AMC Entertainment Reports Record Revenues and Adjusted EBITDA for Second Quarter; Results are the Highest in Company's History.KANSAS CITY Kansas City, two adjacent cities of the same name, one (1990 pop. 149,767), seat of Wyandotte co., NE Kansas (inc. 1859), the other (1990 pop. 435,146), Clay, Jackson, and Platte counties, NW Mo. (inc. 1850). , Mo.--(BUSINESS WIRE)--Oct. 26, 1999-- AMC (Advanced Mezzanine Card) See AdvancedTCA. Entertainment Inc., one of the world's leading theatrical exhibition companies, today reported record revenues and Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become for the second quarter of fiscal 2000, ended Sept. 30, 1999. For the second quarter of fiscal 2000, AMC posted total revenues of $334 million, an increase of 15 percent over $290 million in the same quarter a year ago. Earnings before interest, taxes, depreciation and amortization Earnings before interest, taxes, depreciation and amortization (EBITDA) is a non-GAAP metric that can be used to evaluate a company's profitability.
The expense of reorganizing a company's operations. A restructuring charge is an infrequent expense that generally results from asset writedowns or facility closings. (Adjusted EBITDA) for the second quarter were $53 million, a 15 percent increase over $47 million in the year-ago quarter. During the second quarter of fiscal 2000, the Company took a restructuring charge of $12 million (approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. $5 million of which was non-cash) to recognize certain one-time one-time adj. 1. or one·time a. Occurring or undertaken only once: a one-time winner in 1995. b. expenses associated with consolidation of its three U.S. divisional operations and other costs. The consolidation resulted in a net reduction of over 100 people, and is expected to create annual General and Administrative (G&A) expense savings of $20 million on a pro forma As a matter of form or for the sake of form. Used to describe accounting, financial, and other statements or conclusions based upon assumed or anticipated facts. The phrase pro forma basis. Second-quarter net earnings on a pre-restructuring charge basis were 30 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. . After the $12 million restructuring charge, AMC posted a loss of $202,000 (or a loss of 1 cent per share) compared to earnings of $8 million (34 cents per share) in the same period last year. For the first two quarters of fiscal 2000, AMC recorded revenues of $620 million, an increase of 17 percent over $530 million in the first two quarters of fiscal 1999. Adjusted EBITDA for the year to date totaled $79 million, a 15 percent increase over $69 million in the first two quarters last year. Year-to-date Year-to-date (YTD) The period beginning at the start of the calendar year up to the current date. net earnings on a pre-restructuring charge and pre-accounting change basis were a loss of 17 cents per share. Net earnings per share were reduced further by 31 cents for the second- quarter restructuring charge and by 25 cents for the first-quarter accounting change related to start-up Start-up The earliest stage of a new business venture. activities. Commenting on the results, Peter Brown, chairman and chief executive officer, said: "At mid-point of the fiscal year, the Company has delivered on key initiatives to close over half of its identified disposition Act of disposing; transferring to the care or possession of another. The parting with, alienation of, or giving up of property. The final settlement of a matter and, with reference to decisions announced by a court, a judge's ruling is commonly referred to as disposition, regardless of screens, adjust prices and reduce overhead expenses. These record results demonstrate our commitment to enhancing the Company's financial performance and solidifying so·lid·i·fy v. so·lid·i·fied, so·lid·i·fy·ing, so·lid·i·fies v.tr. 1. To make solid, compact, or hard. 2. To make strong or united. v.intr. its foundation for long-term Long-term Three or more years. In the context of accounting, more than 1 year. long-term 1. Of or relating to a gain or loss in the value of a security that has been held over a specific length of time. Compare short-term. growth."
Highlights of the second fiscal quarter included:
- AMC Theatres continued to lead the U.S. box office market share
at 9.4 percent.
- AMC opened eight new megaplexes with a total of 164 screens,
while closing 10 multiplexes with 59 screens, for a total of 194
closed screens for this fiscal year to date.
- Megaplex screens now represent 57 percent of the Company's total
theatre circuit, and are on pace to represent over 60 percent of
the AMC circuit by the end of fiscal 2000.
- G&A expenses declined to 3.7 percent of revenues, a 119 basis
point reduction over the same quarter a year ago.
- AMC's first-quarter price increases continued to have a positive
impact during the second quarter, with a 13 percent increase in
average ticket prices for the U.S. theatre circuit and a
5 percent increase in concessions per head.
