Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2023 | Jul. 28, 2023 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2023 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | Cinemark Holdings, Inc. | |
Entity Central Index Key | 0001385280 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Shell Company | false | |
Entity File Number | 001-33401 | |
Entity Tax Identification Number | 20-5490327 | |
Entity Address, Address Line One | 3900 Dallas Parkway | |
Entity Address, City or Town | Plano | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 75093 | |
City Area Code | 972 | |
Local Phone Number | 665-1000 | |
Entity Incorporation, State or Country Code | DE | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Title of Each Class | Common stock, par value $.001 per share | |
Trading Symbol(s) | CNK | |
Name of each exchange on which registered | NYSE | |
CNK | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 121,633,590 | |
CUSA | ||
Document Information [Line Items] | ||
Entity Registrant Name | Cinemark USA, Inc. | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Shell Company | false | |
Entity File Number | 33-47040 | |
Entity Tax Identification Number | 75-2206284 | |
Entity Address, Address Line One | 3900 Dallas Parkway | |
Entity Address, City or Town | Plano | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 75093 | |
City Area Code | 972 | |
Local Phone Number | 665-1000 | |
Entity Incorporation, State or Country Code | TX | |
Common Class A [Member] | CUSA | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 1,500 | |
Common Class B [Member] | CUSA | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 182,648 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
Other long-term assets | |||
Goodwill | [1] | $ 1,255.9 | $ 1,250.9 |
Intangible assets, net | 303.9 | 304.6 | |
Cinemark Holdings, Inc.'s stockholders' equity: | |||
Treasury stock | (97.8) | (95.4) | |
CNK [Member] | |||
Current assets | |||
Cash and cash equivalents | 758 | 674.5 | |
Inventories | 27.5 | 23.7 | |
Accounts receivable | 86 | 69.6 | |
Current income tax receivable | 45.2 | 45.1 | |
Prepaid expenses and other | 58.7 | 50.7 | |
Total current assets | 975.4 | 863.6 | |
Theatre properties and equipment, net | 1,187.9 | 1,232.1 | |
Operating lease right-of-use assets, net | 1,050.4 | 1,102.7 | |
Other long-term assets | |||
Goodwill | 1,255.9 | 1,250.9 | |
Intangible assets, net | 303.9 | 304.6 | |
Investments in affiliates | 23.9 | 22.6 | |
Deferred charges and other assets, net | 34.5 | 31.6 | |
Total other long-term assets | 1,633.1 | 1,619.3 | |
Total assets | 4,846.8 | 4,817.7 | |
Current liabilities | |||
Current portion of long-term debt | 8.1 | 10.7 | |
Current portion of operating lease obligations | 218.7 | 219.3 | |
Current portion of finance lease obligations | 14.7 | 14.4 | |
Current income tax payable | 2.5 | 3.2 | |
Accounts payable and accrued expenses | 500.7 | 460.9 | |
Total current liabilities | 744.7 | 708.5 | |
Long-term liabilities | |||
Long-term debt, less current portion | [2] | 2,390.3 | 2,474 |
Operating lease obligations, less current portion | 917.2 | 970.6 | |
Finance lease obligations, less current portion | 80.5 | 88 | |
Long-term deferred tax liability | 36.4 | 33.7 | |
Long-term liability for uncertain tax positions | 45.7 | 47.9 | |
Other long-term liabilities | 43.8 | 37.3 | |
Total long-term liabilities | 3,847.3 | 3,989.7 | |
Cinemark Holdings, Inc.'s stockholders' equity: | |||
Common stock | 0.1 | 0.1 | |
Treasury stock | (97.8) | (95.4) | |
Additional paid-in-capital | 1,231.8 | 1,219.3 | |
Accumulated deficit | (544.6) | (660.6) | |
Accumulated other comprehensive loss | (344.8) | (353.2) | |
Total Cinemark Holdings, Inc.'s stockholders' equity | 244.7 | 110.2 | |
Noncontrolling interests | 10.1 | 9.3 | |
Total equity | 254.8 | 119.5 | |
Total liabilities and equity | 4,846.8 | 4,817.7 | |
CNK [Member] | NCM | |||
Other long-term assets | |||
Investment | 14.9 | 9.6 | |
Long-term liabilities | |||
NCM screen advertising advances | 333.4 | 338.2 | |
CUSA [Member] | |||
Current assets | |||
Cash and cash equivalents | 515.7 | 427.3 | |
Inventories | 27.5 | 23.7 | |
Accounts receivable | 85.3 | 69 | |
Current income tax receivable | 45.2 | 45.1 | |
Prepaid expenses and other | 58.7 | 50.7 | |
Accounts receivable from parent | 61 | 53.4 | |
Total current assets | 793.4 | 669.2 | |
Theatre properties and equipment, net | 1,187.9 | 1,232.1 | |
Operating lease right-of-use assets, net | 1,050.4 | 1,102.7 | |
Other long-term assets | |||
Goodwill | 1,255.9 | 1,250.9 | |
Intangible assets, net | 303.9 | 304.6 | |
Investments in affiliates | 23.9 | 22.6 | |
Deferred charges and other assets, net | 34.5 | 31.6 | |
Total other long-term assets | 1,633.1 | 1,619.3 | |
Total assets | 4,664.8 | 4,623.3 | |
Current liabilities | |||
Current portion of long-term debt | 8.1 | 10.7 | |
Current portion of operating lease obligations | 218.7 | 219.3 | |
Current portion of finance lease obligations | 14.7 | 14.4 | |
Current income tax payable | 2.5 | 3.2 | |
Accounts payable and accrued expenses | 492.6 | 452.7 | |
Total current liabilities | 736.6 | 700.3 | |
Long-term liabilities | |||
Long-term debt, less current portion | 1,937.6 | 2,023 | |
Operating lease obligations, less current portion | 917.2 | 970.6 | |
Finance lease obligations, less current portion | 80.5 | 88 | |
Long-term deferred tax liability | 41.1 | 36.1 | |
Long-term liability for uncertain tax positions | 45.7 | 47.9 | |
NCM screen advertising advances | 333.4 | 338.2 | |
Other long-term liabilities | 43.8 | 37.3 | |
Total long-term liabilities | 3,399.3 | 3,541.1 | |
Cinemark Holdings, Inc.'s stockholders' equity: | |||
Treasury stock | (24.2) | (24.2) | |
Additional paid-in-capital | 1,491.4 | 1,479.5 | |
Accumulated deficit | (650) | (775.9) | |
Accumulated other comprehensive loss | (347.9) | (356.3) | |
Total Cinemark Holdings, Inc.'s stockholders' equity | 518.8 | 372.6 | |
Noncontrolling interests | 10.1 | 9.3 | |
Total equity | 528.9 | 381.9 | |
Total liabilities and equity | 4,664.8 | 4,623.3 | |
CUSA [Member] | NCM | |||
Other long-term assets | |||
Investment | 14.9 | 9.6 | |
CUSA [Member] | Common Class A [Member] | |||
Cinemark Holdings, Inc.'s stockholders' equity: | |||
Common stock | 0 | 0 | |
CUSA [Member] | Common Class B [Member] | |||
Cinemark Holdings, Inc.'s stockholders' equity: | |||
Common stock | $ 49.5 | $ 49.5 | |
[1] Balances are presented net of accumulated impairment losses of $ 214.0 for the U.S. operating segment and $ 43.8 for the international operating segment. See discussion of the qualitative impairment analysis performed by the Company as of June 30, 2023 at Note 12. The only differences between the long-term debt for Holdings, as presented above, and the long-term debt for CUSA are the $ 460.0 4.50 % Convertible Senior Notes due 2025 and the related debt issuance costs. The following table sets forth, as of the periods indicated, the total long-term debt carrying value, current portion of long-term debt and debt issuance costs, net of amortization, for CUSA. |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Treasury stock, shares | 5,930,000 | 5,680,000 |
CNK [Member] | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 127,566,149 | 126,082,187 |
Common stock, shares outstanding | 121,631,775 | 120,403,833 |
Treasury stock, shares | 5,934,374 | 5,678,354 |
Accumulated depreciation and amortization | $ 2,268.7 | $ 2,165.7 |
CUSA [Member] | ||
Treasury stock, shares | 57,245 | 57,245 |
Accumulated depreciation and amortization | $ 2,268.7 | $ 2,165.7 |
Common Class A [Member] | CUSA [Member] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 10,000,000 | 10,000,000 |
Common stock, shares issued | 1,500 | 1,500 |
Common stock, shares outstanding | 1,500 | 1,500 |
Common Class B [Member] | CUSA [Member] | ||
Common stock, par value | $ 0 | $ 0 |
Common stock, shares authorized | 1,000,000 | 1,000,000 |
Common stock, shares issued | 239,893 | 239,893 |
Common stock, shares outstanding | 182,648 | 182,648 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Revenue | |||||
Total revenue | $ 942.3 | $ 744.1 | $ 1,553 | $ 1,204.6 | |
Cost of operations | |||||
Depreciation and amortization | 52.8 | 61 | 107.7 | 122.7 | |
Impairment of long-lived and other assets | 9.4 | 92.3 | 10.1 | 92.3 | |
Restructuring costs | 0 | (0.2) | 0 | (0.2) | |
Other income (expense) | |||||
Interest expense | [1] | (37.1) | (38.1) | (73.9) | (76.2) |
Foreign currency and other related gain (loss) | 4.9 | ||||
Income tax expense (benefit) | 12.3 | 4.7 | 8.4 | 2.9 | |
Net income (loss) | 120.4 | (72.8) | 117.9 | (145.3) | |
Net income (loss) attributable to Cinemark Holdings, Inc. | $ (119.1) | $ 73.4 | $ (116) | $ 147.4 | |
Weighted average shares outstanding | |||||
Basic | 119.1 | 118.2 | 118.9 | 118 | |
Diluted | 151.7 | 118.2 | 151.5 | 118 | |
Income (loss) per share attributable to Cinemark Holdings, Inc.'s common stockholders | |||||
Basic | $ 0.98 | $ (0.61) | $ 0.96 | $ (1.23) | |
Diluted | $ 0.80 | $ (0.61) | $ 0.82 | $ (1.23) | |
NCM | |||||
Other income (expense) | |||||
Interest expense - NCM (see Note 8) | $ (11.4) | $ (11.7) | |||
Concession | |||||
Revenue | |||||
Total revenue | $ 373.4 | $ 286 | 609.2 | 459 | |
CNK | |||||
Revenue | |||||
Total revenue | 942.3 | 744.1 | 1,553 | 1,204.6 | |
Cost of operations | |||||
Film rentals and advertising | 278 | 222.6 | 444.7 | 350.2 | |
Concession supplies | 67.4 | 52.5 | 111 | 82.5 | |
Salaries and wages | 112.1 | 100.2 | 198.3 | 180 | |
Facility lease expense | 87 | 80.3 | 166.5 | 154 | |
Utilities and other | 120.2 | 106.5 | 224 | 193.4 | |
General and administrative expense | 50 | 48.2 | 96.5 | 88.9 | |
Depreciation and amortization | 52.8 | 61 | 107.7 | 122.7 | |
Impairment of long-lived and other assets | 9.4 | 92.3 | 10.1 | 92.3 | |
Restructuring costs | 0 | (0.2) | 0 | (0.2) | |
Gain on disposal of assets and other | (3) | (0.7) | (2.7) | (7.6) | |
Total cost of operations | 773.9 | 762.7 | 1,356.1 | 1,256.2 | |
Operating income (loss) | 168.4 | (18.6) | 196.9 | (51.6) | |
Other income (expense) | |||||
Interest expense | (37.1) | (38.1) | (73.9) | (76.2) | |
Interest income | 13 | 3.1 | 24.9 | 4.7 | |
Loss on debt extinguishment and refinancing | (10.7) | 0 | (10.7) | 0 | |
Foreign currency and other related gain (loss) | (6.2) | (3.1) | (8.4) | 0.1 | |
Equity in income (loss) of affiliates | 1.8 | (5.5) | (0.3) | (7.7) | |
Unrealized gain on investment in NCMI | 9.2 | 0 | 9.2 | 0 | |
Total other expense | (35.7) | (49.5) | (70.6) | (90.8) | |
Income (loss) before income taxes | 132.7 | (68.1) | 126.3 | (142.4) | |
Income tax expense (benefit) | 12.3 | 4.7 | 8.4 | 2.9 | |
Net income (loss) | 120.4 | (72.8) | 117.9 | (145.3) | |
Less: Net income (loss) attributable to noncontrolling interests | 1.3 | 0.6 | 1.9 | 2.1 | |
Net income (loss) attributable to Cinemark Holdings, Inc. | $ 119.1 | $ (73.4) | $ 116 | $ (147.4) | |
Weighted average shares outstanding | |||||
Basic | 119.1 | 118.2 | 118.9 | 118 | |
Diluted | 151.7 | 118.2 | 151.5 | 118 | |
Income (loss) per share attributable to Cinemark Holdings, Inc.'s common stockholders | |||||
Basic | $ 0.98 | $ (0.61) | $ 0.96 | $ (1.23) | |
Diluted | $ 0.80 | $ (0.61) | $ 0.82 | $ 1.23 | |
CNK | NCM | |||||
Other income (expense) | |||||
Interest expense - NCM (see Note 8) | $ (5.7) | $ (5.9) | $ (11.4) | $ (11.7) | |
CNK | Admissions | |||||
Revenue | |||||
Total revenue | 478.4 | 381.9 | 789.4 | 617.7 | |
CNK | Concession | |||||
Revenue | |||||
Total revenue | 373.4 | 286 | 609.2 | 459 | |
CNK | Other | |||||
Revenue | |||||
Total revenue | 90.5 | 76.2 | 154.4 | 127.9 | |
CUSA | |||||
Revenue | |||||
Total revenue | 942.3 | 744.1 | 1,553 | 1,204.6 | |
Cost of operations | |||||
Film rentals and advertising | 278 | 222.6 | 444.7 | 350.2 | |
Concession supplies | 67.4 | 52.5 | 111 | 82.5 | |
Salaries and wages | 112.1 | 100.2 | 198.3 | 180 | |
Facility lease expense | 87 | 80.3 | 166.5 | 154 | |
Utilities and other | 120.2 | 106.5 | 224 | 193.4 | |
General and administrative expense | 49.1 | 47.5 | 94.7 | 87.4 | |
Depreciation and amortization | 52.8 | 61 | 107.7 | 122.7 | |
Impairment of long-lived and other assets | 9.4 | 92.3 | 10.1 | 92.3 | |
Restructuring costs | 0 | (0.2) | 0 | (0.2) | |
Gain on disposal of assets and other | (3) | (0.7) | (2.7) | (7.6) | |
Total cost of operations | 773 | 762 | 1,354.3 | 1,254.7 | |
Operating income (loss) | 169.3 | (17.9) | 198.7 | (50.1) | |
Other income (expense) | |||||
Interest expense | (31) | (32) | (61.8) | (64.1) | |
Interest income | 10.1 | 2.7 | 19.3 | 4.3 | |
Loss on debt extinguishment and refinancing | (10.7) | 0 | (10.7) | 0 | |
Foreign currency and other related gain (loss) | (6.2) | (3.1) | (8.4) | 0.1 | |
Equity in income (loss) of affiliates | 1.8 | (5.5) | (0.3) | (7.7) | |
Unrealized gain on investment in NCMI | 9.2 | 0 | 9.2 | 0 | |
Total other expense | (32.5) | (43.8) | (64.1) | (79.1) | |
Income (loss) before income taxes | 136.8 | (61.7) | 134.6 | (129.2) | |
Income tax expense (benefit) | 15.3 | 3.6 | 6.8 | (2.9) | |
Net income (loss) | 121.5 | (65.3) | 127.8 | (126.3) | |
Less: Net income (loss) attributable to noncontrolling interests | 1.3 | 0.6 | 1.9 | 2.1 | |
Net income (loss) attributable to Cinemark Holdings, Inc. | 120.2 | (65.9) | 125.9 | (128.4) | |
CUSA | NCM | |||||
Other income (expense) | |||||
Interest expense - NCM (see Note 8) | (5.7) | (5.9) | (11.4) | (11.7) | |
Unrealized gain on investment in NCMI | 9.2 | 0 | |||
CUSA | Admissions | |||||
Revenue | |||||
Total revenue | 478.4 | 381.9 | 789.4 | 617.7 | |
CUSA | Concession | |||||
Revenue | |||||
Total revenue | 373.4 | 286 | 609.2 | 459 | |
CUSA | Other | |||||
Revenue | |||||
Total revenue | $ 90.5 | $ 76.2 | $ 154.4 | $ 127.9 | |
[1] Includes amortization of debt issuance costs, amortization of original issue discount, and amortization of accumulated (gains) losses for amended swap agreements. |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Net income (loss) | $ 120.4 | $ (72.8) | $ 117.9 | $ (145.3) |
Other comprehensive income (loss), net of tax | ||||
Foreign currency translation adjustments | 12.2 | (1.3) | ||
CNK | ||||
Net income (loss) | 120.4 | (72.8) | 117.9 | (145.3) |
Other comprehensive income (loss), net of tax | ||||
Unrealized gain (loss) due to fair value adjustments on interest rate swap agreements, net of taxes and settlements | 2.6 | 4.2 | (0.8) | 22.6 |
Foreign currency translation adjustments | 4.1 | (15.7) | 12.2 | (1.3) |
Total other comprehensive income (loss), net of tax | 6.7 | (11.5) | 11.4 | 21.3 |
Total comprehensive income (loss), net of tax | 127.1 | (84.3) | 129.3 | (124) |
Comprehensive income attributable to noncontrolling interests | (1.3) | (0.6) | (1.9) | (2.1) |
Comprehensive income (loss) attributable to Cinemark | 125.8 | (84.9) | 127.4 | (126.1) |
CUSA | ||||
Net income (loss) | 121.5 | (65.3) | 127.8 | (126.3) |
Other comprehensive income (loss), net of tax | ||||
Unrealized gain (loss) due to fair value adjustments on interest rate swap agreements, net of taxes and settlements | 2.6 | 7 | (0.8) | 21.6 |
Foreign currency translation adjustments | 4.1 | (15.7) | 12.2 | (1.3) |
Total other comprehensive income (loss), net of tax | 6.7 | (8.7) | 11.4 | 20.3 |
Total comprehensive income (loss), net of tax | 128.2 | (74) | 139.2 | (106) |
Comprehensive income attributable to noncontrolling interests | (1.3) | (0.6) | (1.9) | (2.1) |
Comprehensive income (loss) attributable to Cinemark | $ 126.9 | $ (74.6) | $ 137.3 | $ (108.1) |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY - USD ($) $ in Millions | Total | CNK | CNK Common Stock | CNK Treasury Stock | CNK Additional Paid-In-Capital | CNK Retained earnings (deficit) | CNK Accumulated other comprehensive loss | CNK Total Cinemark Holdings, Inc.'s Stockholders' Equity | CNK Noncontrolling Interests | CUSA | CUSA Common Stock Class A Common Stock Member | CUSA Common Stock Class B Common Stock Member | CUSA Treasury Stock | CUSA Additional Paid-In-Capital | CUSA Retained earnings (deficit) | CUSA Accumulated other comprehensive loss | CUSA Total Cinemark Holdings, Inc.'s Stockholders' Equity | CUSA Noncontrolling Interests |
