Are Earnings, Net Income, And Earnings Per Share?

Earnings and EPS are useful metrics of profitability. Total earnings also known as net income is equal to total revenue minus total expenses. Dividing net income by the total number of shares outstanding yields EPS.

Earnings And Revenue

Analysts are predicting Cinemark Hldgs will report a loss of $1.46 per share on revenue of $92.02 million. Cinemark Hldgs EPS in the same period a year ago totaled $0.37. Sales were $543.62 million.

Why Analyst Estimates And Earnings Surprises Are Important

Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.

The analyst consensus estimate would represent a 294.59% decrease in the company's earnings. Revenue would be down 83.07% on a year-over-year basis. Cinemark Hldgs's reported EPS has stacked up against analyst estimates in the past like this:

Stock Performance

Shares of Cinemark Hldgs were trading at $21.13 as of May 05. Over the last 52-week period, shares are up 48.83%. Given that these returns are generally positive, long-term shareholders are probably content going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Cinemark Hldgs is scheduled to hold the call at 08:30:00 ET and can be accessed here.