Cinemark's Strong Box Office Performance Drives Profit and Stock Surge
Cinemark, the exhibition giant, reported a quarterly profit of $120.4 million, compared to a year-earlier loss, as admissions and concessions revenue increased amid a continuing box office recovery. However, Cinemark's president and CEO, Sean Gamble, warned that the ongoing Hollywood actors and writers strikes could delay production of future movies and shift release dates. Despite this, Gamble expressed optimism about Apple and Amazon's intentions to scale theatrical film production. Cinemark's improved financial and operating footing positions them well to handle fluctuations in content flow. In the second quarter, Cinemark hosted 38.8 million patrons in the U.S. and saw increased attendance in Latin America. Shares in Cinemark rose by 5.3 percent in premarket trading.