Balance, beginning of period at Dec. 31, 2021 | $ 334.5 | $ 0.1 | $ (91.1) | $ 1,197.8 | $ (389.4) | $ (394.5) | $ 322.9 | $ 11.6 | $ 554.9 | $ 0 | $ 49.5 | $ (24.2) | $ 1,459 | $ (544) | $ (397) | $ 543.3 | $ 11.6 | |
Balance (in shares) beginning of period at Dec. 31, 2021 | 125,100,000 | 0 | 200,000 | |||||||||||||||
Restricted stock forfeitures and stock withholdings related to share based awards that vested | (1.6) | (1.6) | (1.6) | |||||||||||||||
Issuance of stock share upon vesting of performance stock units | 100,000 | |||||||||||||||||
Issuance of share based awards and share based awards compensation expense | 5.1 | 5.1 | 5.1 | |||||||||||||||
Issuance of share based awards and share based awards compensation expense, (in shares) | 700,000 | |||||||||||||||||
Share based awards compensation expense | 4.9 | 4.9 | 4.9 | |||||||||||||||
Net income (loss) | (72.5) | (74) | (74) | 1.5 | (61) | (62.5) | (62.5) | 1.5 | ||||||||||
Amortization of accumulated losses for amended swap agreements | 1.1 | 1.1 | 1.1 | 1.1 | 1.1 | 1.1 | ||||||||||||
Other comprehensive income | 32.8 | 32.8 | 32.8 | 29 | 29 | 29 | ||||||||||||
Balance, end of period at Mar. 31, 2022 | 299.4 | $ 0.1 | (92.7) | 1,202.9 | (463.4) | (360.6) | 286.3 | 13.1 | 528.9 | $ 0 | $ 49.5 | (24.2) | 1,463.9 | (606.5) | (366.9) | 515.8 | 13.1 | |
Balance (in shares) ending of period at Mar. 31, 2022 | 125,900,000 | 0 | 200,000 | |||||||||||||||
Balance, beginning of period at Dec. 31, 2021 | 334.5 | $ 0.1 | (91.1) | 1,197.8 | (389.4) | (394.5) | 322.9 | 11.6 | 554.9 | $ 0 | $ 49.5 | (24.2) | 1,459 | (544) | (397) | 543.3 | 11.6 | |
Balance (in shares) beginning of period at Dec. 31, 2021 | 125,100,000 | 0 | 200,000 | |||||||||||||||
Net income (loss) | $ (145.3) | (145.3) | (126.3) | |||||||||||||||
Other comprehensive income | 21.3 | 20.3 | ||||||||||||||||
Balance, end of period at Jun. 30, 2022 | 218.7 | $ 0.1 | (93.2) | 1,208.9 | (536.8) | (371) | 208 | 10.7 | 458.7 | $ 0 | $ 49.5 | (24.2) | 1,469.6 | (672.4) | (374.5) | 448 | 10.7 | |
Balance (in shares) ending of period at Jun. 30, 2022 | 126,100,000 | 0 | 200,000 | |||||||||||||||
Balance, beginning of period at Mar. 31, 2022 | 299.4 | $ 0.1 | (92.7) | 1,202.9 | (463.4) | (360.6) | 286.3 | 13.1 | 528.9 | $ 0 | $ 49.5 | (24.2) | 1,463.9 | (606.5) | (366.9) | 515.8 | 13.1 | |
Balance (in shares) beginning of period at Mar. 31, 2022 | 125,900,000 | 0 | 200,000 | |||||||||||||||
Restricted stock forfeitures and stock withholdings related to share based awards that vested | (0.5) | (0.5) | (0.5) | |||||||||||||||
Issuance of share based awards and share based awards compensation expense | 6 | 6 | 6 | |||||||||||||||
Issuance of share based awards and share based awards compensation expense, (in shares) | 200,000 | |||||||||||||||||
Share based awards compensation expense | 5.7 | 5.7 | 5.7 | |||||||||||||||
Net income (loss) | (72.8) | (72.8) | (73.4) | (73.4) | 0.6 | (65.3) | (65.9) | (65.9) | 0.6 | |||||||||
Distributions to noncontrolling interests | (3) | (3) | (3) | (3) | ||||||||||||||
Amortization of accumulated losses for amended swap agreements | 1.1 | 1.1 | 1.1 | 1.1 | 1.1 | 1.1 | ||||||||||||
Other comprehensive income | (11.5) | (11.5) | (11.5) | (8.7) | (8.7) | (8.7) | ||||||||||||
Balance, end of period at Jun. 30, 2022 | 218.7 | $ 0.1 | (93.2) | 1,208.9 | (536.8) | (371) | 208 | 10.7 | 458.7 | $ 0 | $ 49.5 | (24.2) | 1,469.6 | (672.4) | (374.5) | 448 | 10.7 | |
Balance (in shares) ending of period at Jun. 30, 2022 | 126,100,000 | 0 | 200,000 | |||||||||||||||
Balance, beginning of period at Dec. 31, 2022 | 119.5 | $ 0.1 | (95.4) | 1,219.3 | (660.6) | (353.2) | 110.2 | 9.3 | 381.9 | $ 0 | $ 49.5 | (24.2) | 1,479.5 | (775.9) | (356.3) | 372.6 | 9.3 | |
Balance (in shares) beginning of period at Dec. 31, 2022 | 126,100,000 | 0 | 200,000 | |||||||||||||||
Restricted stock forfeitures and stock withholdings related to share based awards that vested | (2.1) | (2.1) | (2.1) | |||||||||||||||
Issuance of stock share upon vesting of performance stock units | 100,000 | |||||||||||||||||
Issuance of share based awards and share based awards compensation expense | 5.7 | 5.7 | 5.7 | |||||||||||||||
Issuance of share based awards and share based awards compensation expense, (in shares) | 1,300,000 | |||||||||||||||||
Share based awards compensation expense | 5.4 | 5.4 | 5.4 | |||||||||||||||
Net income (loss) | (2.5) | (3.1) | (3.1) | 0.6 | 6.3 | 5.7 | 5.7 | 0.6 | ||||||||||
Amortization of accumulated losses for amended swap agreements | (1.5) | (1.5) | (1.5) | (1.5) | (1.5) | (1.5) | ||||||||||||
Other comprehensive income | 4.7 | 4.7 | 4.7 | 4.7 | 4.7 | 4.7 | ||||||||||||
Balance, end of period at Mar. 31, 2023 | 123.8 | $ 0.1 | (97.5) | 1,225 | (663.7) | (350) | 113.9 | 9.9 | 396.8 | $ 0 | $ 49.5 | (24.2) | 1,484.9 | (770.2) | (353.1) | 386.9 | 9.9 | |
Balance (in shares) ending of period at Mar. 31, 2023 | 127,500,000 | 0 | 200,000 | |||||||||||||||
Balance, beginning of period at Dec. 31, 2022 | 119.5 | $ 0.1 | (95.4) | 1,219.3 | (660.6) | (353.2) | 110.2 | 9.3 | 381.9 | $ 0 | $ 49.5 | (24.2) | 1,479.5 | (775.9) | (356.3) | 372.6 | 9.3 | |
Balance (in shares) beginning of period at Dec. 31, 2022 | 126,100,000 | 0 | 200,000 | |||||||||||||||
Net income (loss) | 117.9 | 117.9 | 127.8 | |||||||||||||||
Other comprehensive income | 11.4 | 11.4 | ||||||||||||||||
Balance, end of period at Jun. 30, 2023 | 254.8 | $ 0.1 | (97.8) | 1,231.8 | (544.6) | (344.8) | 244.7 | 10.1 | 528.9 | $ 0 | $ 49.5 | (24.2) | 1,491.4 | (650) | (347.9) | 518.8 | 10.1 | |
Balance (in shares) ending of period at Jun. 30, 2023 | 127,600,000 | 0 | 200,000 | |||||||||||||||
Balance, beginning of period at Mar. 31, 2023 | 123.8 | $ 0.1 | (97.5) | 1,225 | (663.7) | (350) | 113.9 | 9.9 | 396.8 | $ 0 | $ 49.5 | (24.2) | 1,484.9 | (770.2) | (353.1) | 386.9 | 9.9 | |
Balance (in shares) beginning of period at Mar. 31, 2023 | 127,500,000 | 0 | 200,000 | |||||||||||||||
Restricted stock forfeitures and stock withholdings related to share based awards that vested | (0.3) | (0.3) | (0.3) | |||||||||||||||
Issuance of share based awards and share based awards compensation expense | 6.8 | 6.8 | 6.8 | |||||||||||||||
Issuance of share based awards and share based awards compensation expense, (in shares) | 100,000 | |||||||||||||||||
Share based awards compensation expense | 6.5 | 6.5 | 6.5 | |||||||||||||||
Net income (loss) | $ 120.4 | 120.4 | 119.1 | 119.1 | 1.3 | 121.5 | 120.2 | 120.2 | 1.3 | |||||||||
Distributions to noncontrolling interests | (1.1) | (1.1) | (1.1) | (1.1) | ||||||||||||||
Amortization of accumulated losses for amended swap agreements | (1.5) | (1.5) | (1.5) | (1.5) | (1.5) | (1.5) | ||||||||||||
Other comprehensive income | 6.7 | 6.7 | 6.7 | 6.7 | 6.7 | 6.7 | ||||||||||||
Balance, end of period at Jun. 30, 2023 | $ 254.8 | $ 0.1 | $ (97.8) | $ 1,231.8 | $ (544.6) | $ (344.8) | $ 244.7 | $ 10.1 | $ 528.9 | $ 0 | $ 49.5 | $ (24.2) | $ 1,491.4 | $ (650) | $ (347.9) | $ 518.8 | $ 10.1 | |
Balance (in shares) ending of period at Jun. 30, 2023 | 127,600,000 | 0 | 200,000 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | ||
Operating activities | |||
Net income (loss) | $ 117.9 | $ (145.3) | |
Adjustments to reconcile net income (loss) to cash provided by (used for) operating activities: | |||
Share based awards compensation expense | 12.5 | 11.1 | |
Impairment of long-lived and other assets | 10.1 | 92.3 | |
Non-cash rent expense | (8.4) | (4.7) | |
Distributions from equity investees | [1] | 1.6 | 1.5 |
Investing activities | |||
Additions to theatre properties and equipment | (54.6) | (40.6) | |
Financing activities | |||
Payments on finance leases | (7.1) | (7.2) | |
CNK | |||
Operating activities | |||
Net income (loss) | 117.9 | (145.3) | |
Adjustments to reconcile net income (loss) to cash provided by (used for) operating activities: | |||
Depreciation | 106.6 | 121.4 | |
Amortization of intangible and other assets | 1.1 | 1.3 | |
Loss on debt extinguishment and refinancing | 10.7 | 0 | |
Amortization of original issue discount and debt issuance costs | 5.3 | 5.4 | |
Amortization of accumulated (gains) losses for amended swap agreements | (3.1) | 2.2 | |
Share based awards compensation expense | 12.5 | 11.1 | |
Impairment of long-lived and other assets | 10.1 | 92.3 | |
Gain on disposal of assets and other | (2.7) | (7.6) | |
Unrealized gain on investment in NCMI | (9.2) | 0 | |
Non-cash rent expense | (8.4) | (4.7) | |
Equity in loss of affiliates | 0.3 | 7.7 | |
Deferred income tax expense (benefit) | 2 | (0.9) | |
Distributions from equity investees | 1.6 | 1.5 | |
Changes in assets and liabilities and other | 11.2 | (33.7) | |
Net cash provided by operating activities | 251.1 | 46.1 | |
Investing activities | |||
Additions to theatre properties and equipment | (54.6) | (40.6) | |
Proceeds from sale of theatre properties and equipment and other | 0 | 11.8 | |
Net cash used for investing activities | (54.6) | (28.8) | |
Financing activities | |||
Proceeds from refinancing of senior secured credit facility | 640.2 | 0 | |
Repayment of term loan upon refinancing of senior secured credit facility | (624.9) | 0 | |
Redemption of 8.75% Secured Notes | (102.2) | 0 | |
Payment of debt issuance costs | (7.5) | 0 | |
Payment of fees on refinancing of senior secured credit facility | (2.6) | 0 | |
Repayments of long-term debt | (6.4) | (6.9) | |
Restricted stock withholdings for payroll taxes | (2.4) | (2.1) | |
Payments on finance leases | (7.1) | (7.2) | |
Other financing activities | 2.1 | (3) | |
Net cash used for financing activities | (110.8) | (19.2) | |
Effect of exchange rate changes on cash and cash equivalents | (2.2) | (10.3) | |
Decrease in cash and cash equivalents | 83.5 | (12.2) | |
Cash and cash equivalents: | |||
Beginning of period | 674.5 | 707.3 | |
End of period | 758 | 695.1 | |
CUSA | |||
Operating activities | |||
Net income (loss) | 127.8 | (126.3) | |
Adjustments to reconcile net income (loss) to cash provided by (used for) operating activities: | |||
Depreciation | 106.6 | 121.4 | |
Amortization of intangible and other assets | 1.1 | 1.3 | |
Loss on debt extinguishment and refinancing | 10.7 | 0 | |
Amortization of original issue discount and debt issuance costs | 3.5 | 3.7 | |
Amortization of accumulated (gains) losses for amended swap agreements | (3.1) | 2.2 | |
Share based awards compensation expense | 11.9 | 10.6 | |
Impairment of long-lived and other assets | 10.1 | 92.3 | |
Gain on disposal of assets and other | (2.7) | (7.6) | |
Unrealized gain on investment in NCMI | (9.2) | 0 | |
Non-cash rent expense | (8.4) | (4.7) | |
Equity in loss of affiliates | 0.3 | 7.7 | |
Deferred income tax expense (benefit) | 4.3 | 1 | |
Distributions from equity investees | 1.6 | 1.5 | |
Changes in assets and liabilities and other | 6.3 | (42.3) | |
Net cash provided by operating activities | 256 | 56.2 | |
Investing activities | |||
Additions to theatre properties and equipment | (54.6) | (40.6) | |
Proceeds from sale of theatre properties and equipment and other | 0 | 11.8 | |
Net cash used for investing activities | (54.6) | (28.8) | |
Financing activities | |||
Proceeds from refinancing of senior secured credit facility | 640.2 | 0 | |
Repayment of term loan upon refinancing of senior secured credit facility | (624.9) | ||
Redemption of 8.75% Secured Notes | (102.2) | 0 | |
Payment of debt issuance costs | (7.5) | 0 | |
Payment of fees on refinancing of senior secured credit facility | (2.6) | 0 | |
Repayments of long-term debt | (6.4) | (6.9) | |
Restricted stock withholdings for payroll taxes | (2.4) | (2.1) | |
Payments on finance leases | (7.1) | (7.2) | |
Other financing activities | 2.1 | (3) | |
Net cash used for financing activities | (110.8) | (19.2) | |
Effect of exchange rate changes on cash and cash equivalents | (2.2) | (10.3) | |
Decrease in cash and cash equivalents | 88.4 | (2.1) | |
Cash and cash equivalents: | |||
Beginning of period | 427.3 | 442.7 | |
End of period | 515.7 | 440.6 | |
NCM | CNK | |||
Adjustments to reconcile net income (loss) to cash provided by (used for) operating activities: | |||
Interest accrued on NCM screen advertising advances | 11.4 | 11.7 | |
Amortization of NCM screen advertising advances and other deferred revenues | (16.2) | (16.3) | |
NCM | CUSA | |||
Adjustments to reconcile net income (loss) to cash provided by (used for) operating activities: | |||
Interest accrued on NCM screen advertising advances | 11.4 | 11.7 | |
Amortization of NCM screen advertising advances and other deferred revenues | (16.2) | (16.3) | |
Unrealized gain on investment in NCMI | (9.2) | 0 | |
NCMI | CNK | |||
Adjustments to reconcile net income (loss) to cash provided by (used for) operating activities: | |||
Unrealized gain on investment in NCMI | $ 9.2 | $ 0 | |
[1] Reflects cash distributions received from equity investees that were recorded as a reduction of the respective investment balances. These distributions are reported entirely within the U.S. operating segment. |
The Company and Basis of Presen
The Company and Basis of Presentation | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
The Company and Basis of Presentation | 1. The Company and Basis of Presentation Cinemark Holdings, Inc. (“Holdings”) is a holding company and its wholly-owned subsidiary is Cinemark USA, Inc (“CUSA”). Holdings consolidates CUSA and its subsidiaries for financial statement purposes, and CUSA comprises approximately the entire balance of Holdings’ assets, liabilities and operating cash flows. In addition, CUSA’s operating revenue comprises 100 % and its operating expenses comprise nearly 100 % of Holdings’ revenue and operating expenses, respectively. As such, the following Notes to Condensed Consolidated Financial Statements relate to Holdings and CUSA and their respective consolidated subsidiaries in all material respects, unless otherwise noted. Where it is important to distinguish between Holdings and CUSA, specific reference is made to either Holdings or CUSA. Otherwise, all references to “we,” “our,” “us,” and “the Company” relate to Cinemark Holdings, Inc. and its consolidated subsidiaries and all references to CUSA relate to CUSA and its consolidated subsidiaries. We operate in the motion picture exhibition industry, with theatres in the United States (“U.S.”), Brazil, Argentina, Chile, Colombia, Peru, Ecuador, Honduras, El Salvador, Nicaragua, Costa Rica, Panama, Guatemala, Bolivia, and Paraguay. The Company closed its one theatre in Curacao in January 2023 and our theatres in Ecuador are currently held for sale. See Note 6 for a discussion of the Ecuador theatre assets held for sale. The impact of the COVID-19 pandemic had an unprecedented impact on the theatrical exhibition industry. While the industry has made significant progress in its recovery from the pandemic, its ongoing recovery will be contingent upon several key factors, including the volume of new film content available, the box office performance of new film content released, the duration of the exclusive theatrical release window, and evolving consumer behavior with competition from other forms of in-and-out-of-home entertainment. The accompanying condensed consolidated balance sheets of Holdings and CUSA as of December 31, 2022 , each of which were derived from audited financial statements, and the unaudited condensed consolidated financial statements of Holdings and CUSA, respectively, have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete consolidated financial statements. In the opinion of management, all adjustments, consisting of normal recurring adjustments, considered necessary for a fair presentation have been included. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and the accompanying notes. Actual results could differ from these estimates. Majority-owned subsidiaries that Holdings or CUSA, as applicable, has control of are consolidated while those investments in entities of which Holdings or CUSA, as applicable, owns between 20 % and 50 % and does not control, but has significant influence over the investee, are accounted for under the equity method. Investments in entities of which Holdings or CUSA, as applicable, owns between 20 % and 50 % and does not control or have significant influence over are accounted for under the fair value method. Investments in entities of which Holdings or CUSA, as applicable, owns less than 20 % are generally accounted for under the cost method. The results of these subsidiaries and equity method investees are included in the condensed consolidated financial statements of Holdings and CUSA, as applicable, effective from their date of formation or from their date of acquisition. Intercompany balances and transactions are eliminated in consolidation. These condensed consolidated financial statements of Holdings and CUSA should be read in conjunction with the audited annual consolidated financial statements of Holdings and CUSA and the notes thereto for the year ended December 31, 2022, included in the Company’s Annual Report on Form 10-K filed February 24, 2023 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Operating results for the three and six months ended June 30, 2023 are not necessarily indicative of the results to be achieved for the full year. |
