Cineplex Inc. (TSX:CGX) reported its first-quarter 2022 results on Friday. Results were boosted by higher attendance and the release of anticipated movies.
Strong Results Across All Business Lines
The movie theater chain posted a first-quarter loss of $42.2 million as revenue soared with customers returning to movie theaters. That compares with a loss of $89.7 million a year earlier.
Per share, the loss was $0.67 for the quarter ended March 31, compared to a loss of $1.42 per diluted share in Q1 2021.
CEO Ellis Jacob said that with operating restrictions now fully lifted at its cinemas, customers are coming back and the company is seeing positive results and momentum across all of its business lines.
Revenue totaled $228.7 million, an increase of 452.3% compared to $41.4 million in the first three months of 2021. Total media revenue increased by 71.3% to $15.5 million in Q1 2022 compared to Q1 2021.
The current period has been marked by the release of the highly anticipated movies The Batman and Uncharted and
Spider-Man: No Way Home’s continued strong performance versus limited first-run product launches the previous year period.
The company says theater attendance in the quarter totaled 6.7 million, up from 415,000 in the same quarter last year, when it faced pandemic-related closures for most of the year.
Record BPP and CPP
Box office revenues per patron (BPP) hit a record $12.00 in the first quarter, up from $9.20 a year ago, while concession revenues per patron (CPP) reached an all-time quarterly high at $8.82, compared to $6.12 in the same quarter last year.
Cineplex CEO and president Ellis Jacob, commented: “Looking ahead, we are encouraged by the continuing contributions of our diversified businesses and the strong content supply for the remainder of the year as box office numbers continue their upward trend. It is clear that movie-lovers, social seekers and game enthusiasts are back at our theatres and entertainment venues, looking for a safe, affordable escape. As we move forward in 2022 and gain momentum, we are confident in our ability to effectively emerge from the pandemic and drive long-term value creation for shareholders – all while doing what we do best, entertaining Canadians.”
Cineplex stock gained 9% on Friday shortly after the quarterly results release, but is still down nearly 6% year-t0-date.
