Cinemark(US:CNK)2022-11-03 16:00Revenue Growth - Total revenue for the nine months ended September 30, 2022, was $1,855.0 million, compared to $843.8 million for the same period in 2021, representing a 120.5% increase[130] - Admissions revenue for the nine months ended September 30, 2022, was $942.3 million, up from $435.1 million in 2021, reflecting a 116.5% increase[130] - Concession revenue for the nine months ended September 30, 2022, reached $712.6 million, compared to $313.5 million in 2021, marking a 127.6% increase[130] - Total revenue for Q3 2022 reached $511.7 million, a 36.2% increase from $375.5 million in Q3 2021[134] - Total revenue for the 2022 period was $1.48 billion, a 100% increase from $741.9 million in the 2021 period, with admissions revenue contributing $942.3 million compared to $435.1 million in 2021[143] - Other revenue for the U.S. segment increased by 80.5% to $148.9 million in the 2022 period compared to $82.5 million in the 2021 period, mainly due to attendance growth[143] Attendance and Operations - The North American industry box office exceeded $1.9 billion during the third quarter of 2022, compared to approximately $1.4 billion in the third quarter of 2021, indicating a significant recovery[133] - U.S. admissions revenue increased by 32.0% to $257.6 million in Q3 2022 from $195.3 million in Q3 2021, driven by a 37.2% increase in attendance to 29.5 million patrons[134] - International attendance surged by 105.4% to 18.9 million patrons in Q3 2022 compared to 9.2 million in Q3 2021, reflecting the lifting of COVID-19 restrictions[134] - U.S. attendance increased by 101.4% to 84.2 million patrons in the 2022 period compared to 41.8 million in the 2021 period, driven by improved COVID-19 conditions and a consistent release of new films[143] - International attendance surged by 214.0% to 49.3 million patrons in the 2022 period compared to 15.7 million in the 2021 period, attributed to lifted COVID-19 restrictions and new film releases[143] - The company’s theatres were fully operational by the end of Q4 2021, contributing to the recovery in attendance and revenue[125] Expenses and Costs - Film rental costs for the nine months ended September 30, 2022, were $531.1 million, up from $216.8 million in 2021, reflecting a 145.5% increase[130] - General and administrative expenses for the nine months ended September 30, 2022, totaled $134.0 million, compared to $111.8 million in 2021, an increase of 19.8%[130] - Salaries and wages increased to $81.9 million in Q3 2022, up from $58.0 million in Q3 2021, due to higher attendance and expanded operating hours[137] - General and administrative expenses rose to $45.1 million in Q3 2022, compared to $38.6 million in Q3 2021, primarily due to higher staffing levels and inflation[137] - Concession supplies expense was 17.2% of concession revenue in the 2022 period, up from 16.2% in the 2021 period, due to inflationary pressures[146] Profitability and Loss - Operating loss for the nine months ended September 30, 2022, was $(32.8) million, an improvement from $(297.4) million in 2021[130] - Depreciation and amortization expense decreased to $58.3 million in Q3 2022 from $67.2 million in Q3 2021, mainly due to prior asset impairments[138] - Income tax expense for Q3 2022 was $3.4 million, compared to an income tax benefit of $(8.9) million in Q3 2021, with an effective tax rate of approximately (16.6)%[140] - Equity in loss of affiliates decreased to $7.5 million in 2022 from $22.1 million in 2021, indicating a recovery in the performance of equity investees[148] Cash Flow and Capital Expenditures - Cash provided by operating activities was $27.7 million for Holdings and $47.0 million for CUSA for the nine months ended September 30, 2022, compared to cash used of $(42.2) million and $(31.7) million respectively in 2021[150] - Cash used for investing activities was $(53.3) million for the nine months ended September 30, 2022, compared to $(55.0) million in 2021[151] - Total capital expenditures for the nine months ended September 30, 2022 were $65.3 million, up from $57.2 million in 2021, with new theatres at $24.8 million and existing theatres at $40.5 million[151] Debt and Financing - Total debt for Holdings is $2,530.1 million, with a fair value of $2,326.2 million and an average interest rate of 5.3%[172] - CUSA's total debt amounts to $2,070.1 million, with a fair value of $1,798.7 million and an average interest rate of 5.5%[173] - CUSA issued $405 million of 5.875% senior notes due 2026, with interest payable semi-annually, and the proceeds were used to fund a cash tender offer for its 5.125% senior notes[163] - CUSA issued $765 million of 5.25% senior notes due 2028, with proceeds used to redeem all of its 4.875% senior notes due 2023[165] - CUSA has three interest rate swap agreements covering $450 million of the $628.2 million outstanding term loan to hedge interest rate risk[171] - As of September 30, 2022, CUSA was in full compliance with all agreements governing its outstanding debt, including covenants[168]