New Accounting Pronouncements
New Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Changes and Error Corrections [Abstract] | |
New Accounting Pronouncements | 2. New Accounting Pronouncements Accounting Standards Update (“ASU”) 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting , (“ASU 2020-04”), ASU 2021-01, Reference Rate Reform (Topic 848): Scope , (“ASU 2021-01”) and ASU 2022-06, Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848 (“ASU 2022-06”) . The purpose of ASU 2020-04 is to provide optional guidance for a limited period of time to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting. More specifically, the amendments in ASU 2020-04 provide optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The amendments in ASU 2021-01 clarify that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. The amendments in ASU 2022-06 defer the sunset date of Topic 848 from December 31, 2022 to December 31, 2024, after which entities will no longer be permitted to apply the relief in Topic 848. The amendments in ASU 2020-04 and ASU 2021-01 are effective as of March 12, 2020 through December 31, 2024. The Company applied the optional relief guidance prospectively to the modification of the reference rate in its interest rate swap agreements from LIBOR to Term SOFR during the second quarter of 2023 (see Note 7). The application of the guidance did not have any impact on the Company’s condensed consolidated financial statements. |
Lease Accounting
Lease Accounting | 6 Months Ended |
Jun. 30, 2023 | |
Leases [Abstract] | |
Lease Accounting | 3. Lease Accounting The following table represents the Company’s aggregate lease costs, by lease classification, for the periods presented. Three Months Ended Six Months Ended June 30, June 30, Lease Cost Classification 2023 2022 2023 2022 Operating lease costs Equipment (1) Utilities and other $ 1.3 $ 1.0 $ 2.7 $ 1.6 Real Estate (1) Facility lease expense 90.8 81.9 172.9 156.9 Total operating lease costs $ 92.1 $ 82.9 $ 175.6 $ 158.5 Finance lease costs Amortization of leased assets Depreciation and amortization $ 3.0 $ 3.2 $ 6.0 $ 6.3 Interest on lease liabilities Interest expense 1.3 1.3 2.5 2.7 Total finance lease costs $ 4.3 $ 4.5 $ 8.5 $ 9.0 (1) Includes short-term lease payments, variable lease payments and office lease payments reflected in general and administrative expense as set forth in the following table for the periods presented: Three Months Ended Six Months Ended June 30, June 30, Lease Cost Classification 2023 2022 2023 2022 Operating lease costs Equipment - Short-term lease payments Utilities and other $ 1.2 $ 0.9 $ 2.5 $ 1.4 Real Estate - Variable lease payments (1) Facility lease expense $ 20.1 $ 12.2 $ 32.8 $ 18.1 Real Estate - Office leases General and administrative $ 0.3 $ 0.4 $ 0.6 $ 0.7 (1) Represents lease payments that are based on a change in index, such as CPI or inflation, variable payments based on revenue or attendance and variable common area maintenance costs The following table represents the minimum cash lease payments included in the measurement of lease liabilities and the non-cash addition of lease right-of-use assets for the periods presented. Six Months Ended June 30, Other Information 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Cash outflows for operating leases $ 140.3 $ 139.1 Cash outflows for finance leases - operating activities $ 2.5 $ 2.7 Cash outflows for finance leases - financing activities $ 7.1 $ 7.2 Non-cash amount of right-of-use assets obtained in exchange for: Operating lease liability additions, net of write-offs $ 46.3 $ 57.0 As of June 30, 2023, the Company had signed lease agreements with total noncancelable lease payments of approximately $ 56.4 related to theatre leases that had not yet commenced. The timing of lease commencement is dependent on the completion of construction of the related theatre facility. Additionally, these amounts are based on estimated square footage and costs to construct each facility and may be subject to adjustment upon final completion of each construction project. In accordance with ASC Topic 842, Leases , fixed minimum lease payments related to these theatres are not included in the right-of-use assets and lease liabilities as of June 30, 2023 . |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jun. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | 4. Revenue Recognition The Company’s patrons have the option to purchase movie tickets well in advance of a movie showtime or right before the movie showtime, or at any point in between those two timeframes depending on seat availability. The Company recognizes such admissions revenue when the showtime for a purchased movie ticket has passed. Concession revenue is recognized when products are sold to the consumer, or if purchased in advance, based on the showtime associated with the customer’s movie ticket. Other revenue primarily consists of screen advertising, screen rental revenue, promotional income, studio trailer placements, revenue from electronic video games located in our theatres, and transactional fees. Except for National CineMedia, LLC (“NCM”) screen advertising advances discussed below in Note 8, these revenues are generally recognized when the Company has met its performance obligations. The Company sells gift cards and discount ticket vouchers called Supersavers, the proceeds from which are recorded as deferred revenue. Deferred revenue for gift cards and discount ticket vouchers is recognized when they are redeemed for concession items or, if redeemed for movie tickets, when the showtime has passed. The Company generally records breakage revenue on gift cards and discount ticket vouchers based on redemption activity and historical experience with unused balances. The Company offers a subscription program in the U.S. whereby patrons can pay a monthly or annual fee to receive a monthly credit for use towards a future movie ticket purchase. The Company records the subscription program fees as deferred revenue and records admissions revenue when the showtime for a movie ticket purchased with a credit has passed. The Company has loyalty programs in the U.S. and many of its international locations that either have a prepaid annual fee or award points to customers as purchases are made. For those loyalty programs that have a prepaid annual fee, the Company recognizes the fee collected as other revenue on a straight-line basis over the annual membership period. For those loyalty programs that award points to customers based on their purchases, the Company records a portion of the original transaction proceeds as deferred revenue based on the number of reward points issued to customers and recognizes the deferred revenue when the customer redeems such points. The value of loyalty points issued is based on the estimated fair value of the rewards offered. The Company records breakage revenue generally upon the expiration of loyalty points and subscription credits as the Company does not yet have sufficient historical data related to the redemption patterns for these programs to estimate breakage. Advances collected on concession and other contracts are deferred and recognized during the period in which the Company satisfies the related performance obligations, which may differ from the period in which the advances are collected. Accounts receivable as of June 30, 2023 and December 31, 2022 included approximately $ 38.2 and $ 22.9 , respectively, of receivables related to contracts with customers. The Company did no t record any assets related to the costs to obtain or fulfill a contract with customers during the six months ended June 30, 2023. Disaggregation of Revenue The following tables present revenue disaggregated based on major type of good or service and by reportable operating segment. Three Months Ended Six Months Ended June 30, 2023 June 30, 2023 U.S. International U.S. International Operating Operating Operating Operating Segment (1) Segment Consolidated Segment (1) Segment Consolidated Admissions revenue $ 373.4 $ 105.0 $ 478.4 $ 618.1 $ 171.3 $ 789.4 Concession revenue 296.3 77.1 373.4 483.1 126.1 609.2 Screen advertising, screen rental and promotional revenue (2) 24.7 13.5 38.2 46.5 22.8 69.3 Other revenue 40.5 11.8 52.3 66.3 18.8 85.1 Total revenue $ 734.9 $ 207.4 $ 942.3 $ 1,214.0 $ 339.0 $ 1,553.0 Three Months Ended Six Months Ended June 30, 2022 June 30, 2022 U.S. International U.S. International Operating Operating Operating Operating Segment (1) Segment Consolidated Segment (1) Segment Consolidated Admissions revenue $ 309.7 $ 72.2 $ 381.9 $ 501.5 $ 116.2 $ 617.7 Concession revenue 234.6 51.4 286.0 375.7 83.3 459.0 Screen advertising, screen rental and promotional revenue (2) 21.4 11.3 32.7 40.1 19.4 59.5 Other revenue 35.1 8.4 43.5 55.5 12.9 68.4 Total revenue $ 600.8 $ 143.3 $ 744.1 $ 972.8 $ 231.8 $ 1,204.6 (1) U.S. segment revenue excludes intercompany transactions with the international operating segment. See Note 16 for the amount of intercompany eliminations for the periods presented. (2) Amount includes amortization of NCM screen advertising advances. See S creen Advertising Advances and Other Deferred Revenue below. The following tables present revenue disaggregated based on timing of recognition and by reportable operating segment. Three Months Ended Six Months Ended June 30, 2023 June 30, 2023 U.S. International U.S. International Operating Operating Operating Operating Segment (1) Segment Consolidated Segment (1) Segment Consolidated Goods and services transferred at a point in time $ 714.7 $ 192.8 $ 907.5 $ 1,162.5 $ 312.0 $ 1,474.5 Goods and services transferred over time (2) 20.2 14.6 34.8 51.5 27.0 78.5 Total $ 734.9 $ 207.4 $ 942.3 $ 1,214.0 $ 339.0 $ 1,553.0 Three Months Ended Six Months Ended June 30, 2022 June 30, 2022 U.S. International U.S. International Operating Operating Operating Operating Segment (1) Segment Consolidated Segment (1) Segment Consolidated Goods and services transferred at a point in time $ 573.8 $ 129.8 $ 703.6 $ 922.1 $ 208.4 $ 1,130.5 Goods and services transferred over time (2) 27.0 13.5 40.5 50.7 23.4 74.1 Total $ 600.8 $ 143.3 $ 744.1 $ 972.8 $ 231.8 $ 1,204.6 (1) U.S. segment revenue excludes intercompany transactions with the international operating segment. See Note 16 for the amount of intercompany eliminations for the periods presented. (2) Amount includes amortization of NCM screen advertising advances. See Screen Advertising Advances and Other Deferred Revenue below. Screen Advertising Advances and Other Deferred Revenue The following table presents changes in the Company’s deferred revenue for the six months ended June 30, 2023. NCM screen advertising advances (1) Other (2) Balance at January 1, 2023 $ 338.2 $ 194.9 Amounts recognized as accounts receivable — 0.8 Cash received from customers in advance — 143.8 Interest accrued related to significant financing component 11.4 — Revenue recognized during period ( 16.2 ) ( 145.6 ) Foreign currency translation adjustments — ( 0.6 ) Balance at June 30, 2023 $ 333.4 $ 193.3 (1) See Note 8 for the maturity of NCM screen advertising advances as of June 30, 2023 . (2) Includes liabilities associated with outstanding gift cards and discount ticket vouchers, points or rebates outstanding under the Company’s loyalty and membership programs and revenue not yet recognized for screen advertising and other promotional activities. Amounts are classified as accounts payable and accrued expenses or other long-term liabilities on the condensed consolidated balance sheet. The table below summarizes the aggregate amount of the transaction price allocated to performance obligations that are unsatisfied as of June 30, 2023 and when the Company expects to recognize this revenue. Twelve Months Ended June 30, Remaining Performance Obligations 2024 2025 Thereafter Total Other deferred revenue $ 170.9 $ 22.4 $ — $ 193.3 |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Share | 5. Earnings (Loss) Per Share The following table presents computations of basic and diluted earnings (loss) per share for Holdings: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Numerator: Net income (loss) attributable to Cinemark Holdings, Inc. $ 119.1 $ ( 73.4 ) $ 116.0 $ ( 147.4 ) (Income) loss allocated to participating share-based awards (1) ( 2.3 ) 1.4 ( 1.9 ) 2.5 Basic net income (loss) attributable to common stockholders $ 116.8 $ ( 72.0 ) $ 114.1 $ ( 144.9 ) Add: Interest expense on convertible notes, net of tax (3) 4.6 — 9.8 — Diluted net income (loss) attributable to common stockholders $ 121.4 $ ( 72.0 ) $ 123.9 $ ( 144.9 ) Denominator : Basic weighted average shares outstanding 119.1 118.2 118.9 118.0 Common equivalent shares for restricted stock units (2) 0.6 — 0.6 — Common equivalent shares for convertible notes (3) 32.0 — 32.0 — Common equivalent shares for warrants (4) — — — — Diluted weighted average shares outstanding 151.7 118.2 151.5 118.0 Basic earnings (loss) per share attributable to common stockholders $ 0.98 $ ( 0.61 ) $ 0.96 $ ( 1.23 ) Diluted earnings (loss) per share attributable to common stockholders $ 0.80 $ ( 0.61 ) $ 0.82 $ ( 1.23 ) (1) For the three months ended June 30, 2023 and 2022, a weighted average of approximately 2.40 shares and 2.27 shares of restricted stock, respectively, were considered participating securities. For the six months ended June 30, 2023 and 2022, a weighted average of approximately 2.03 shares and 2.03 shares of restricted stock, respectively, were considered participating securities . (2) For the three months ended June 30, 2022, 0.25 common equivalent shares for restricted stock units, respectively, were excluded because they were anti-dilutive. For the six months ended June 30, 2022, approximately 0.28 common equivalent shares for restricted stock units, respectively, were excluded because they were anti-dilutive. (3) For the three and six months ended June 30, 2022 diluted loss per share excludes the conversion of the 4.50 % Convertible Senior Notes into 32.0 shares of common stock, as they would be anti-dilutive. See further discussion below. (4) For all periods presented, diluted earnings (loss) per share excludes the warrants, as they would be anti-dilutive. Share-based awards Holdings considers