Cinemark's Box Office Buzz: Strong Sales Growth But Bottomline Falls Short In Q4

Cinemark Holdings Inc CNK reported fourth-quarter FY23 sales growth of 6.5% year-on-year to $638.9 million, beating the analyst consensus of $619.7 million.

Net loss attributable to Cinemark narrowed to $(18.0) million from $(99.3) million a year ago. EPS loss of $(0.15) missed the analyst consensus loss of $(0.13).

Related: Cinemark Likely To Report Narrower Q4 Loss; Here Are The Recent Forecast Changes From Wall Street’s Most Accurate Analysts

Admissions revenue increased 5.8% to $322.4 million, and concession revenue increased 7.7% to $243.0 million, driven by a 3.6% increase in attendance to 40.6 million patrons. The worldwide average ticket price was $7.94, and concession revenue per patron was $5.99.

As of December 31, 2023, the company’s aggregate screen count was 5,719, and the company had commitments to open five new theatres and 43 screens over the next two years.

The company generated $79.6 million of adjusted EBITDA in the quarter versus $73.5 million a year ago. 

The company exited the quarter with cash and equivalents worth $849.1 million.

CEO Sean Gamble said, “Key indicators pertaining to the fundamental drivers of our industry – specifically consumer behavior and product flow – were further reinforced, and our team’s outstanding operational execution and financial discipline delivered outsized results across all of our key metrics, including Revenue, Adjusted EBITDA, and Free Cash Flow.”

Also See: Global Box Office 2024 To Decline 5% In 2023: Bad News For AMC, Cinemark?

Price Action: CNK shares are trading lower by 3.81% at $17.18 premarket on the last check Friday.

Photo via Wikimedia Commons