Core Insights - Reading International, Inc. reported a total revenue of $40.2 million for Q1 2025, a decrease of 11% from $45.1 million in Q1 2024, primarily due to lower cinema attendance and unfavorable foreign exchange rates [9][27] - The company experienced an operating loss of $6.9 million, which improved by 8.5% compared to the operating loss of $7.5 million in Q1 2024, marking the best first quarter operating result since 2019 [9][28] - The real estate division saw a significant increase in operating income, up 79% to $1.6 million compared to $890,000 in Q1 2024, driven by the sale of property assets [7][28] Financial Performance - Global cinema revenue decreased by 12% to $36.4 million, with an operating loss of $4.5 million, compared to a loss of $4.2 million in Q1 2024 [8][9] - The company recorded a positive EBITDA of $2.9 million, an improvement of 173% from an EBITDA loss of $4.0 million in Q1 2024 [9][29] - Basic loss per share improved by 64% to $0.21 from $0.59 in Q1 2024, with a net loss attributable to Reading of $4.8 million, down from $13.2 million in the same period last year [9][24] Operational Highlights - The cinema business faced challenges due to a weaker film slate and the lingering impacts of the 2023 Hollywood strikes, leading to lower attendance across all markets [5][6] - The company closed two underperforming cinemas, one in the U.S. and one in New Zealand, as part of its strategy to enhance operational efficiency [5][6] - The real estate division achieved its highest operating income since Q2 2018, with a notable sale of real property assets in Wellington, New Zealand for NZ$38.0 million, resulting in a gain of NZ$11.6 million [7][9] Balance Sheet and Liquidity - As of March 31, 2025, the company reported cash and cash equivalents of $5.9 million and total gross debt of $186.6 million, a decrease of 7.9% from the previous quarter [12][25] - The total assets decreased to $441.0 million from $471.0 million as of December 31, 2024, reflecting the impact of asset sales and operational adjustments [25][26] - The company is contracted to sell additional real estate assets in Australia for AU$32 million, with plans to use the proceeds to pay down debt [12]