its unvested share-based awards, which contain non-forfeitable rights to dividends, participating securities, and includes such participating securities in its computation of earnings (loss) per share pursuant to the two-class method. Basic earnings (loss) per share for the two classes of stock (common stock and unvested restricted stock) is calculated by dividing net income (loss) by the weighted average number of shares of common stock and unvested restricted stock outstanding during the reporting period. Diluted earnings (loss) per share is calculated using the weighted average number of shares of common stock plus the potentially dilutive effect of common equivalent shares outstanding determined under both the two-class method and the treasury stock method. Convertible notes, hedges and warrants The 4.50% Convertible Senior Notes, discussed further in Note 14 of the Company’s Annual Report on Form 10-K filed February 24, 2023, may be considered dilutive in periods in which Holdings has net income. The impact of such dilution on earnings per share is calculated under the if-converted method, which requires that all of the shares of Holdings' common stock issuable upon conversion of the 4.50% Convertible Senior Notes be included in the calculation of diluted earnings per share assuming conversion at the beginning of the reporting period. Also, the interest expense, net of tax, related to the 4.50% Convertible Senior Notes is excluded from the calculation of diluted net income (loss) attributable to common stockholders assuming conversion of the 4.50% Convertible Senior Notes at the beginning of the reporting period. The closing price of Holdings' common stock did not exceed the strike price of $ 18.66 per share ( 130 % of the initial exercise price of $ 14.35 per share) during at least 20 of the last 30 trading days of the quarter ended June 30, 2023 and, therefore, the 4.50% Convertible Senior Notes will not be convertible during the third quarter of 2023. The if-converted value of the 4.50% Convertible Senior Notes, based on the weighted average closing price of Holdings common stock for the second quarter of 2023, was $ 13.5 less than the aggregate outstanding principal value of the notes as of June 30, 2023 . Holdings entered into hedge transactions with counterparties in connection with the issuance of the 4.50% Convertible Senior Notes. The convertible note hedge transactions cover, subject to anti-dilution adjustments substantially similar to those applicable to the 4.50% Convertible Senior Notes, the number of shares of Holdings' common stock underlying the 4.50% Convertible Notes, which initially gives Holdings the option to purchase approximately 32.0 shares of its common stock at a price of approximately $ 14.35 per share. Concurrently with entering into the convertible note hedge transactions, Holdings also entered into warrant transactions with each option counterparty whereby Holdings sold to such option counterparty warrants to purchase, subject to customary anti-dilution adjustments, up to the same number of shares of Holdings' common stock, which initially gives the option counterparties the option to purchase approximately 32.0 shares at a price of approximately $ 22.08 per share. The economic effect of these transactions is to effectively raise the strike price of the 4.50% Convertible Senior Notes from approximately $ 18.66 per share of Holdings' common stock to approximately $ 22.08 per share. |
Theatre Assets Held for Sale
Theatre Assets Held for Sale | 6 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment, Net [Abstract] | |
Theatre Assets Held for Sale | 6. Theatre Assets Held for Sale During December 2022, the Company entered into a purchase and sale agreement for the sale of the stock of its Ecuador subsidiary. The transaction is expected to close during 2023, pending customary antitrust and regulatory approvals. See Note 19 for discussion of subsequent event related to this transaction. At June 30, 2023 and December 31, 2022, the assets and liabilities of the Ecuador subsidiary qualified as held for sale upon satisfaction of the criteria set forth in ASC 360-10-45-9 (205-20-45-1E), Property, Plant, and Equipment . The sale of the Ecuador subsidiary does not qualify as discontinued operations since it does not represent a strategic shift in the Company’s operations that will have a major effect on its results and operations. The following table presents the carrying value of Ecuador’s significant assets and liabilities as of the periods presented: June 30, December 31, 2023 2022 Theatre property and equipment, net $ 5.5 $ 5.4 Operating lease right-of-use asset, net 3.4 2.9 Goodwill 4.2 4.2 Total assets $ 17.1 $ 15.3 Total liabilities $ 8.9 $ 8.5 The table below summarizes total revenue and operating income for the Ecuador subsidiary for the periods presented: Three Months Ended June 30, 2023 Six Months Ended June 30, 2023 Total revenue $ 6.1 $ 9.6 Operating income $ 1.6 $ 1.5 |
Long Term Debt
Long Term Debt | 6 Months Ended |
Jun. 30, 2023 | |
Debt Disclosure [Abstract] | |
Long Term Debt Activity | 7. Long Term Debt Long-term debt of Holdings consisted of the following for the periods presented: June 30, December 31, 2023 2022 Cinemark Holdings, Inc. 4.50% convertible senior notes due 2025 $ 460.0 $ 460.0 Cinemark USA, Inc. term loan due 2030 648.4 626.5 Cinemark USA, Inc. 8.75% senior secured notes due 2025 150.0 250.0 Cinemark USA, Inc. 5.875% senior notes due 2026 405.0 405.0 Cinemark USA, Inc. 5.25% senior notes due 2028 765.0 765.0 Other 8.0 10.1 Total long-term debt carrying value (1) $ 2,436.4 $ 2,516.6 Less: Current portion 8.1 10.7 Less: Debt issuance costs and original issue discount, net of accumulated amortization (1) 38.0 31.9 Long-term debt, less current portion, net of unamortized debt issuance costs and original issue discount (1) $ 2,390.3 $ 2,474.0 (1) The only differences between the long-term debt for Holdings, as presented above, and the long-term debt for CUSA are the $ 460.0 4.50 % Convertible Senior Notes due 2025 and the related debt issuance costs. The following table sets forth, as of the periods indicated, the total long-term debt carrying value, current portion of long-term debt and debt issuance costs, net of amortization, for CUSA. June 30, December 31, 2023 2022 Total long-term debt carrying value $ 1,976.4 $ 2,056.6 Less: Current portion 8.1 10.7 Less: Debt issuance costs and original issue discount, net of accumulated amortization 30.7 22.9 Long-term debt, less current portion, net of unamortized debt issuance costs and original issue discount $ 1,937.6 $ 2,023.0 Senior Secured Credit Facility On May 26, 2023, CUSA amended and restated its senior secured credit facility (the “Credit Agreement”) to provide for an aggregate principal amount of $ 775.0 , consisting of a $ 650.0 term loan with a maturity date of May 24, 2030 and a $ 125.0 revolving credit facility with a maturity date of May 26, 2028 . The term loan is subject to a springing maturity date of April 15, 2028 if CUSA’s 5.25 % Senior Notes due 2028 have not been paid or refinanced as required under the Credit Agreement prior to such date. The revolving credit facility is subject to springing maturity dates of January 30, 2025, December 14, 2025 and April 15, 2028 if CUSA’s 8.75 % Senior Secured Notes due 2025, 5.875 % Senior Notes due 2026 and 5.25 % Senior Notes due 2028 have not been paid or refinanced as required under the Credit Agreement prior to such dates, as more specifically described in the Credit Agreement. CUSA used the $ 632.7 net proceeds of the borrowings under the Credit Agreement to fund the $ 628.3 repayment of the term loan outstanding under the Credit Agreement prior to the amendment and restatement and accrued interest thereon, and for other general corporate purposes. Under the Credit Agreement, principal payments of $ 1.6 are due on the term loan quarterly through March 31, 2030 , with a final principal payment of all remaining unpaid principal due on May 24, 2030 . The term loan was issued net of an original issue discount of $ 9.8 . CUSA also incurred a total of approximately $ 10.1 in debt issuance costs in connection with the amendment, which are reflected in the condensed consolidated financial statements as follows: (i) $ 7.5 in debt issuance costs were capitalized and are reflected as a reduction of “Long-term debt, less current portion” on the Company’s condensed consolidated balance sheet; and (ii) $ 2.1 of fees paid to lenders and $ 0.5 of legal and other fees are included in “Loss on debt extinguishment and refinancing” in the Company’s condensed consolidated statement of income for the three and six months ended June 30, 2023 . As a result of the amendment, CUSA also wrote-off $ 4.7 of unamortized debt issuance costs associated with exiting lenders of the refinanced Credit Agreement. Interest on the term loan accrues, at CUSA's option, at either (i) a rate determined by reference to the secured overnight financing rate ("SOFR") as published by CME Group Benchmark Administration Limited and identified by Barclay's Bank PLC (the Administrative Agent) as the forward-looking term rate based on SOFR for a period of 1, 3, or 6 months (depending upon the Interest Period (as defined in the Credit Agreement) chosen by CUSA) (the "Term SOFR Rate"), subject to a floor of 0.50 % per annum, plus an applicable margin of 3.75 % per annum, or (ii) for any day, a rate per annum equal to the greatest of (a) the Prime Rate in effect on such day, (b) the Federal Reserve Bank of New York Rate in effect on such day, plus 1/2 of 1.00 % and (c) the Term SOFR Rate for a one month Interest Period, as published two U.S. Government Securities Business Days prior to such day (or if such day is not a U.S. Government Securities Business Day, the immediately preceding U.S. Government Securities Business Day), plus 1.00 % (this clause (ii), the "Alternate Base Rate"), subject in the case of this clause (ii) to a floor of 1.50 % per annum, plus, in the case of this clause (ii), an applicable margin of 2.75 %. The average interest rate on outstanding term loan borrowings under the Credit Agreement as of June 30, 2023 was approximately 6.8 % per annum, after giving effect to the interest rate swap agreements discussed below. Interest on revolving credit loans accrues, at CUSA's option, at either (i) the Term SOFR Rate plus an applicable margin that ranges from 3.00 % to 3.50 % per annum, or (ii) the Alternate Base Rate, subject, in the case of this clause (ii) to a floor of 1.00 % per annum, plus, in the case of this clause (ii), an applicable margin that ranges from 2.00 % to 2.50 %. The applicable margin with respect to revolving credit loans is a function of the Consolidated Net Senior Secured Leverage Ratio as defined in the Credit Agreement. As of June 30, 2023, the applicable margin was 3.50 % , however, there were no borrowings outstanding under the revolving line of credit. In addition, CUSA is required to pay a commitment fee on the revolving line of credit that accrues at a rate ranging from 0.20 % to 0.375 % per annum of the daily unused portion of the revolving line of credit. The commitment fee rate is a function of the Consolidated Net Senior Secured Leverage Ratio. CUSA’s obligations under the Credit Agreement are guaranteed by Holdings and certain subsidiaries of Holdings other than CUSA (the “Other Guarantors”) and are secured by security interests in substantially all of CUSA’s, Holdings’ and the Other Guarantors’ personal property. The Credit Agreement contains usual and customary negative covenants for agreements of this type, including, but not limited to, restrictions on the ability of Holdings, CUSA and their subsidiaries to: merge, consolidate, liquidate, or dissolve; sell, transfer or otherwise dispose of assets; create, incur or permit to exist certain indebtedness and liens; pay dividends, repurchase stock and make other Restricted Payments (as defined in the Credit Agreement); prepay certain indebtedness; make investments; enter into transactions with affiliates; and change the nature of their business. At any time that CUSA has revolving credit loans outstanding, it is not permitted to allow the Consolidated Net Senior Secured Leverage Ratio to exceed 3.5 to 1.0 . As of June 30, 2023, there were no revolving credit loans outstanding under the revolving line of credit, and CUSA’s Consolidated Net Senior Secured Leverage Ratio was 0.6 to 1.0 . The Credit Agreement also includes customary events of default, including, among other things, payment default, covenant default, breach of representation or warranty, bankruptcy, cross-default, material ERISA events, a change of control, material money judgments and failure to maintain security interests. If an event of default occurs, all commitments under the Credit Agreement may be terminated and all obligations under the Credit Agreement could be accelerated by the Lenders, causing all loans outstanding (including accrued interest and fees payable thereunder) to be declared immediately due and payable. The Restricted Payments covenant, as defined in the Credit Agreement generally does not limit the ability of Holdings and its subsidiaries to pay dividends and make other Restricted Payments if the Consolidated Net Total Leverage Ratio (as defined in the Credit Agreement) is less than or equal to 2.75 to 1.00 . If the Consolidated Net Total Leverage Ratio is greater than 2.75 to 1.00 , but no greater than 5.00 to 1.00 , Restricted Payments generally may be made in an aggregate amount not to exceed the Available Amount (as defined in the Credit Agreement), which is a function of CUSA’s Consolidated EBITDA minus 1.75 times its Consolidated Interest Expense (as such terms are defined in the Credit Agreement) and certain other factors as specified in the Credit Agreement. As of June 30, 2023, the Consolidated Net Total Leverage Ratio was 2.80 to 1.00 . As of June 30, 2023, the Available Amount was $ 262.5 . In addition, the Credit Agreement contains other baskets that allow certain Restricted Payments in excess of the Applicable Amount. 