AMC Entertainment Inc. is a leader in the theatrical exhibition industry. Through its circuit of AMC Theatres This article or section has multiple issues: * Its tone or style may not be appropriate for Wikipedia. * It reads like an advertisement and needs to be rewritten in a neutral point of view. , the Company operates 213 theatres with 2,779 screens in 23 states, the District of Columbia District of Columbia, federal district (2000 pop. 572,059, a 5.7% decrease in population since the 1990 census), 69 sq mi (179 sq km), on the east bank of the Potomac River, coextensive with the city of Washington, D.C. (the capital of the United States). , Hong Kong Hong Kong (hŏng kŏng), Mandarin Xianggang, special administrative region of China, formerly a British crown colony (2005 est. pop. 6,899,000), land area 422 sq mi (1,092 sq km), adjacent to Guangdong prov. , Japan, Portugal Portugal (pôr`chəgəl), officially Portuguese Republic, republic (2005 est. pop. 10,566,000), 35,553 sq mi (92,082 sq km), SW Europe, on the western side of the Iberian Peninsula and including the Madeira Islands and the Azores in the , Spain Spain, Span. España (āspä`nyä), officially Kingdom of Spain, constitutional monarchy (2005 est. pop. 40,341,000), 194,884 sq mi (504,750 sq km), including the Balearic and Canary islands, SW Europe. and Canada Canada (kăn`ədə), independent nation (2001 pop. 30,007,094), 3,851,787 sq mi (9,976,128 sq km), N North America. Canada occupies all of North America N of the United States (and E of Alaska) except for Greenland and the French islands of . Its Common Stock trades on the American Stock Exchange American Stock Exchange (AMEX) Stock exchange in the U.S. Originally known as “the Curb,” it began as an outdoor marketplace in New York City c. 1850. It moved indoors to its present location in the Wall Street area in 1921. under the symbol AEN AEN Address Enable AEN America's Emergency Network AEN Australian Energy News (magazine) AEN Agenzia per l'Energia Nucleare (Italian: Nuclear Energy Agency; OCSE) AEN Administrative Exception Note . The Company, headquartered in Kansas City, Mo., has a website at www.amctheatres.com. Any forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. contained in this release, which reflect management's best judgment based on factors currently known, involve risks and uncertainties. Actual results could differ materially from those anticipated in the forward-looking statements included herein as a result of a number of factors, including, but not limited to, the Company's ability to enter into various financing programs, competition from other companies, demographic See demographics. changes, changes in economic climate, increase in demand for real estate, construction delays, unforeseen changes in operating requirements, the ability to achieve planned openings or closings of theatres and screens, changes in real estate, zoning and tax laws, the performance of films licensed by the Company and other risks and uncertainties. -0-
AMC ENTERTAINMENT INC.
FINANCIAL SUMMARY
(In thousands, except per-share data)
Thirteen Weeks Ended
September 30, 1999
Before Restructuring After
Restructuring Charge Restructuring Oct. 1,
Charge Impact Charge 1998
--------------------------------------------------
Statement of Operations
Data:
Theatre revenues $322,097 $ - $322,097 $282,173
Other revenues 11,588 - 11,588 8,023
-------- -------- -------- --------
Total revenues 333,685 - 333,685 290,196
Film exhibition costs 121,545 - 121,545 104,196
Concession costs 14,898 - 14,898 13,693
Theatre operating
expense 71,123 - 71,123 65,078
Rent 48,636 - 48,636 39,450
Other 11,794 - 11,794 6,997
General and
administrative 12,284 - 12,284 14,136
Preopening expense 2,024 - 2,024 388
Theatre closure expense 2,046 - 2,046 2,801
Restructuring charge - 12,000 12,000 -
Depreciation and
amortization 23,029 - 23,029 21,030
-------- -------- -------- --------
Total costs and
expenses 307,379 12,000 319,379 267,769
Operating income 26,306 (12,000) 14,306 22,427
Interest expense 14,401 - 14,401 8,322