Financial Performance - Total revenue for Q1 2025 was $40.169 million, a decrease of 10.4% from $45.052 million in Q1 2024[10] - Net loss attributable to Reading International, Inc. for Q1 2025 was $4.752 million, compared to a net loss of $13.228 million in Q1 2024, representing a 64.1% improvement[10] - Operating income for Q1 2025 was a loss of $6.891 million, slightly improved from a loss of $7.531 million in Q1 2024[10] - The company reported a comprehensive loss of $4.301 million for Q1 2025, compared to a comprehensive loss of $15.768 million in Q1 2024, indicating a significant reduction in losses[12] - Total segment revenue was $41.249 million, down from $46.204 million in the same period of 2024, reflecting a decrease of approximately 10.5%[37] - The cinema exhibition segment reported a revenue of $36.404 million for the three months ended March 31, 2025, compared to $41.271 million for the same period in 2024, a decline of about 12%[39] - Total revenue for the quarter ended March 31, 2025, decreased by $4.9 million to $40.2 million, a decline of 11% compared to the same period in 2024[174] - Cinema exhibition revenue dropped by $4.9 million to $36.4 million, a decrease of 12% year-over-year, primarily due to lower attendance and cinema closures[180] Assets and Liabilities - Cash and cash equivalents decreased to $5.911 million as of March 31, 2025, down from $12.347 million at the end of 2024[9] - Total assets decreased to $440.969 million as of March 31, 2025, from $471.011 million at the end of 2024, a decline of 6.4%[9] - Total liabilities decreased to $449.649 million as of March 31, 2025, down from $475.801 million at the end of 2024, a reduction of 5.5%[9] - The company has $53.7 million of debt due within the next twelve months, with a negative working capital of $108.7 million[18] - Total borrowings as of March 31, 2025, amounted to $186.6 million, down from $201.8 million as of December 31, 2024[76] - The current portion of debt decreased to $53.7 million as of March 31, 2025, from $69.2 million as of December 31, 2024[76] - The company's debt-to-equity ratio was (21.50) as of March 31, 2025, a significant increase from (42.32) in 2024[200] - Working capital deficit was reported at $108.7 million as of March 31, 2025, compared to $104.6 million in 2024[200] Cash Flow and Financing Activities - Cash used in operating activities increased by $4.9 million to $7.7 million in Q1 2025, compared to $2.8 million in Q1 2024[197] - Cash provided by investing activities was $17.9 million in Q1 2025, significantly higher than $7.6 million in Q1 2024, due to proceeds from the sale of Wellington property assets[198] - Cash used in financing activities increased by $5.6 million to $16.9 million in Q1 2025, compared to the same period in 2024, driven by higher loan paydowns[199] - The company has $53.7 million in debt coming due in the next 12 months, with ongoing efforts to manage liquidity and defer capital expenditures[191] Real Estate and Asset Management - The company intends to raise liquidity through real estate asset monetization, having successfully sold eight property assets since 2021[22] - The company is under an unconditional contract to sell its Cannon Park property for AU$32.0 million, expected to close on May 21, 2025[21] - The company monetized its properties in Wellington, New Zealand for $21.5 million in Q1 2025, contributing to liquidity[51] - The gain on the sale of the Wellington property was $6,566,000 after direct costs[54] - The company sold its Wellington property assets for NZ$38.0 million in January 2025, using proceeds to repay loans[192] - The company has paused real estate development projects to bolster liquidity, focusing on improvements to existing cinemas instead[136] Operating Expenses and Cost Management - Total operating expenses decreased to $1,955,000 in Q1 2025 from $2,235,000 in Q1 2024, reflecting a reduction of 12.5%[40] - The total operating expense for the cinema segment was $40.879 million for the three months ended March 31, 2025, compared to $45.436 million in the same period of 2024, a decrease of approximately 10.5%[37] - Operating expenses for the quarter decreased by $4.2 million to $37.7 million, reflecting lower costs across all regions[182] - The cinema segment operating loss increased by $0.3 million to $4.5 million, driven by decreased revenue from lower attendance[181] Strategic Initiatives and Future Outlook - The management believes that improvements in film releases will enhance patronage and operating revenue, although attendance levels remain uncertain[20] - The cinema industry is expected to benefit from a strong movie release schedule from 2025 to 2027, including high-quality films like Superman and Jurassic World: Rebirth[123] - The cinema segment is expected to benefit from notable movie releases in 2025, including "Mission: Impossible – The Final Reckoning" and "Avatar: Fire and Ash" which are anticipated to drive audience attendance[129] - The company is actively pursuing liquor licenses to enhance Food and Beverage offerings across its cinema circuits in the U.S., Australia, and New Zealand[133] Stock and Equity - Basic and diluted earnings per share for Q1 2025 were both $(0.21), compared to $(0.59) in Q1 2024[46] - The company’s total stockholders' equity decreased from $(4,790,000) at January 1, 2025, to $(8,680,000) at March 31, 2025[97] - The company has accrued estimates of probable and estimable losses related to ongoing legal proceedings, although it does not expect these to have a material adverse effect on its business[92] Miscellaneous - The average exchange rate for the Australian Dollar was 0.6277 for the quarter ended March 31, 2025, compared to 0.6524 for the same quarter in 2024, indicating a strengthening of the USD[44] - The company recorded no impairment charges for the first three months of 2025, despite lower revenues and operating income compared to the same period in 2024[25] - The company has liquor licenses in 100% of its U.S. cinemas, 86% in Australia, and 38% in New Zealand, with ongoing efforts to increase licensing in New Zealand[158]