8.75% Secured Notes On May 1, 2023, CUSA redeemed $ 100.0 in principal amount of the 8.75 % Secured Notes plus accrued interest thereon for $ 106.6 in cash. Following the redemption, $ 150.0 in aggregate principal amount of the 8.75% Secured Notes remains outstanding. As a result of the redemption, CUSA recognized a loss on extinguishment of debt totaling $ 3.4 , which includes a $ 2.2 premium paid on the redemption of bonds and a $ 1.2 write-off of unamortized debt issuance costs, and is reflected in “Loss on debt extinguishment and refinancing” in the Company’s condensed consolidated statement of income for the three and six months ended June 30, 2023. For additional discussion of the 8.75% Secured Notes, see Note 14 to the Company’s consolidated financial statements for the year ended December 31, 2022, included in the Company’s Annual Report on Form 10-K filed February 24, 2023. Interest Rate Swap Agreements The Company’s interest rate swap agreements are used to hedge a portion of the interest rate risk associated with the variable interest rates on the Company’s term loan debt and qualify for cash flow hedge accounting. Effective May 31, 2023, in conjunction with the amendment of its Credit Agreement, the Company amended its three then existing interest rate swap agreements to update the reference rate from LIBOR to Term SOFR, and the Company applied the optional relief provided in FASB ASC Topic 848 prospectively to account for this modification. Topic 848 provides optional expedients that allow an entity not to dedesignate an existing hedging relationship when critical terms of the agreement are modified, but rather allow an existing hedging relationship to continue when one or more of the critical terms in the existing hedging agreement change because of reference rate reform. Therefore, we did not dedesignate the hedging relationship due to the amendment of our existing interest rate swap agreements on May 31, 2023, and accumulated losses due to the fair value adjustments on the interest rate swaps remained in other comprehensive income. Below is a summary of the Company's interest rate swap agreements, which are designated as cash flow hedges, as of June 30, 2023: Notional Estimated Amount Effective Date Pay Rate Receive Rate Expiration Date Fair Value (1) $ 137.5 December 31, 2018 2.08 % 1-Month Term SOFR December 31, 2024 $ 5.9 $ 175.0 December 31, 2018 2.09 % 1-Month Term SOFR December 31, 2024 7.5 $ 137.5 December 31, 2018 2.15 % 1-Month Term SOFR December 31, 2024 5.8 Total $ 19.2 (1) Approximately $ 14.3 of the total is included in prepaid expenses and other and $ 4.9 is included in deferred charges and other assets, net on the condensed consolidated balance sheet as of June 30, 2023 . The fair values of the interest rate swaps are recorded on Holdings' and CUSA's condensed consolidated balance sheets as an asset or liability with the related gains or losses reported as a component of accumulated other comprehensive loss. The changes in fair value are reclassified from accumulated other comprehensive loss into earnings in the same period that the hedged items affect earnings. The valuation technique used to determine fair value is the income approach and, under this approach, the Company used projected future interest rates as provided by counterparties to the interest rate swap agreements and the fixed rates that the Company is obligated to pay under the agreement. Therefore, the Company's measurements use significant unobservable inputs, which fall in Level 2 of the U.S. GAAP hierarchy as defined by FASB ASC Topic 820-10-35. Fair Value of Long-Term Debt The Company estimates the fair value of its long-term debt primarily using quoted market prices, which fall under Level 2 of the U.S. GAAP fair value hierarchy as defined by ASC 820, Fair Value Measurement (“ASC Topic 820”) . The table below presents the fair value of the Company's long-term debt as of the periods presented: As of June 30, 2023 December 31, 2022 Holdings fair value (1) $ 2,496.8 $ 2,210.5 CUSA fair value $ 1,868.2 $ 1,771.3 (1) The fair value of the 4.50 % convertible senior notes was $ 628.6 and $ 439.2 as of June 30, 2023 and December 31, 2022 , respectively. |
Investment in NCMI_NCM
Investment in NCMI/NCM | 6 Months Ended |
Jun. 30, 2023 | |
Investment in National CineMedia LLC | 8. Investment in NCMI/NCM Below is a summary of activity with NCMI and NCM included in each of Holdings' and CUSA's condensed consolidated financial statements: Investment NCM Screen Advertising Advances Equity in (2) Other (3) Interest Balance as of January 1, 2023 $ 9.6 $ ( 338.2 ) $ — $ — $ — Screen rental revenue earned under ESA (1) — — — ( 10.4 ) — Interest accrued related to significant financing component — ( 11.4 ) — — 11.4 Equity in loss (2) ( 3.2 ) — ( 3.2 ) — — Redemption of common units of NCM for common stock of NCMI (4) — — — — — Unrealized gain on fair market value adjustment of investment in NCMI (4) 9.2 — — — — Impairment of investment in NCMI ( 0.7 ) — — — — Amortization of screen advertising advances — 16.2 — ( 16.2 ) — Balance as of and for the six months ended June 30, 2023 $ 14.9 $ ( 333.4 ) $ ( 3.2 ) $ ( 26.6 ) $ 11.4 (1) Amounts include the per patron and per digital screen theatre access fees, net of amounts due to NCM for on-screen advertising time provided to the Company's beverage concessionaire of approximately $ 4.5 . (2) Equity in loss is recorded one month in arrears. See Investment in National CineMedia below for discussion of accounting for investment in NCMI. (3) The Company had a receivable from NCM of $ 10.4 as of June 30, 2023 . (4) See Investment in National CineMedia below. NCM operates a digital in-theatre network in the U.S. for providing cinema advertising. The Company has an investment in NCM’s parent National Cinemedia, Inc. (”NCMI”), and previously held an investment in NCM. See further discussion below under Investment in National CineMedia . The Company entered into an Exhibitor Services Agreement with NCM (“ESA”), pursuant to which NCM primarily provides advertising to our theatres through its branded “ Noovie ” pre-show entertainment program and also handles lobby promotions and displays for our theatres. Investment in National CineMedia On February 17, 2023, the Company delivered a redemption notice to NCM pursuant to the redemption right under its operating agreement with NCM to redeem approximately 42.0 of the Company’s 43.7 common units in NCM in exchange for approximately 42.0 newly issued shares of NCMI common stock, with a redemption date of February 23, 2023 (the “Redemption”). On March 20, 2023, the Company delivered a second redemption notice to NCM to redeem the Company’s remaining 1.7 common units in NCM in exchange for 1.7 newly issued shares of NCMI common stock, with a redemption date of March 23, 2023 (collectively with the February 23, 2023 redemption, the “Redemptions”). NCMI is a holding company and the sole manager of NCM. NCM comprises approximately the entire balance of NCMI’s assets, liabilities and operating cash flows. See Note 19 for discussion of subsequent event related to NCMI. On April 11, 2023, NCM filed a petition for reorganization under Chapter 11 of the United States Bankruptcy Code. NCMI expects to continue to manage NCM, the “debtor in possession,” under the jurisdiction of the bankruptcy court and in accordance with the applicable bankruptcy laws and orders of the bankruptcy court. In general, as debtor in possession under the Bankruptcy Code, NCM is authorized to continue to operate as an ongoing business but may not engage in transactions outside the ordinary course of business without the prior approval of the bankruptcy court. Due to NCM’s bankruptcy proceedings, the Company reassessed its rights and level of influence over NCM. The Company determined that effective April 11, 2023, the date NCM filed its bankruptcy petition, it no longer had significant influence over NCM and therefore ceased accounting for its investment in NCMI under the equity method of accounting in the second quarter of 2023. The Company now accounts for its investment in NCMI in accordance with the guidance set forth in FASB ASC Topic 321 Investments - Equity Securities, which requires the Company to measure its investment in common stock of NCMI at fair value and recognize unrealized holding gains and losses on its investment in earnings. The Company recognized an unrealized gain of $ 9.2 on its investment in NCMI in the Company’s condensed consolidated statement of income for the three and six months ended June 30, 2023. See Note 9 to the Company’s Annual Report on Form 10-K filed February 24, 2023 for additional discussion of the Company's investment in NCM. Common Unit Adjustments The Company periodically receives consideration in the form of common units from NCM. Annual adjustments to the common membership units are made primarily based on increases or decreases in the number of theatre screens operated and the impact of these theatres on total attendance. The common units received are recorded at estimated fair value as an increase in the Company's investment in NCM with an offset to NCM screen advertising advances. In March 2023, NCM provided CUSA notice that is was entitled to 4.8 common units of NCM as part of the annual common unit adjustment. The issuance of these additional common units of NCM was stayed by NCM’s bankruptcy filing on April 11, 2023. In June 2023 the bankruptcy court issued an order cancelling the issuance of these common units of NCM and found that these common units were never issued. Impairment of NCMI Investment During the first quarter of 2023, the Company accounted for its investment in NCMI under the equity method of accounting, and therefore assessed its investment for other than temporary impairment. The Company recorded an impairment charge totaling $ 0.7 on its investment in NCMI during the first quarter of 2023 because the share price of NCMI was significantly below the Company’s carrying value of NCMI per common share and due to the lag in the pace of recovery pace of NCM’s business from the COVID-19 pandemic compared to that of the Company and the movie theatre industry. Exhibitor Services Agreement As discussed above, the Company’s domestic theatres are part of the in-theatre digital network operated by NCM, the terms of which are defined in the ESA. The Company receives a monthly theatre access fee for participation in the NCM network and also earns screen advertising or screen rental revenue on a per patron basis. See Note 9 to the Company’s Annual Report on Form 10-K filed February 24, 2023 for further discussion of the accounting for revenue earned under the ESA as well as the accounting related to NCM screen advertising advances. As discussed in Note 9 to the Company’s Annual Report on Form 10-K filed February 24, 2023, the Company’s ESA with NCM includes an implied significant financing component, as per the guidance in ASC Topic 606, Revenue from Contracts with Customers . As a result of the significant financing component, the Company recognized incremental screen rental revenue and interest expense of $ 16.2 and $ 11.4 , respectively, during the six months ended June 30, 2023 and incremental screen rental revenue and interest expense of $ 16.2 and $ 11.7 respectively, during the six months ended June 30, 2022 . The interest expense was calculated using the Company's incremental borrowing rates at the time when the cash and each tranche of common units were received from NCM, which ranged from 4.4 % to 8.3 %. The recognition of revenue related to the NCM screen advertising advances is recorded on a straight-line basis over the term of the amended ESA through February 2041 . The table below summarizes when the Company expects to recognize this revenue: Twelve Months Ended June 30, Remaining Maturity 2024 2025 2026 2027 2028 Thereafter Total NCM screen advertising advances (1) $ 10.1 $ 10.8 $ 11.6 $ 12.4 $ 13.3 $ 275.2 $ 333.4 (1) Amounts are net of the estimated interest to be accrued for the periods presented. See discussion of significant financing component below. |
Investments in Affiliates
Investments in Affiliates | 6 Months Ended |
Jun. 30, 2023 | |
Financial Support for Nonconsolidated Legal Entity [Abstract] | |
Investments in Affiliates | 9. Investments in Affiliates Below is a summary of the activity for each of the Company’s other investees and corresponding changes to the Company's investment balances during the six months ended June 30, 2023 . See Note 10 to the consolidated financial statements in the Company’s Annual Report on Form 10-K filed February 24, 2023 for a further discussion of the Company’s investments in affiliates. AC JV, DCDC FE Concepts Other Total Balance at January 1, 2023 $ 4.2 $ 1.8 $ 16.5 $ 0.1 $ 22.6 Cash distributions received ( 1.6 ) — — — ( 1.6 ) Equity income 1.7 0.2 1.0 — 2.9 Balance at June 30, 2023 $ 4.3 $ 2.0 $ 17.5 $ 0.1 $ 23.9 Transactions with Other Investees Below is a summary of transactions with each of the Company’s other investees for the three and six months ended June 30, 2023 and 2022: Three Months Ended Six Months Ended Investee Transactions June 30, 2023 June 30, 2022 June 30, 2023 June 30, 2022 AC JV, LLC Event fees paid (1) $ 4.4 $ 2.7 $ 7.4 $ 4.5 DCDC Content delivery fees paid (1) $ 0.2 $ 0.1 $ 0.3 $ 0.3 (1) Included in film rentals and advertising costs on the condensed consolidated statements of income (loss). |
Treasury Stock and Share Based
Treasury Stock and Share Based Awards | 6 Months Ended |
Jun. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Treasury Stock and Share Based Awards | 10. Treasury Stock and Share Based Awards Treasury Stock - Holdings Treasury stock represents shares of common stock repurchased by Holdings and not yet retired. The Company has applied the cost method in recording its treasury shares. Below is a summary of Holdings’ treasury stock activity for the six months ended June 30, 2023: Number of Treasury Shares Cost Balance at January 1, 2023 5.68 $ 95.4 Restricted stock withholdings (1) 0.19 2.4 Restricted stock forfeitures (2) 0.06 — Balance at June 30, 2023 5.93 $ 97.8 (1) Holdings withheld shares as a result of the election by certain employees to satisfy their tax liabilities upon vesting in restricted stock and performance stock units. Holdings determined the number of shares to be withheld based upon market values of the common stock of Holdings on the vest dates, which ranged from $ 11.16 to $ 18.36 per share. (2) Holdings repurchased forfeited restricted shares at a cost of $0.001 per share in accordance with its 2017 Omnibus Plan. As of June 30, 2023, Holdings had no plans to retire any shares of treasury stock. Restricted Stock Below is a summary of restricted stock activity for the six months ended June 30, 2023: Shares of Weighted Restricted Grant Date Stock Fair Value Outstanding at January 1, 2023 1.85 $ 20.64 Granted 1.37 12.03 Vested ( 0.70 ) 47.33 Forfeited ( 0.07 ) 16.27 Outstanding at June 30, 2023 2.45 15.85 Unvested restricted stock at June 30, 2023 2.45 During the six months ended June 30, 2023, Holdings granted 1.37 shares of its restricted stock to certain CUSA employees and its directors. The fair value of the restricted stock granted was determined based on the closing price of Holdings' common stock on the grant dates, which ranged from $ 11.19 to $ 17.14 per share. Holdings assumed forfeiture rates for the restricted stock awards that ranged from 0 % to 10 %. The restricted stock granted during the six months ended June 30, 2023 vests over periods ranging from one to three years. The recipients of restricted stock are entitled to receive non-forfeitable dividends and to vote their respective shares, however, the sale and transfer of the restricted shares is prohibited during the restriction period. Below is a summary of restricted stock award activity recorded for the periods indicated. Six Months Ended 2023 2022 Compensation expense recognized during the period: CUSA employees $ 7.7 $ 8.0 Holdings directors 0.6 0.5 Total recognized by Holdings $ 8.3 $ 8.5 Fair value of restricted stock that vested during the period: CUSA employees $ 7.9 $ 7.2 Holdings directors 1.3 0.6 Holdings total $ 9.2 $ 7.8 Income tax benefit related to vested restricted stock: CUSA employees $ 0.7 $ 1.0 Holdings directors 0.3 0.1 Holdings total income tax benefit $ 1.0 $ 1.1 As of June 30, 2023, the estimated remaining unrecognized compensation expense related to unvested restricted stock awards was as follows: Estimated Remaining Expense CUSA employees (1) $ 25.7 Holdings directors 1.3 Total remaining - Holdings (1) $ 27.0 (1) The weighted average period over which this remaining compensation expense will be recognized by both Holdings and CUSA is approximately 2.0 years. Performance Stock Units During the six months ended June 30, 2023, Holdings granted performance awards in the form of performance stock units (“PSU”), formerly referred to as restricted stock units. Each PSU that vests will result in the issuance of one share of Holdings’ common stock. The maximum number of shares issuable under the performance awards is approximately 1.5 shares of Holdings' common stock. The grant date fair value for the units issued was determined based on the closing price of Holdings' common stock on the date of grant, which was $ 11.68 per share. The performance metrics for these performance awards are based upon Adjusted EBITDA and consolidated cash flows, and payout levels are determined based upon the achievement of pre-established criteria for these metrics as defined in the award agreement. Based upon the terms of the award agreement, PSUs vest based on a combination of performance factors and continued service. The performance measurement period for the PSUs is three years, January 1, 2023 through December 31, 2025 and the service period ends on February 20, 2026. Below is a summary of the performance metrics and measurement period for these performance awards: Performance Measurement Period Three years with additional service requirement to the third anniversary of the date of the grant Maximum Performance Target Level 200 % of target level Percentage of maximum performance stock units that vest if performance metrics meet the threshold level (1) 25 % or 0.37 PSUs Percentage of maximum performance stock units that vest if performance metrics are at target (1) 50 % or 0.73 PSUs Percentage of maximum performance stock units that vest if performance metrics are at the maximum (1) 100 % or 1.47 PSUs Most likely performance metrics outcome estimated to be achieved at the time performance stock units were issued Target Assumed forfeiture rate for performance stock unit awards 5 % (1) Number of PSUs that vest based on maximum amount of PSUs that could vest of 1.47 . Below is a summary of performance stock unit activity for the periods presented: Six Months Ended June 30, 2023 2022 Number of performance stock units that vested during the period 0.1 0.1 Fair value of performance stock units that vested during the period $ 1.4 $ 1.7 Accumulated dividends paid upon vesting of performance stock units $ 0.2 $ 0.3 Compensation expense recognized during the period $ 4.2 $ 2.6 Income tax (expense) benefit related to performance stock units $ ( 0.2 ) $ 0.1 As of June 30, 2023, the estimated remaining unrecognized compensation expense related to outstanding performance stock units was $ 17.10 . The weighted average period over which this remaining compensation expense will be recognized is approximately 2.2 years. As of June 30, 2023 , Holdings had performance stock units outstanding that represented a total of approximately 1.7 hypothetical shares of common stock, net of forfeitures, reflecting actual certified performance levels for performance stock units granted during 2020 and 2022, and an estimated performance level for the 2023 grant slightly above target. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 6 Months Ended |
