Cinemark Crushes Estimates

This morning, Cinemark (CNK) reported Q4 earnings of 66 cents per share, which demolished Wall Street’s estimates of 44 cents per share. Quarterly revenues slipped a bit to $700.9 million.

“It was a banner year for the North American industry box office, achieving its 4th all-time high in the past 5 years,” stated Mark Zoradi, Cinemark’s Chief Executive Officer. “Cinemark’s domestic operations outperformed the North American industry box office by 100 basis points, and globally we set numerous records, including total revenues of nearly $3 billion, net income of $255 million and Adjusted EBITDA of more than $706 million. Furthermore, our ability to increase our dividend, while continuing to actively invest in growth initiatives, is indicative of the consistent strength of our balance sheet, as well as our confidence in Cinemark.”

For the year, CNK’s revenues increased 2.3% to $2.92 billion. Earnings per share came in at $2.19 compared to $1.87 for 2015.

The company also raised its quarterly dividend from 27 to 29 cents per share. The new dividend will be paid on March 20 to stockholders of record on March 8.

Cinemark also has ambitious plans for this year:

As of December 31, 2016, the Company’s aggregate screen count was 5,903 and the Company had commitments to open eight new theatres and 69 screens during 2017 and seven new theatres and 76 screens subsequent to 2017.

Posted by on February 23rd, 2017 at 8:19 am


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