Financial Data and Key Metrics Changes - Q4 2024 global total revenue reached $58.6 million, a 29% increase compared to Q4 2023, marking the best fourth quarter since Q4 2019 [5][38] - Q4 2024 global operating income was $1.5 million, an increase of $8.5 million or 122% from a loss of $7 million in Q4 2023, representing the first positive operating income since Q4 2019 [5][6] - Q4 2024 adjusted EBITDA was $6.8 million, over 400% higher than a negative adjusted EBITDA of $2.2 million in Q4 2023, the highest since Q4 2019 [6][42] - For the full year 2024, total revenue was $210.5 million, a 5% decrease from 2023, with a global operating loss of $14 million, up 17% from the previous year [9][40] Business Line Data and Key Metrics Changes - Global cinema revenue in Q4 2024 was $54.6 million, a 30% increase from Q4 2023, representing 84% of pre-pandemic levels [6][9] - Global real estate revenues in Q4 2024 were $5.2 million, a 14% increase from Q4 2023, with operating income rising 148% to $1.4 million [7][32] Market Data and Key Metrics Changes - U.S. cinema revenue increased by 24% to $29.3 million in Q4 2024, the highest since Q4 2019, with operating income improving to $1.6 million from a loss of $2.6 million in Q4 2023 [21][22] - Australian cinema revenue increased 37% to $21.4 million in Q4 2024, with operating income rising 254% to $1.7 million [28] - New Zealand cinema revenue increased 53% to $3.8 million, with operating income increasing 228% to $504,000 [28] Company Strategy and Development Direction - The company aims to reduce debt as a top priority for 2025 while planning upgrades for at least four theaters across Australia, the U.S., and New Zealand [51] - The focus remains on curating original series and programming to engage audiences and boost ticket sales, alongside exploring new avenues for alternative content [15][16] Management Comments on Operating Environment and Future Outlook - Management acknowledged that the first part of 2024 was impacted by the Hollywood strikes, affecting overall performance, but expressed optimism for the future with an exciting film lineup expected in 2025 [14][39] - The company is working on monetizing real estate assets to improve liquidity and reduce interest expenses [10][35] Other Important Information - The company reported a net loss of $2.2 million in Q4 2024, a decrease from a loss of $12.4 million in Q4 2023, attributed to improved cinema performance and reduced interest expenses [39][40] - The total outstanding borrowings decreased to $202.7 million as of December 31, 2024, from $210.3 million a year earlier [44] Q&A Session Summary Question: What are your capital allocation priorities for 2025? - The highest priority is to reduce debt while planning upgrades for theaters, contingent on box office performance [51] Question: What are the recent underperforming theater closures and expected savings? - One U.S. cinema will close in April 2025, expected to save $500,000 to $1 million annually, with another small theater closed in New Zealand saving $100,000 to $200,000 [52][53] Question: Is the Australian cinema development project in Noosa still on track for 2026? - The project is in planning phases, with an expected opening pushed to 2027 [55] Question: Why did the company fail to engage with investors in 2024? - Management acknowledged the oversight and is now planning two non-deal roadshows and a microcap virtual conference for 2025 [56]

Core Viewpoint - Reading International, Inc. reported its Fourth Quarter and Full Year 2024 financial results, highlighting a significant improvement in Q4 performance despite challenges faced throughout the year due to industry-wide disruptions and currency fluctuations [3][6][10]. Financial Results - Fourth Quarter 2024 - Total Revenues increased by 29.3% to $58.6 million compared to $45.3 million in Q4 2023 [8][13]. - Operating Income improved from a loss of $7.0 million in Q4 2023 to a positive Operating Income of $1.5 million in Q4 2024 [8][10]. - Net Loss decreased from $12.4 million in Q4 2023 to $2.2 million in Q4 2024, driven by improved cinema and real estate revenue [8][10]. - Adjusted EBITDA rose by 404.4% to $6.8 million from a negative $2.2 million in Q4 2023 [8][10]. Financial Results - Full Year 2024 - Total Revenues for the full year decreased by 5.5% to $210.5 million from $222.7 million in 2023 [9][30]. - Operating Loss increased by 16.6% to $14.0 million from $12.0 million in 2023 [9][30]. - Net Loss for the year increased by 15.1% to $35.3 million compared to $30.7 million in 2023 [9][30]. - Adjusted EBITDA decreased from $7.8 million in 2023 to $2.1 million in 2024 [9][30]. Currency Impact - The New Zealand dollar weakened by 2.1% and the Australian dollar by 0.8% against the U.S. dollar compared to Q4 2023, negatively impacting global revenue [5][7]. - Approximately 50% of total revenue is generated in Australia and New Zealand, making the company sensitive to currency fluctuations [7][10]. Cinema Business Performance - Global cinema revenue for Q4 2024 increased by 30% to $54.6 million from $41.9 million in Q4 2023 [13][30]. - The U.S. cinema circuit reported the highest food and beverage spend per person at $8.28, leading publicly traded exhibitors in gross box office per screen average at $85.1K for Q4 2024 [10][13]. - Full year global cinema revenue decreased by 6.0% to $195.1 million due to the impact of the 2023 Hollywood strikes [10][13]. Real Estate Business Performance - Real estate revenues increased by 14% to $5.2 million in Q4 2024 compared to $4.5 million in Q4 2023 [10][13]. - The global real estate division's operating income increased by 148.5% to $1.4 million in Q4 2024 [10][13]. - For the full year, real estate revenues increased by 1% to $20.0 million from $19.9 million in 2023 [10][13]. Balance Sheet and Liquidity - As of December 31, 2024, cash and cash equivalents were $12.3 million, with total outstanding bank borrowings of $202.7 million against total book value assets of $471.0 million [20][28]. - The company has taken steps to monetize real estate assets to support liquidity, including the sale of properties in Wellington, New Zealand for NZ$38 million [20][28].