Jun. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | 11. Goodwill and Other Intangible Assets A summary of the Company's goodwill is as follows: U.S. International Total Balance at January 1, 2023 (1) $ 1,182.9 $ 68.0 $ 1,250.9 Foreign currency translation adjustments — 5.0 5.0 Balance at June 30, 2023 (1) $ 1,182.9 $ 73.0 $ 1,255.9 (1) Balances are presented net of accumulated impairment losses of $ 214.0 for the U.S. operating segment and $ 43.8 for the international operating segment. See discussion of the qualitative impairment analysis performed by the Company as of June 30, 2023 at Note 12. A summary of the Company's intangible assets is as follows: Balance at Additions (1) Amortization Foreign Currency Translation Adjustments and Other (2) Balance at June 30, 2023 Intangible assets with finite lives: Gross carrying amount $ 77.7 $ — $ — $ — $ 77.7 Accumulated amortization ( 73.2 ) — ( 1.0 ) — ( 74.2 ) Total net intangible assets with finite lives $ 4.5 $ — $ ( 1.0 ) $ — $ 3.5 Intangible assets with indefinite lives: Tradename and other 300.1 0.1 — 0.2 300.4 Total intangible assets, net $ 304.6 $ 0.1 $ ( 1.0 ) $ 0.2 $ 303.9 (1) Amount represents licenses acquired to sell alcoholic beverages for certain theatres. (2) Includes foreign currency translation adjustments and the write-off of liquor licenses for closed theatres. The estimated aggregate future amortization expense for intangible assets is as follows: Estimated Amortization For the six months ended December 31, 2023 $ 1.0 For the twelve months ended December 31, 2024 2.0 For the twelve months ended December 31, 2025 0.5 Total $ 3.5 |
Impairment of Long-Lived Assets
Impairment of Long-Lived Assets | 6 Months Ended |
Jun. 30, 2023 | |
Impairment or Disposal of Tangible Assets Disclosure [Abstract] | |
Impairment of Long-Lived Assets | 12. Impairment of Long-Lived Assets The Company performed a qualitative impairment analysis on its goodwill and tradename intangible assets as of June 30, 2023. As a result of the qualitative assessment, the Company noted no impairment indicators related to these assets as of June 30, 2023. The qualitative impairment analysis, by asset class, is described below: • Goodwill – Considers economic and market conditions, industry trading multiples and the impact of recent developments and events on estimated fair values as compared with the most recent quantitative assessment. • Tradename Intangible Assets – Considers recent developments that may impact revenue forecasts and other estimates as compared with the most recent quantitative assessment. The Company also performed a qualitative impairment analysis on its other long-lived assets, including theatre properties and right of-use assets, as of June 30, 2023 to determine whether indicators of potential impairment existed at the theatre level, which is the level at which the Company tests its other long-lived assets. The qualitative analysis considers relevant market transactions, industry trading multiples and recent developments that would impact the estimates of future cash flows at the theatre level. The Company then performed a quantitative impairment analysis for those theatres for which indicators of potential impairment were identified. The Company’s quantitative evaluation at the theatre level uses estimated undiscounted cash flows from continuing use through the remainder of the theatre’s useful life. The remainder of the theatre’s useful life for leased properties correlates with the remaining lease period, which includes the probability of the exercise of available renewal periods, and for owned properties represents the lesser of twenty years or the building’s remaining useful life. If the estimated undiscounted cash flows are not sufficient to recover a long-lived asset’s carrying value, the Company then compares the carrying value of the asset group (theatre) with its estimated fair value. Significant judgment is involved in estimating fair value, including management’s estimate of future theatre level cash flows for each of the Company's theatres based on projected box office. Fair value is estimated based on a multiple of cash flows. Management’s estimates, which fall under Level 3 of the U.S. GAAP fair value hierarchy, as defined by FASB ASC Topic 820-10-35, are based on projected operating performance, market transactions and industry trading multiples. See Note 1 and Note 12 to the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022, filed February 24, 2023, for a further discussion of the Company’s impairment policy and a description of the qualitative and quantitative impairment assessments performed. The Company’s impairment charges were as follows for the three and six months ended June 30, 2023 and 2022: Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 U.S. Segment Theatre properties $ 3.9 $ 2.5 $ 3.9 $ 2.5 Theatre operating lease right-of-use assets 3.4 2.0 3.4 2.0 Investment in NCMI (1) — 86.8 0.7 86.8 U.S. total 7.3 91.3 8.0 91.3 International segment Theatre properties 0.6 0.7 0.6 0.7 Theatre operating lease right-of-use assets 1.5 0.3 1.5 0.3 International total 2.1 1.0 2.1 1.0 Total Impairment $ 9.4 $ 92.3 $ 10.1 $ 92.3 (1) See discussion at Impairment of NCMI Investment in Note 8. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 13. Fair Value Measurements The Company determines fair value measurements in accordance with ASC Topic 820, which establishes a fair value hierarchy under which an asset or liability is categorized based on the lowest level of input significant to its fair value measurement. The levels of input defined by ASC Topic 820 are as follows: Level 1 – quoted market prices in active markets for identical assets or liabilities that are accessible at the measurement date; Level 2 – other than quoted market prices included in Level 1 that are observable for the asset or liability, either directly or indirectly; and Level 3 – unobservable and should be used to measure fair value to the extent that observable inputs are not available. Below is a summary of assets and liabilities measured at fair value on a recurring basis under FASB ASC Topic 820 as of June 30, 2023 and December 31, 2022: Carrying Fair Value Hierarchy Description As of Value Level 1 Level 2 Level 3 Interest rate swap assets (1) June 30, 2023 $ 19.2 $ — $ 19.2 $ — Investment in NCMI (2) June 30, 2023 $ 14.9 $ 14.9 $ — $ — Interest rate swap assets (1) December 31, 2022 $ 20.4 $ — $ 20.4 $ — (1) See further discussion of interest rate swaps at Note 7. (2) See further discussion of investment in NCMI at Note 8. See additional explanation of fair value measurement techniques used for long-lived assets, goodwill and intangible assets in “Critical Accounting Policies” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022, filed February 24, 2023. There were no changes in valuation techniques for the six months ended June 30, 2023 . There were no transfers into or out of Level 1, Level 2 or Level 3 during the six months ended June 30, 2023 . |
Foreign Currency Translation
Foreign Currency Translation | 6 Months Ended |
Jun. 30, 2023 | |
Foreign Currency [Abstract] | |
Foreign Currency Translation | 14. Foreign Currency Translation The accumulated other comprehensive loss account in Holdings’ stockholders’ equity of $ 344.8 and $ 353.2 and CUSA’s stockholder's equity of $ 347.9 and $ 356.3 , as of June 30, 2023 and December 31, 2022, respectively, primarily includes cumulative foreign currency net losses of $ 377.1 and $ 389.8 as of June 30, 2023 and December 31, 2022 from translating the financial statements of the Company's international subsidiaries and the cumulative changes in fair value of the interest rate swap agreements that are designated as hedges. As of June 30, 2023 , all foreign countries where the Company has operations are non-highly inflationary, other than Argentina. In non-highly inflationary countries, the local currency is the same as the functional currency and any fluctuation in the currency results in a cumulative foreign currency translation adjustment recorded to accumulated other comprehensive loss. The Company deemed Argentina to be highly inflationary beginning July 1, 2018. A highly inflationary economy is defined as an economy with a cumulative inflation rate of 100 percent or more over a three-year period. If a country’s economy is classified as highly inflationary, the financial statements of the foreign entity operating in that country must be remeasured to the functional currency of the reporting entity. The financial information of the Company’s Argentina subsidiaries was remeasured in U.S. dollars in accordance with ASC Topic 830, Foreign Currency Matters , effective July 1, 2018. During 2019, the Argentine government instituted exchange controls restricting the ability of entities and individuals to exchange Argentine pesos for foreign currencies and to remit foreign currency out of Argentina. As a result of these currency exchange controls, markets in Argentina developed a legal trading mechanism known as the Blue Chip Swap that allows reporting entities to transfer U.S. dollars out of and into Argentina. In a Blue Chip Swap transaction, a reporting entity buys U.S. dollar denominated securities in Argentina using Argentine pesos, and subsequently sells the securities for U.S. dollars, in Argentina, to access U.S. dollars locally, or outside Argentina, by transferring the securities abroad, prior to being sold (the latter commonly known as Blue Chip Swap Rate). The Blue Chip Swap rate is the implicit exchange rate resulting from the Blue Chip Swap transaction. The Blue Chip Swap rate can diverge significantly from Argentina’s official exchange rate. During the six months ended June 30, 2023, the Company entered into Blue Chip Swap transactions that resulted in a loss of approximately $ 4.9 which is reflected in Foreign currency and other related gain (loss) in the Company’s condensed consolidated statement of income for the three months ended June 30, 2023. Below is a summary of the impact of translating the June 30, 2023 and June 30, 2022 financial statements of the Company’s international subsidiaries: Other Comprehensive Income (Loss) for Exchange Rate as of Six Months Ended Country June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2022 Brazil 4.83 5.29 $ 6.6 $ 2.4 Chile 803.01 852.00 4.1 ( 5.2 ) Peru 3.67 3.81 0.9 1.0 All other 0.6 0.5 $ 12.2 $ ( 1.3 ) As noted above, beginning July 1, 2018, Argentina was deemed highly inflationary. For the six months ended June 30, 2023 and 2022 the Company recorded a foreign currency exchange loss of $ 8.0 , excluding the impact of the Blue Chip Swap transactions noted above, and a loss of $ 2.0 , respectively, due to the translation of Argentina's financial results to U.S. dollars. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 6 Months Ended |
Jun. 30, 2023 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | 15. Supplemental Cash Flow Information The following is provided as supplemental information to the condensed consolidated statements of cash flows: Six Months Ended June 30, 2023 2022 Cash paid for interest by Holdings (1) $ 77.0 $ 71.0 Cash paid for interest by CUSA $ 66.6 $ 60.6 Cash paid for income taxes, net $ 7.2 $ 1.0 Noncash operating activities: Interest expense - NCM (see Note 8) $ ( 11.4 ) $ ( 11.7 ) Noncash investing activities: Change in accounts payable and accrued expenses for the acquisition of theatre properties and equipment (2) $ 1.5 $ 0.4 Investment in NCMI/NCM – receipt of common units (see Note 8) $ — $ 1.3 (1) Includes the cash interest paid by CUSA. (2) Additions to theatre properties and equipment included in accounts payable as of June 30, 2023 and December 31, 2022 were $ 13.5 and $ 12.0 , respectively. |
Segments - Holdings
Segments - Holdings | 6 Months Ended |
Jun. 30, 2023 | |
Segment Reporting [Abstract] | |
