Cineplex second quarter earnings and revenue rise

Media revenues for the quarter were up more than 40%, with most ads coming from the automotive, electronics and communications categories.
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Cineplex on Thursday posted higher second quarter earnings and revenue as the Canadian exhibitor continues to bank on premium theatres to show 3D movies and a dominant Hollywood movie slate.

Cineplex posted a profit up 31% to $28.5 million, against a year-earlier $21 million, on revenue up 14% to $301 million.

The profit jump came from a blend of more theatres after the acquisition of four AMC venues and a mix of Hollywood movie performers like Iron Man 3, Star Trek: Into Darkness and Man of Steel.

Media revenues for the quarter were up 44.7% versus the same period last year, due in large part to jumps in showtime and digital pre-show ads. The top advertising categories for the quarter included automotive, electronics and communications, according to an earnings release. Cineplex Media also signed a deal to provide specialty media services to 10 Oxford Property malls and shopping centres this quarter.

“It was a record quarter for Cineplex,” said Ellis Jacob, president and CEO of Cineplex, in a statement, as new high-water marks were set for total revenue.

“Increased attendance resulting from strong film product during the period and increased revenues generated from concession, box office and media, all contributed to the tremendous gains in adjusted EBITDA,” he added.

Photo: Paramount Pictures

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