Revenue Performance - Total revenues for the years ended December 31, 2020, 2021, 2022, 2023, and 2024 were $77.9 million, $139.1 million, $203.1 million, $222.7 million, and $210.5 million, respectively, showing an upward trend since 2020 despite a dip in 2024 due to the Hollywood strikes[31]. - The company generated approximately 57% of its 2024 revenue from box office receipts[53]. - The company reported gross revenues of $106.2 million (50%) in the United States, $90.5 million (43%) in Australia, and $13.9 million (7%) in New Zealand for 2024, compared to $120.0 million (54%), $88.1 million (40%), and $14.6 million (6%) for 2023, reflecting a decrease primarily due to a weaker film slate[99]. Liquidity and Financial Management - The company implemented measures to address liquidity challenges, including monetizing eight real estate assets from 2021 through the end of Q1 2025, which produced $156.1 million in net proceeds[24][28]. - The company anticipates additional cash will be required to maintain liquidity through 2026, particularly to pay back deferred rents totaling $9.6 million as of December 31, 2024[29][25]. - Approximately $174.8 million of the company's current debt will mature over the next twenty-four months, with a potential 1% increase in interest rates leading to an additional $2.0 million in annual interest expense[151]. Impact of Hollywood Strikes - The Hollywood strikes led to losses of up to $2 billion in 2024, significantly impacting box office performances, particularly for cast-driven movies[32]. - The Writers Guild of America and Screen Actors Guild strikes delayed film releases, significantly impacting marketing and promotion efforts, leading to underperformance of films released during that period[207]. - The Hollywood strikes in 2023 have disrupted film production, affecting the supply and release dates of films, which may impact future attendance[123]. Real Estate and Asset Management - The company monetized approximately $159.3 million in real estate assets over the past four years to sustain operations and pay down debt[43]. - The company entered into a call option agreement to sell properties in Townsville, Queensland, Australia for A$32 million, with a book value of $17.4 million[29]. - The company has classified the Cannon Park property as held for sale as of May 2024, indicating a strategic shift in asset management[89]. Operational Challenges - The cinema and live theatre operations are facing reduced consumer demand due to inflationary pressures and increased ticket prices[113]. - Attendance at cinemas has decreased due to changes in consumer behavior favoring alternative forms of entertainment, leading to reduced operating margins[113]. - The company is vulnerable to competition from larger cinema operators who have better access to films and funding, potentially affecting revenue and profitability[128]. Strategic Initiatives - The company is focused on enhancing existing cinema facilities and pursuing new development opportunities despite current cash flow constraints[50]. - The company is expanding rewards and membership offerings, including a paid subscription program launched in Australia during Q4 2024[70]. - The company is committed to ongoing liquidity management and evaluating non-core real estate assets for future monetization[212]. Market Conditions and Competition - The in-home streaming and mobile device entertainment industry has significantly increased competition for theatrical releases, impacting film distributors[66]. - The company faces risks related to labor shortages and increased labor costs, which may affect operational efficiency[119]. - The company is addressing competitive challenges by enhancing comfort and service levels at cinemas, investing in larger screens, and providing specialized content[67]. Future Outlook - The company expects a stronger box office in 2025, driven by major releases previously slated for 2024 that were delayed[33]. - The company is optimistic about future cinema performance due to a strong slate of films anticipated through the end of 2025[206]. - Anticipated film releases such as Mission Impossible 8 and Avatar: Fire and Ash are expected to drive improvements in cinema operations as audience levels rebound[215].