Segments - Holdings | 16. Segments - Holdings The international market and U.S. market are managed as separate reportable operating segments, with the international segment consisting of operations in Brazil, Argentina, Chile, Colombia, Peru, Ecuador, Honduras, El Salvador, Nicaragua, Costa Rica, Panama, Guatemala, Bolivia, and Paraguay. The Company closed its one theatre in Curacao in January 2023. Each segment’s revenue is derived from admissions and concession sales and other ancillary revenue. Holdings uses Adjusted EBITDA, as shown in the reconciliation table below, as the primary measure of segment profit and loss to evaluate performance and allocate its resources. The Company does not report total assets by segment because that information is not used to evaluate the performance of or allocate resources between segments. Holdings revenue, Adjusted EBITDA and capital expenditures by reportable operating segment Below is a breakdown of selected financial information by reportable operating segment for Holdings: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Revenue U.S. $ 739.3 $ 603.5 $ 1,221.0 $ 977.2 International 207.4 143.3 339.0 231.8 Eliminations ( 4.4 ) ( 2.7 ) ( 7.0 ) ( 4.4 ) Total revenue $ 942.3 $ 744.1 $ 1,553.0 $ 1,204.6 Adjusted EBITDA U.S. $ 180.8 $ 111.1 $ 244.2 $ 125.5 International 50.7 27.2 73.5 38.0 Total Adjusted EBITDA $ 231.5 $ 138.3 $ 317.7 $ 163.5 Capital expenditures U.S. $ 21.1 $ 16.5 $ 43.8 $ 30.5 International 7.2 5.4 10.8 10.1 Total Capital expenditures $ 28.3 $ 21.9 $ 54.6 $ 40.6 The following table sets forth a reconciliation of net income (loss) to Adjusted EBITDA for Holdings: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Net income (loss) $ 120.4 $ ( 72.8 ) $ 117.9 $ ( 145.3 ) Add (deduct): Income tax expense 12.3 4.7 8.4 2.9 Interest expense (1) 37.1 38.1 73.9 76.2 Other (income) expense, net (2) ( 12.1 ) 11.4 ( 14.0 ) 14.6 Cash distributions from equity investees (3) 1.6 0.9 1.6 1.5 Depreciation and amortization 52.8 61.0 107.7 122.7 Impairment of long-lived and other assets 9.4 92.3 10.1 92.3 Restructuring costs — ( 0.2 ) — ( 0.2 ) Gain on disposal of assets and other ( 3.0 ) ( 0.7 ) ( 2.7 ) ( 7.6 ) Loss on debt extinguishment and refinancing 10.7 — 10.7 — Non-cash rent expense ( 4.5 ) ( 2.4 ) ( 8.4 ) ( 4.7 ) Share based awards compensation expense 6.8 6.0 12.5 11.1 Adjusted EBITDA $ 231.5 $ 138.3 $ 317.7 $ 163.5 (1) Includes amortization of debt issuance costs, amortization of original issue discount, and amortization of accumulated (gains) losses for amended swap agreements. (2) Includes interest income, foreign currency exchange and other related (gains) losses, interest expense - NCM, equity in income (loss) of affiliates and unrealized gain on investment in NCMI. (3) Reflects cash distributions received from equity investees that were recorded as a reduction of the respective investment balances. These distributions are reported entirely within the U.S. operating segment. Financial Information About Geographic Areas Below is a breakdown of selected financial information for the Company by geographic area: Three Months Ended Six Months Ended June 30, June 30, Revenue 2023 2022 2023 2022 U.S. $ 739.3 $ 603.5 $ 1,221.0 $ 977.2 Brazil 68.7 54.8 113.2 87.9 Other international countries 138.7 88.5 225.8 143.9 Eliminations ( 4.4 ) ( 2.7 ) ( 7.0 ) ( 4.4 ) Total $ 942.3 $ 744.1 $ 1,553.0 $ 1,204.6 As of As of Theatre properties and equipment, net June 30, 2023 December 31, 2022 U.S. $ 1,030.4 $ 1,075.3 Brazil 53.6 49.5 Other international countries 103.9 107.3 Total $ 1,187.9 $ 1,232.1 |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2023 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 17. Related Party Transactions The Company manages a theatre for Laredo Theatre, Ltd. (“Laredo”). The Company is the sole general partner and owns 75 % of the limited partnership interests of Laredo. Lone Star Theatres, Inc. owns the remaining 25 % of the limited partnership interests in Laredo and is 100 % owned by Mr. David Roberts, who is Lee Roy Mitchell’s son-in-law and Kevin Mitchell’s brother-in-law. Lee Roy Mitchell, our founder, owns, both directly and indirectly, approximately 8.5 % of Holdings’ common stock and Kevin Mitchell is a member of Holdings’ Board of Directors. Under the agreement, management fees are paid by Laredo to the Company at a rate of 5 % of annual theatre revenue. The Company recorded $ 0.4 and $ 0.3 of management fee revenue during the six months ended June 30, 2023 and 2022, respectively. All such amounts are included in the condensed consolidated statements of income (loss), with the intercompany amounts eliminated in consolidation. In addition, during the six months ended June 30, 2023 and 2022, the Company paid an excess cash distribution of $ 0.3 and $ 2.0 , respectively, to Laredo as required by the partnership agreement, which was recorded as a reduction of noncontrolling interest on the condensed consolidated balance sheet. The Company leases 12 theatres from Syufy Enterprises, LP (“Syufy”) or affiliates of Syufy. Raymond Syufy is one of Holdings' directors and is an officer of the general partner of Syufy. For the six months ended June 30, 2023 and 2022, the Company paid total rent of $ 10.9 and $ 11.1 , respectively, to Syufy. CUSA provides digital equipment support to drive-in theatres owned by Syufy. The Company recorded management fees related to these services of $ 0.03 and $ 0.10 during the six months ended June 30, 2023 and 2022, respectively. The Company has a 50 % voting interest in FE Concepts, a joint venture with AWSR, an entity owned by Lee Roy Mitchell and Tandy Mitchell. FE Concepts operates a family entertainment center that offers bowling, gaming, movies and other amenities. CUSA has a theatre services agreement with FE Concepts under which the Company receives service fees for providing film booking and equipment monitoring services for the facility. The Company recorded management fees of $ 0.03 and $ 0.03 related to these services during the six months ended June 30, 2023 and 2022 , respectively. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 18. Commitments and Contingencies From time to time, the Company is involved in various legal proceedings arising from the ordinary course of its business operations, such as personal injury claims, employment matters, patent claims, landlord-tenant disputes, contractual disputes with landlords over certain termination rights and other contractual disputes, some of which are covered by insurance. The Company believes its potential liability with respect to proceedings currently pending is not material, individually or in the aggregate, to the Company’s financial position, results of operations and cash flows. Cinemark Holdings, Inc., et al vs Factory Mutual Insurance Company . The Company filed suit on November 18, 2020, in the District Court, 471st Judicial District, Collin County, Texas. On December 22, 2020, the case was moved to the US District Court for the Eastern District of Texas, Sherman Division. The Company submitted a claim under its property insurance policy issued by Factory Mutual Insurance Company (the “FM Policy”) for losses sustained as a result of the closure of the Company’s theatres due to the COVID-19 pandemic. Factory Mutual Insurance Company (“FM”) denied the Company’s claim. The Company is seeking damages resulting from FM’s breach of contract, FM’s bad faith conduct and a declaration of the parties’ rights under the FM Policy. The Company cannot predict the outcome of this litigation. The District Court granted FM’s motion for summary judgment. The Company has appealed the District Court’s decision. Lakeenya Neal, et al v. Cinemark Holdings, Inc., et al. This class action lawsuit was filed against the Company on December 10, 2021, in the Central District of Los Angeles County Superior Court of the State of California alleging certain violations of the Fair and Accurate Credit Transactions Act. The plaintiffs voluntarily dismissed this case. Gerardo Rodriguez, individually and on behalf of a class of all others similarly situated vs Cinemark USA, Inc. and Cinemark Holdings, Inc., et al. This class action lawsuit was filed against the Company on February 24, 2023 in the Cook County Circuit Court in Illinois alleging violation of the Fair and Accurate Credit Transactions Act. The Company firmly maintains that the allegations are without merit and will vigorously defend itself against the lawsuit. The Company cannot predict the outcome of this litigation. National CineMedia LLC Bankruptcy. On June 3, 2023, NCM filed an Emergency Motion for Entry of an Order (1) approving and Authorizing Debtor to Enter into and Perform Under (a) the Termination and Settlement Agreement and (b) the Network Affiliate Transaction Agreement with Regal Cinemas, Inc. (the “9019 Motion”). The 9019 Motion requested an order, among other things, that the most favored nations clause (the “MFN”) in Cinemark’s Exhibitor Services Agreement was not triggered by the Network Affiliate Transaction Agreement with Regal Cinemas, Inc. On June 14, 2023, Cinemark filed an objection to the 9019 Motion. On June 26, 2023, the bankruptcy court entered a confirmation order, which among other things, approves NCM’s assumption of Cinemark’s Exhibitor Services Agreement but fails to preserve or recognize Cinemark’s rights under the MFN with respect to the Network Affiliate Transaction Agreement. Cinemark has appealed the confirmation order in the United States District Court for the Southern District of Texas, Houston Division. The Company cannot predict the outcome of this appeal. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | 19. Subsequent Events On July 27, 2023, the Company received a notice from the Superintendency of Economic Competition in Ecuador that the sale of the stock of the Company’s Ecuador subsidiary had been approved and could proceed. The transaction is expected to close in the third quarter of 2023. On August 3, 2023, NCMI announced that it has effected a 1-for-10 reverse stock split of its common stock. NCMI’s common stock will automatically begin trading on a split adjusted basis at the opening of the market on August 4, 2023. Fractional shares will be rounded up to the nearest whole share. After giving effect to the reverse stock split, the Company will own approximately 4.4 shares of NCMI common stock. |
Lease Accounting (Tables)
Lease Accounting (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Leases [Abstract] | |
Schedule of Aggregate Lease Costs by Lease Classification | The following table represents the Company’s aggregate lease costs, by lease classification, for the periods presented. Three Months Ended Six Months Ended June 30, June 30, Lease Cost Classification 2023 2022 2023 2022 Operating lease costs Equipment (1) Utilities and other $ 1.3 $ 1.0 $ 2.7 $ 1.6 Real Estate (1) Facility lease expense 90.8 81.9 172.9 156.9 Total operating lease costs $ 92.1 $ 82.9 $ 175.6 $ 158.5 Finance lease costs Amortization of leased assets Depreciation and amortization $ 3.0 $ 3.2 $ 6.0 $ 6.3 Interest on lease liabilities Interest expense 1.3 1.3 2.5 2.7 Total finance lease costs $ 4.3 $ 4.5 $ 8.5 $ 9.0 (1) Includes short-term lease payments, variable lease payments and office lease payments reflected in general and administrative expense as set forth in the following table for the periods presented: Three Months Ended Six Months Ended June 30, June 30, Lease Cost Classification 2023 2022 2023 2022 Operating lease costs Equipment - Short-term lease payments Utilities and other $ 1.2 $ 0.9 $ 2.5 $ 1.4 Real Estate - Variable lease payments (1) Facility lease expense $ 20.1 $ 12.2 $ 32.8 $ 18.1 Real Estate - Office leases General and administrative $ 0.3 $ 0.4 $ 0.6 $ 0.7 (1) Represents lease payments that are based on a change in index, such as CPI or inflation, variable payments based on revenue or attendance and variable common area maintenance costs |
Schedule of Minimum Cash Lease Payments | The following table represents the minimum cash lease payments included in the measurement of lease liabilities and the non-cash addition of lease right-of-use assets for the periods presented. Six Months Ended June 30, Other Information 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Cash outflows for operating leases $ 140.3 $ 139.1 Cash outflows for finance leases - operating activities $ 2.5 $ 2.7 Cash outflows for finance leases - financing activities $ 7.1 $ 7.2 Non-cash amount of right-of-use assets obtained in exchange for: Operating lease liability additions, net of write-offs $ 46.3 $ 57.0 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Summary of Revenues Disaggregated Based on Type of Good or Service by Reportable Operating Segment and on Timing of Revenue Recognition | The following tables present revenue disaggregated based on major type of good or service and by reportable operating segment. Three Months Ended Six Months Ended June 30, 2023 June 30, 2023 U.S. International U.S. International Operating Operating Operating Operating Segment (1) Segment Consolidated Segment (1) Segment Consolidated Admissions revenue $ 373.4 $ 105.0 $ 478.4 $ 618.1 $ 171.3 $ 789.4 Concession revenue 296.3 77.1 373.4 483.1 126.1 609.2 Screen advertising, screen rental and promotional revenue (2) 24.7 13.5 38.2 46.5 22.8 69.3 Other revenue 40.5 11.8 52.3 66.3 18.8 85.1 Total revenue $ 734.9 $ 207.4 $ 942.3 $ 1,214.0 $ 339.0 $ 1,553.0 Three Months Ended Six Months Ended June 30, 2022 June 30, 2022 U.S. International U.S. International Operating Operating Operating Operating Segment (1) Segment Consolidated Segment (1) Segment Consolidated Admissions revenue $ 309.7 $ 72.2 $ 381.9 $ 501.5 $ 116.2 $ 617.7 Concession revenue 234.6 51.4 286.0 375.7 83.3 459.0 Screen advertising, screen rental and promotional revenue (2) 21.4 11.3 32.7 40.1 19.4 59.5 Other revenue 35.1 8.4 43.5 55.5 12.9 68.4 Total revenue $ 600.8 $ 143.3 $ 744.1 $ 972.8 $ 231.8 $ 1,204.6 (1) U.S. segment revenue excludes intercompany transactions with the international operating segment. See Note 16 for the amount of intercompany eliminations for the periods presented. (2) Amount includes amortization of NCM screen advertising advances. See S creen Advertising Advances and Other Deferred Revenue below. The following tables present revenue disaggregated based on timing of recognition and by reportable operating segment. Three Months Ended Six Months Ended June 30, 2023 June 30, 2023 U.S. International U.S. International Operating Operating Operating Operating Segment (1) Segment Consolidated Segment (1) Segment Consolidated Goods and services transferred at a point in time $ 714.7 $ 192.8 $ 907.5 $ 1,162.5 $ 312.0 $ 1,474.5 Goods and services transferred over time (2) 20.2 14.6 34.8 51.5 27.0 78.5 Total $ 734.9 $ 207.4 $ 942.3 $ 1,214.0 $ 339.0 $ 1,553.0 Three Months Ended Six Months Ended June 30, 2022 June 30, 2022 U.S. International U.S. International Operating Operating Operating Operating Segment (1) Segment Consolidated Segment (1) Segment Consolidated Goods and services transferred at a point in time $ 573.8 $ 129.8 $ 703.6 $ 922.1 $ 208.4 $ 1,130.5 Goods and services transferred over time (2) 27.0 13.5 40.5 50.7 23.4 74.1 Total $ 600.8 $ 143.3 $ 744.1 $ 972.8 $ 231.8 $ 1,204.6 (1) U.S. segment revenue excludes intercompany transactions with the international operating segment. See Note 16 for the amount of intercompany eliminations for the periods presented. Amount includes amortization of NCM screen advertising advances. See Screen Advertising Advances and Other Deferred Revenue below. |
Changes in Deferred Revenues | The following table presents changes in the Company’s deferred revenue for the six months ended June 30, 2023. NCM screen advertising advances (1) Other (2) Balance at January 1, 2023 $ 338.2 $ 194.9 Amounts recognized as accounts receivable — 0.8 Cash received from customers in advance — 143.8 Interest accrued related to significant financing component 11.4 — Revenue recognized during period ( 16.2 ) ( 145.6 ) Foreign currency translation adjustments — ( 0.6 ) Balance at June 30, 2023 $ 333.4 $ 193.3 (1) See Note 8 for the maturity of NCM screen advertising advances as of June 30, 2023 . (2) Includes liabilities associated with outstanding gift cards and discount ticket vouchers, points or rebates outstanding under the Company’s loyalty and membership programs and revenue not yet recognized for screen advertising and other promotional activities. Amounts are classified as accounts payable and accrued expenses or other long-term liabilities on the condensed consolidated balance sheet. |
Aggregate Amount of Transaction Price Allocated to Performance Obligationt that are Unsatisfied and Expected to be Recognized | The table below summarizes the aggregate amount of the transaction price allocated to performance obligations that are unsatisfied as of June 30, 2023 and when the Company expects to recognize this revenue. Twelve Months Ended June 30, Remaining Performance Obligations 2024 2025 Thereafter Total Other deferred revenue $ 170.9 $ 22.4 $ — $ 193.3 |
Earnings ( Loss) Per Share (Tab
