Cineplex Posts $41.4 Million In Revenue, $89.7 Million Net Loss For Q1 2021

Cineplex Inc. (TSX: CGX) reported this morning its financial results for Q1 2021, which saw $41.4 million in revenue. This is an 85.4% drop from Q1 2020’s $282.8 million in revenue.

The company’s revenue for the quarter comes from the box office ($3.8 million), food service ($6.5 million), media ($9.1 million), amusement ($13.9 million), and other revenues ($8.1 million). Cineplex also posted a $89.7 million net loss for the quarter, compared to last year’s $178.4 million net loss. This translates to $1.42 in losses per share.

Due to the pandemic, the majority of Cineplex’s theatres remain closed or under strict operating regulations. Theatre attendance for this quarter hit just 0.4 million, a notable 96.1% drop from last year’s 10.7 million.

During the quarter, the company has raised significant amounts which were mostly used to repay Cineplex’s credit facilities: $57.0 million from the completed sale and leaseback transactions of two of its head office buildings, $250.0 million from a secured note financing, and from a third credit agreement with The Bank of Nova Scotia for financial relief in light of the pandemic.

The company ended Q1 2021 with $19.5 million in cash and cash equivalents, up from Q4 2020’s $16.3 million. However, it recorded a negative $78.8 million in adjusted free cash flow, dropping from Q1 2020’s negative $0.2 million.

Cineplex also reported that it has remained prudent in managing costs, recording an average monthly cash burn for the quarter of $26.9 million. This is an increase from last quarter’s $24.8 million.

You may see the full details of Cineplex’s Q1 2021 financial results here.

Cineplex Inc. last traded at $12.55 on the TSX.

Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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