Investment (income) loss 386 - 386 (365)
(Gain) loss on disposition
of assets (144) - (144) 35
-------- -------- -------- --------
Earnings (loss) before
income taxes and
cumulative effect of
an accounting change 11,663 (12,000) (337) 14,435
Income tax provision 4,665 (4,800) (135) 6,550
-------- -------- -------- --------
Earnings (loss) before
cumulative effect
of an accounting
change $ 6,998 $ (7,200) $ (202) $ 7,885
Cumulative effect of
an accounting
change, net of
taxes - - - -
-------- --------- -------- --------
Net earnings (loss) $ 6,998 $ (7,200) $ (202) $ 7,885
======== ======== ======== ========
Net earnings (loss)
per share before
cumulative effect
of an accounting
change:
Basic $ 0.30 $ (0.31) $ (0.01) $ 0.34
======== ======== ======== ========
Diluted $ 0.30 $ (0.31) $ (0.01) $ 0.33
======== ======== ======== ========
Net earnings (loss) per share:
Basic $ 0.30 $ (0.31) $ (0.01) $ 0.34
======== ======== ======== ========
Diluted $ 0.30 $ (0.31) $ (0.01) $ 0.33
======== ======== ======== ========
Average shares outstanding:
Basic 23,469 23,469 23,469 23,469
======== ======== ======== ========
Diluted 23,469 23,469 23,469 23,619
======== ======== ======== ========
Other Financial Data:
Adjusted EBITDA (1) $ 53,405 $ 46,646
Cash and equivalents 10,377 19,632
Corporate borrowings 651,075 431,015
Capital and financing lease obligations 52,615 50,456
Stockholders' equity 100,657 136,835
Total assets 1,093,731 851,556
Twenty-Six Weeks Ended
September 30, 1999
Before Restructuring After
Restructuring Charge Restructuring Oct. 1,
Charge Impact Charge 1998
--------------------------------------------------
Statement of Operations
Data:
Theatre revenues $598,781 $ - $598,781 $515,372
Other revenues 21,464 - 21,464 14,940
-------- -------- -------- --------
Total revenues 620,245 - 620,245 530,312
Film exhibition costs 231,093 - 231,093 189,404
Concession costs 27,589 - 27,589 25,143
Theatre operating
expense 138,132 - 138,132 129,185
Rent 96,513 - 96,513 77,402
Other 22,489 - 22,489 13,363
General and
administrative 25,495 - 25,495 27,281
Preopening expense 3,297 - 3,297 773
Theatre closure expense 11,692 - 11,692 2,801
Restructuring charge - 12,000 12,000 -
Depreciation and
amortization 43,686 - 43,686 41,372
-------- -------- -------- --------
Total costs and
expenses 599,986 12,000 611,986 506,724
Operating income 20,259 (12,000) 8,259 23,588
Interest expense 27,872 - 27,872 16,868
Investment (income) loss (100) - (100) (651)
(Gain) loss on disposition
of assets (327) - (327) (1,358)
-------- -------- -------- --------
Earnings (loss) before
income taxes and
cumulative effect of
an accounting change (7,186) (12,000) (19,186) 8,729
Income tax provision (3,035) (4,800) (7,835) 3,900
-------- -------- -------- --------
Earnings (loss) before
cumulative effect
of an accounting
change $ (4,151) $ (7,200) $(11,351) $ 4,829
Cumulative effect of
an accounting
change, net of
taxes (5,840) - (5,840) -
-------- -------- -------- --------
Net earnings (loss) $ (9,991) $ (7,200) $(17,191) $ 4,829
======== ======== ======== ========
Net earnings (loss)
per share before
cumulative effect
of an accounting
change:
Basic $ (0.17) $ (0.31) $ (0.48) $ 0.21
======== ======== ======== ========
Diluted $ (0.17) $ (0.31) $ (0.48) $ 0.21
======== ======== ======== ========
Net earnings (loss) per share:
Basic $ (0.42) $ (0.31) $ (0.73) $ 0.21
======== ======== ======== ========
Diluted $ (0.42) $ (0.31) $ (0.73) $ 0.21
======== ======== ======== ========
Average shares outstanding:
Basic 23,469 23,469 23,469 23,287
======== ======== ======== ========
Diluted 23,469 23,469 23,469 23,465
======== ======== ======== ========
Other Financial Data:
Adjusted EBITDA (1) $ 78,934 $ 68,534
Cash and equivalents
Corporate borrowings
Capital and financing lease obligations
Stockholders' equity
Total assets
(1) Represents operating income plus depreciation and
amortization, restructuring charge, theatre closure expense, and
preopening expense.
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