Core Insights - Reading International, Inc. reported a significant increase in fourth quarter revenues for 2024, with total revenues rising by 29.3% to $58.6 million compared to $45.3 million in Q4 2023, driven by a strong lineup of blockbuster films [3][6][8] - Despite the strong fourth quarter performance, the full year 2024 results lagged behind 2023 due to the impact of the Hollywood strikes in 2023, which affected the film release schedule [4][7] Financial Results - Fourth Quarter 2024 - Total revenues increased by 29.3% (or $13.3 million) to $58.6 million compared to $45.3 million in Q4 2023 [8] - Operating income improved from a loss of $7.0 million in Q4 2023 to a positive operating income of $1.5 million in Q4 2024 [8] - Net loss decreased from $12.4 million in Q4 2023 to $2.2 million in Q4 2024, primarily due to improved cinema and real estate revenue [8] - Adjusted EBITDA improved by 250.5% to $3.4 million from a negative adjusted EBITDA of $2.2 million in Q4 2023 [8] Financial Results - Full Year 2024 - Total revenues decreased by 5.5% to $210.5 million from $222.7 million in 2023 [9] - Operating loss increased by 16.6% to $14.0 million from $12.0 million in 2023 [9] - Adjusted EBITDA decreased by $5.6 million from $7.8 million to $2.1 million [9] - Net loss increased by 15.1% to $35.3 million compared to $30.7 million in 2023 [9] Cinema Business Performance - Global cinema revenue increased by 30% to $54.6 million in Q4 2024 from $41.9 million in Q4 2023 [15] - The U.S. cinema circuit reported the highest food and beverage spend per person at $8.28, leading all publicly traded exhibitors in the U.S. for Q4 2024 [15] - Despite the strong fourth quarter, full year global cinema revenue decreased by 6.0% to $195.1 million due to a weaker film slate early in 2024 [15] Real Estate Business Performance - The global Real Estate Division saw revenues increase by 14% to $5.2 million in Q4 2024 compared to $4.5 million in Q4 2023 [10] - Operating income for the Real Estate Division increased by 148.5% to $1.4 million in Q4 2024 [10] - The steady performance of the 74 third-party tenant portfolio in Australia/New Zealand contributed to a 96% occupancy rate [10] Balance Sheet and Liquidity - As of December 31, 2024, cash and cash equivalents were $12.3 million, with total outstanding bank borrowings at $202.7 million against total book value assets of $471.0 million [29] - The company sold its Wellington, New Zealand assets for NZ$38 million on January 31, 2025, which will support liquidity [11][16]

Core Insights - Reading International, Inc. achieved record box office revenues during the November and December 2024 holiday period, driven by the release of major Hollywood films such as Wicked, Moana 2, Gladiator II, Mufasa: The Lion King, and Sonic the Hedgehog 3 [1][8] - The company's Australian circuit, under the Reading Cinemas and Angelika brands, set box office revenue records for both November and December 2024 [2] - December 2024 marked the highest box office results for that month ever, surpassing the previous record set in December 2019, while November 2024 also achieved the highest results for that month [8] Company Operations - Reading International operates cinema brands including Reading Cinemas, Consolidated Theatres, and Angelika, and has a presence in the United States, Australia, and New Zealand [4][5] - The company has launched a new loyalty program in Australia, Reading Rewards, allowing customers to earn and redeem points for tickets and food & beverage items, with an option to upgrade to a Boost tier for additional benefits [2] Financial Performance - Despite closing eight unprofitable cinemas (52 screens) in the United States since January 2019, the box office for the company's brands in the U.S. achieved significant revenue milestones [2] - The box office performance in December 2024 was noted as the highest since the pandemic, indicating a strong recovery in cinema attendance [8]

NEW YORK, Jan. 14, 2025 (GLOBE NEWSWIRE) -- Reading International, Inc. (NASDAQ: RDI) (“Reading” or our “Company”), an internationally diversified cinema and real estate company with operations and assets in the United States, Australia, and New Zealand, today announced it has entered into an unconditional Sale and Purchase Agreement to sell its properties in Wellington, New Zealand to Prime Property Group (“Prime”) for a purchase price of NZ$38 million. The sale of these property assets is expected to clos ...

Earnings Call Webcast to Discuss Third Quarter Financial Results Scheduled to Post to Corporate Website on Monday, November 18, 2024 NEW YORK, Nov. 14, 2024 (GLOBE NEWSWIRE) -- Reading International, Inc. (NASDAQ: RDI) (“Reading” or our “Company”), an internationally diversified cinema and real estate company with operations and assets in the United States, Australia, and New Zealand, today announced its results for the third quarter ended September 30, 2024. Third Quarter 2024 Summary Results The Company’s ...

NEW YORK, Oct. 14, 2024 (GLOBE NEWSWIRE) -- Reading International, Inc. (NASDAQ: RDI) announced today that Reading will hold its 2024 Annual Meeting of Stockholders (the "2024 Annual Meeting") virtually through a web-based platform, commencing at 2:00 p.m. Eastern Time, on December 5, 2024. Voting online at the virtual meeting Registered stockholders and duly appointed proxyholders, as of the close of business on October 15, 2024 (the record date for the 2024 Annual Meeting), are entitled to attend the virt ...