The exhibition ad sales company had a solid quarter, although its outlook for Q3 looks a little worrisome. National CineMedia just reported that it had net income of $9.5M in Q2, up from a $1.9M loss in the period last year, on revenues of $122.8M, +11.5%. Analysts thought revenues would be a little lower, at about $120M. Earnings at 19 cents a share beat the consensus forecast by a penny. Revenues at the main ad sales business were up 15.4% to $116.9M. But the Fathom Events unit, which produces alternative content for theaters, was down 33% to $5.9M. CEO Kurt Hall says that efforts to broaden its client base and expand use of digital projectors paid off — as did cost controls and theater acquisitions by founding members AMC Entertainment, Cinemark, and Regal. National Cinemedia also is benefiting from “steady economic recovery and the impact on the broader media marketplace of increasing DVR adoption and programming fragmentation, making the selling proposition of our expanding national network and engaging theater environment stronger than ever.” Even so, the company projects that Q3 revenue could fall as much as 10% to $130M.
National CineMedia Says Improving Economy And Cost Controls Boosted Q2 Earnings
What's Hot on Deadline
'Pacific Rim: Uprising' Doesn't Create Waves At $26M+; 'Black Panther' Sets Marvel Record & Beats 'Avengers'
Latest Business News
- March For Our Lives Livestream: Watch The D.C. Event Here
- Where To Watch: ‘March For Our Lives’ Anti-Gun Rallies Take Over Media & World Stages
- Hollywood Denounces Donald Trump Order Banning Most Transgender Troops
- Netflix Teams With Formula 1 Racing For New Series
- Michael Ovitz Suing Insurer Over His Anita Busch Lawsuit Settlement
- Elon Musk Takes His Boldest Step Yet – He Deletes His Company Facebook Accounts