Cineplex Reports Strong Q3 Revenue Despite Decline in Profit

By Adriano Marchese

Cineplex, the Canadian movie-theater chain, saw a decline in profit during the third quarter. However, the release of hit movies like "Barbenheimer" helped the company achieve its highest quarterly revenue ever.

The net income for the quarter reached 29.7 million Canadian dollars ($21.5 million), or C$0.40 per share. This is a slight decrease from the 30.9 million Canadian dollars, or C$0.43 per share, earned during the same period last year. Analysts, on the other hand, had expected earnings of C$0.37 per share, according to FactSet.

Despite the dip in profit, Cineplex reported a record-breaking revenue of C$463.6 million for the quarter. This is a significant increase from the previous year's revenue of C$339.8 million and exceeded analysts' expectations of C$452.1 million.

One of the main drivers of this strong performance was the lineup of movies released during the quarter. Films like "Barbie", "Oppenheimer", and "Mission: Impossible - Dead Reckoning" attracted a large number of moviegoers, leading to a 42% increase in theater attendance to 15.7 million.

Cineplex CEO, Ellis Jacob, expressed his satisfaction with the third-quarter results and highlighted the company's box-office revenue of C$188.2 million. This figure outperformed the North American box office by 310 basis points.

Overall, despite the decline in profit, Cineplex had an exceptional third quarter, achieving record-breaking revenue thanks to the success of its movie releases.