Financial Performance - Total revenue for Q2 2024 was $46.8 million, a decrease of 28% compared to $65.1 million in Q2 2023[8] - Cinema revenue for Q2 2024 was $42.9 million, down 30% from $61.1 million in Q2 2023[8] - Net loss for Q2 2024 was $9.5 million, compared to a net loss of $2.9 million in Q2 2023[9] - Operating income for Q2 2024 was a loss of $4.4 million, compared to an operating income of $1.8 million in Q2 2023[8] - Basic earnings per share for Q2 2024 was a loss of $0.42, compared to a loss of $0.12 in Q2 2023[8] - The company reported a comprehensive loss of $8.7 million for Q2 2024, compared to a comprehensive loss of $3.6 million in Q2 2023[9] - Net income for the six months ended June 30, 2024, was a loss of $22.9 million compared to a loss of $14.2 million for the same period in 2023[11] - Total revenue for the quarter ended June 30, 2024, was $46.8 million, a decrease of 28% from $65.1 million in the same quarter of 2023[15] - Cinema exhibition revenue for the six months ended June 30, 2024, was $84.2 million, down 18% from $103.0 million in 2023[15] - The company reported a segment operating loss of $1.3 million for cinema exhibition in the quarter ended June 30, 2024, compared to an operating income of $4.5 million in the same quarter of 2023[15] Assets and Liabilities - Total current assets increased to $58.7 million as of June 30, 2024, from $38.7 million at December 31, 2023[5] - Total liabilities decreased to $485.3 million as of June 30, 2024, from $500.1 million at December 31, 2023[6] - Cash and cash equivalents decreased to $9.2 million as of June 30, 2024, from $12.9 million at December 31, 2023[5] - The company’s retained earnings deficit increased to $102.1 million as of June 30, 2024, from $79.5 million at December 31, 2023[7] - The total operating property net value decreased from $262.4 million as of December 31, 2023, to $225.5 million as of June 30, 2024, reflecting a reduction in asset values[36] - The net book value of underlying assets under operating leases was $94,608 as of June 30, 2024, down from $103,952 at December 31, 2023, a decrease of 8.9%[56] Cash Flow and Liquidity - Cash and cash equivalents at the end of the period were $10.7 million, down from $21.8 million at the end of the same period in 2023[11] - The company has $58.6 million of debt due within twelve months and negative working capital of $89.8 million as of June 30, 2024[23] - The company is willing to pursue additional asset monetizations if cash flow estimates do not meet expectations, demonstrating a proactive approach to liquidity management[25] Debt and Financing - The company extended the maturity date of its Union Square financing facility to May 6, 2025, and its NAB facility to July 31, 2026[24] - The Bank of America Credit Facility was amended to extend the maturity date to August 18, 2025, and required a $275,000 principal paydown[73] - The Cinemas 1, 2, 3 Term Loan was extended to October 1, 2024, with an interest rate of 3.50% above monthly SOFR, with a floor of 7.50%[77] - The Corporate Loan facility with NAB was amended to AU$100.0 million, maturing on July 31, 2026, with an additional AU$20.0 million bridge facility maturing on March 31, 2025[81] Market Outlook - The global cinema industry is expected to improve in the second half of 2024 and 2025, driven by anticipated successful film releases and an increase in the number of movies from major studios[25] - The company anticipates improvement in the global cinema industry in the latter half of 2024, driven by upcoming film releases such as "Inside Out 2" and "Despicable Me 4"[25] Legal and Environmental Matters - The company is involved in legal proceedings but does not expect a material adverse effect on its business or financial position[88] - Environmental conditions at properties may increase project costs but are not currently believed to be material[89] - The company has a history of asbestos-related claims, with known exposure not considered material[90] Stock and Compensation - The total number of Class A Common Stock options outstanding as of June 30, 2024, was 1,472,260, with a weighted average exercise price of $1.73[100] - The company granted stock options to purchase 1,264,603 shares of Class A Common Stock to senior executives on June 6, 2024, in lieu of cash bonuses[99] - The total unrecognized estimated compensation expense related to non-vested stock options was $815,000, expected to be recognized over a weighted average vesting period of 1.03 years[100] - The total RSUs granted as of June 30, 2024, amounted to 2,233,372, with 1,400,813 units vested[101]
Reading International(RDIB) - 2024 Q2 - Quarterly Report