Canada's Cineplex Q3 revenue jumps 26% to record high

Cineplex

Yesterday 11:10

Overview
Canada cinema operator's Q3 revenue rose 26% yr/yr to a record C$440.2 mln
Diluted EPS climbed to C$0.34 from C$0.02 a year ago
Company launched strategic review, including possible sale of the business

Outlook
Company expects continued growth supported by upcoming film releases and studio commitment
Cineplex board is conducting a strategic review, including possible sale of the company

Result Drivers
FILM SLATE AND ATTENDANCE - Co said revenue growth was driven by a strong film slate and a 23.1% rise in attendance, notably from Spider-Man: Brand New Day and The Odyssey
PREMIUM FORMATS - Premium-priced formats accounted for a record 51.4% of box office revenue, lifting box office per patron
THEATRE FOOD SERVICE - Record food service revenue attributed mainly to higher theatre attendance

Company press release: ID:nGNX5zfJVt

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
 
C$440.2 mln
 
Q3 EPS
 
C$0.34
 
Q3 Net Income
 
C$23.83 mln
 
Q3 Adjusted EBITDA
 
C$111.53 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the leisure & recreation peer group is "buy"
Wall Street's median 12-month price target for Cineplex Inc is C$13.75, about 0.8% above its November 5 closing price of C$13.64
The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 25 three months ago

Reuters Recommended Reads
Nov 3 - Cinemark posts record Q3 revenue, net income up 146%
Nov 4 - AMC Entertainment Q3 revenue beats estimates on strong attendance
Nov 5 - IMAX tops Q3 estimates on box office strength

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)