Earnings ( Loss) Per Share (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of computations of basic and diluted loss per share | The following table presents computations of basic and diluted earnings (loss) per share for Holdings: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Numerator: Net income (loss) attributable to Cinemark Holdings, Inc. $ 119.1 $ ( 73.4 ) $ 116.0 $ ( 147.4 ) (Income) loss allocated to participating share-based awards (1) ( 2.3 ) 1.4 ( 1.9 ) 2.5 Basic net income (loss) attributable to common stockholders $ 116.8 $ ( 72.0 ) $ 114.1 $ ( 144.9 ) Add: Interest expense on convertible notes, net of tax (3) 4.6 — 9.8 — Diluted net income (loss) attributable to common stockholders $ 121.4 $ ( 72.0 ) $ 123.9 $ ( 144.9 ) Denominator : Basic weighted average shares outstanding 119.1 118.2 118.9 118.0 Common equivalent shares for restricted stock units (2) 0.6 — 0.6 — Common equivalent shares for convertible notes (3) 32.0 — 32.0 — Common equivalent shares for warrants (4) — — — — Diluted weighted average shares outstanding 151.7 118.2 151.5 118.0 Basic earnings (loss) per share attributable to common stockholders $ 0.98 $ ( 0.61 ) $ 0.96 $ ( 1.23 ) Diluted earnings (loss) per share attributable to common stockholders $ 0.80 $ ( 0.61 ) $ 0.82 $ ( 1.23 ) (1) For the three months ended June 30, 2023 and 2022, a weighted average of approximately 2.40 shares and 2.27 shares of restricted stock, respectively, were considered participating securities. For the six months ended June 30, 2023 and 2022, a weighted average of approximately 2.03 shares and 2.03 shares of restricted stock, respectively, were considered participating securities . (2) For the three months ended June 30, 2022, 0.25 common equivalent shares for restricted stock units, respectively, were excluded because they were anti-dilutive. For the six months ended June 30, 2022, approximately 0.28 common equivalent shares for restricted stock units, respectively, were excluded because they were anti-dilutive. (3) For the three and six months ended June 30, 2022 diluted loss per share excludes the conversion of the 4.50 % Convertible Senior Notes into 32.0 shares of common stock, as they would be anti-dilutive. See further discussion below. (4) For all periods presented, diluted earnings (loss) per share excludes the warrants, as they would be anti-dilutive. |
Theatre Assets Held for Sale (T
Theatre Assets Held for Sale (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment, Net [Abstract] | |
Schedule Of Properties And Equipment | The following table presents the carrying value of Ecuador’s significant assets and liabilities as of the periods presented: June 30, December 31, 2023 2022 Theatre property and equipment, net $ 5.5 $ 5.4 Operating lease right-of-use asset, net 3.4 2.9 Goodwill 4.2 4.2 Total assets $ 17.1 $ 15.3 Total liabilities $ 8.9 $ 8.5 |
Summary of total Revenue and Operating Income | The table below summarizes total revenue and operating income for the Ecuador subsidiary for the periods presented: Three Months Ended June 30, 2023 Six Months Ended June 30, 2023 Total revenue $ 6.1 $ 9.6 Operating income $ 1.6 $ 1.5 |
Long Term Debt (Tables)
Long Term Debt (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Debt Disclosure [Abstract] | |
Components of Long-Term Debt | Long-term debt of Holdings consisted of the following for the periods presented: June 30, December 31, 2023 2022 Cinemark Holdings, Inc. 4.50% convertible senior notes due 2025 $ 460.0 $ 460.0 Cinemark USA, Inc. term loan due 2030 648.4 626.5 Cinemark USA, Inc. 8.75% senior secured notes due 2025 150.0 250.0 Cinemark USA, Inc. 5.875% senior notes due 2026 405.0 405.0 Cinemark USA, Inc. 5.25% senior notes due 2028 765.0 765.0 Other 8.0 10.1 Total long-term debt carrying value (1) $ 2,436.4 $ 2,516.6 Less: Current portion 8.1 10.7 Less: Debt issuance costs and original issue discount, net of accumulated amortization (1) 38.0 31.9 Long-term debt, less current portion, net of unamortized debt issuance costs and original issue discount (1) $ 2,390.3 $ 2,474.0 (1) The only differences between the long-term debt for Holdings, as presented above, and the long-term debt for CUSA are the $ 460.0 4.50 % Convertible Senior Notes due 2025 and the related debt issuance costs. The following table sets forth, as of the periods indicated, the total long-term debt carrying value, current portion of long-term debt and debt issuance costs, net of amortization, for CUSA. June 30, December 31, 2023 2022 Total long-term debt carrying value $ 1,976.4 $ 2,056.6 Less: Current portion 8.1 10.7 Less: Debt issuance costs and original issue discount, net of accumulated amortization 30.7 22.9 Long-term debt, less current portion, net of unamortized debt issuance costs and original issue discount $ 1,937.6 $ 2,023.0 |
Summary of Company's Interest Rate Swap Agreements Designated as Cash Flow Hedges | Below is a summary of the Company's interest rate swap agreements, which are designated as cash flow hedges, as of June 30, 2023: Notional Estimated Amount Effective Date Pay Rate Receive Rate Expiration Date Fair Value (1) $ 137.5 December 31, 2018 2.08 % 1-Month Term SOFR December 31, 2024 $ 5.9 $ 175.0 December 31, 2018 2.09 % 1-Month Term SOFR December 31, 2024 7.5 $ 137.5 December 31, 2018 2.15 % 1-Month Term SOFR December 31, 2024 5.8 Total $ 19.2 (1) Approximately $ 14.3 of the total is included in prepaid expenses and other and $ 4.9 is included in deferred charges and other assets, net on the condensed consolidated balance sheet as of June 30, 2023 . |
Schedule of carrying values and fair values of debt instruments | The table below presents the fair value of the Company's long-term debt as of the periods presented: As of June 30, 2023 December 31, 2022 Holdings fair value (1) $ 2,496.8 $ 2,210.5 CUSA fair value $ 1,868.2 $ 1,771.3 (1) The fair value of the 4.50 % convertible senior notes was $ 628.6 and $ 439.2 as of June 30, 2023 and December 31, 2022 , respectively. |
Investment in NCMI_NCM (Tables)
Investment in NCMI/NCM (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Aggregate Amount of Transaction Price Allocated to Performance Obligationt that are Unsatisfied and Expected to be Recognized | The table below summarizes the aggregate amount of the transaction price allocated to performance obligations that are unsatisfied as of June 30, 2023 and when the Company expects to recognize this revenue. Twelve Months Ended June 30, Remaining Performance Obligations 2024 2025 Thereafter Total Other deferred revenue $ 170.9 $ 22.4 $ — $ 193.3 |
N C M Screen Advertising Advances | |
Aggregate Amount of Transaction Price Allocated to Performance Obligationt that are Unsatisfied and Expected to be Recognized | The recognition of revenue related to the NCM screen advertising advances is recorded on a straight-line basis over the term of the amended ESA through February 2041 . The table below summarizes when the Company expects to recognize this revenue: Twelve Months Ended June 30, Remaining Maturity 2024 2025 2026 2027 2028 Thereafter Total NCM screen advertising advances (1) $ 10.1 $ 10.8 $ 11.6 $ 12.4 $ 13.3 $ 275.2 $ 333.4 Amounts are net of the estimated interest to be accrued for the periods presented. See discussion of significant financing component below. |
NCM | |
Summary of Activity With Equity Investee Included in the Company's Condensed Consolidated Financial Statements | Below is a summary of activity with NCMI and NCM included in each of Holdings' and CUSA's condensed consolidated financial statements: Investment NCM Screen Advertising Advances Equity in (2) Other (3) Interest Balance as of January 1, 2023 $ 9.6 $ ( 338.2 ) $ — $ — $ — Screen rental revenue earned under ESA (1) — — — ( 10.4 ) — Interest accrued related to significant financing component — ( 11.4 ) — — 11.4 Equity in loss (2) ( 3.2 ) — ( 3.2 ) — — Redemption of common units of NCM for common stock of NCMI (4) — — — — — Unrealized gain on fair market value adjustment of investment in NCMI (4) 9.2 — — — — Impairment of investment in NCMI ( 0.7 ) — — — — Amortization of screen advertising advances — 16.2 — ( 16.2 ) — Balance as of and for the six months ended June 30, 2023 $ 14.9 $ ( 333.4 ) $ ( 3.2 ) $ ( 26.6 ) $ 11.4 (1) Amounts include the per patron and per digital screen theatre access fees, net of amounts due to NCM for on-screen advertising time provided to the Company's beverage concessionaire of approximately $ 4.5 . (2) Equity in loss is recorded one month in arrears. See Investment in National CineMedia below for discussion of accounting for investment in NCMI. (3) The Company had a receivable from NCM of $ 10.4 as of June 30, 2023 . (4) See Investment in National CineMedia below. |
Investments in Affiliates (Tabl
Investments in Affiliates (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Summary of Activity for Each of Company's Other Investments | Below is a summary of transactions with each of the Company’s other investees for the three and six months ended June 30, 2023 and 2022: Three Months Ended Six Months Ended Investee Transactions June 30, 2023 June 30, 2022 June 30, 2023 June 30, 2022 AC JV, LLC Event fees paid (1) $ 4.4 $ 2.7 $ 7.4 $ 4.5 DCDC Content delivery fees paid (1) $ 0.2 $ 0.1 $ 0.3 $ 0.3 (1) Included in film rentals and advertising costs on the condensed consolidated statements of income (loss). |
Digital Cinema Implementation Partners | |
Transactions with DCIP | the Company’s Annual Report on Form 10-K filed February 24, 2023 for a further discussion of the Company’s investments in affiliates. AC JV, DCDC FE Concepts Other Total Balance at January 1, 2023 $ 4.2 $ 1.8 $ 16.5 $ 0.1 $ 22.6 Cash distributions received ( 1.6 ) — — — ( 1.6 ) Equity income 1.7 0.2 1.0 — 2.9 Balance at June 30, 2023 $ 4.3 $ 2.0 $ 17.5 $ 0.1 $ 23.9 |
Treasury Stock and Share Base_2
Treasury Stock and Share Based Awards (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Summary of Treasury Stock Activity | Below is a summary of Holdings’ treasury stock activity for the six months ended June 30, 2023: Number of Treasury Shares Cost Balance at January 1, 2023 5.68 $ 95.4 Restricted stock withholdings (1) 0.19 2.4 Restricted stock forfeitures (2) 0.06 — Balance at June 30, 2023 5.93 $ 97.8 (1) Holdings withheld shares as a result of the election by certain employees to satisfy their tax liabilities upon vesting in restricted stock and performance stock units. Holdings determined the number of shares to be withheld based upon market values of the common stock of Holdings on the vest dates, which ranged from $ 11.16 to $ 18.36 per share. (2) Holdings repurchased forfeited restricted shares at a cost of $0.001 per share in accordance with its 2017 Omnibus Plan. |
Summary of Restricted Stock Activity | Below is a summary of restricted stock activity for the six months ended June 30, 2023: Shares of Weighted Restricted Grant Date Stock Fair Value Outstanding at January 1, 2023 1.85 $ 20.64 Granted 1.37 12.03 Vested ( 0.70 ) 47.33 Forfeited ( 0.07 ) 16.27 Outstanding at June 30, 2023 2.45 15.85 Unvested restricted stock at June 30, 2023 2.45 |
Performance metrics and measurement period for these performance awards | Below is a summary of the performance metrics and measurement period for these performance awards: Performance Measurement Period Three years with additional service requirement to the third anniversary of the date of the grant Maximum Performance Target Level 200 % of target level Percentage of maximum performance stock units that vest if performance metrics meet the threshold level (1) 25 % or 0.37 PSUs Percentage of maximum performance stock units that vest if performance metrics are at target (1) 50 % or 0.73 PSUs Percentage of maximum performance stock units that vest if performance metrics are at the maximum (1) 100 % or 1.47 PSUs Most likely performance metrics outcome estimated to be achieved at the time performance stock units were issued Target Assumed forfeiture rate for performance stock unit awards 5 % Number of PSUs that vest based on maximum amount of PSUs that could vest of 1.47 . |
CUSA | |
Summary of Restricted Stock and Restricted Stock Unit Award Activity | Below is a summary of restricted stock award activity recorded for the periods indicated. Six Months Ended 2023 2022 Compensation expense recognized during the period: CUSA employees $ 7.7 $ 8.0 Holdings directors 0.6 0.5 Total recognized by Holdings $ 8.3 $ 8.5 Fair value of restricted stock that vested during the period: CUSA employees $ 7.9 $ 7.2 Holdings directors 1.3 0.6 Holdings total $ 9.2 $ 7.8 Income tax benefit related to vested restricted stock: CUSA employees $ 0.7 $ 1.0 Holdings directors 0.3 0.1 Holdings total income tax benefit $ 1.0 $ 1.1 |
Restricted Stock (Member) | |
Summary of Restricted Stock and Restricted Stock Unit Award Activity | As of June 30, 2023, the estimated remaining unrecognized compensation expense related to unvested restricted stock awards was as follows: Estimated Remaining Expense CUSA employees (1) $ 25.7 Holdings directors 1.3 Total remaining - Holdings (1) $ 27.0 (1) The weighted average period over which this remaining compensation expense will be recognized by both Holdings and CUSA is approximately 2.0 years. |
Performance Shares [Member] | |
Summary of Restricted Stock and Restricted Stock Unit Award Activity | Below is a summary of performance stock unit activity for the periods presented: Six Months Ended June 30, 2023 2022 Number of performance stock units that vested during the period 0.1 0.1 Fair value of performance stock units that vested during the period $ 1.4 $ 1.7 Accumulated dividends paid upon vesting of performance stock units $ 0.2 $ 0.3 Compensation expense recognized during the period $ 4.2 $ 2.6 Income tax (expense) benefit related to performance stock units $ ( 0.2 ) $ 0.1 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Goodwill | A summary of the Company's goodwill is as follows: U.S. International Total Balance at January 1, 2023 (1) $ 1,182.9 $ 68.0 $ 1,250.9 Foreign currency translation adjustments — 5.0 5.0 Balance at June 30, 2023 (1) $ 1,182.9 $ 73.0 $ 1,255.9 (1) Balances are presented net of accumulated impairment losses of $ 214.0 for the U.S. operating segment and $ 43.8 for the international operating segment. See discussion of the qualitative impairment analysis performed by the Company as of June 30, 2023 at Note 12. |
Intangible Assets | A summary of the Company's intangible assets is as follows: Balance at Additions (1) Amortization Foreign Currency Translation Adjustments and Other (2) Balance at June 30, 2023 Intangible assets with finite lives: Gross carrying amount $ 77.7 $ — $ — $ — $ 77.7 Accumulated amortization ( 73.2 ) — ( 1.0 ) — ( 74.2 ) Total net intangible assets with finite lives $ 4.5 $ — $ ( 1.0 ) $ — $ 3.5 Intangible assets with indefinite lives: Tradename and other 300.1 0.1 — 0.2 300.4 Total intangible assets, net $ 304.6 $ 0.1 $ ( 1.0 ) $ 0.2 $ 303.9 (1) Amount represents licenses acquired to sell alcoholic beverages for certain theatres. (2) Includes foreign currency translation adjustments and the write-off of liquor licenses for closed theatres. |
Estimated Aggregate Future Amortization Expense for Intangible Assets | The estimated aggregate future amortization expense for intangible assets is as follows: Estimated Amortization For the six months ended December 31, 2023 $ 1.0 For the twelve months ended December 31, 2024 2.0 For the twelve months ended December 31, 2025 0.5 Total $ 3.5 |
Impairment of Long-Lived Asse_2
Impairment of Long-Lived Assets (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Impairment or Disposal of Tangible Assets Disclosure [Abstract] | |
Summary of Impairment Charges | The Company’s impairment charges were as follows for the three and six months ended June 30, 2023 and 2022: Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 U.S. Segment Theatre properties $ 3.9 $ 2.5 $ 3.9 $ 2.5 Theatre operating lease right-of-use assets 3.4 2.0 3.4 2.0 Investment in NCMI (1) — 86.8 0.7 86.8 U.S. total 7.3 91.3 8.0 91.3 International segment Theatre properties 0.6 0.7 0.6 0.7 Theatre operating lease right-of-use assets 1.5 0.3 1.5 0.3 International total 2.1 1.0 2.1 1.0 Total Impairment $ 9.4 $ 92.3 $ 10.1 $ 92.3 (1) See discussion at Impairment of NCMI Investment in Note 8. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and Liabilities Measured On Recurring Basis | Below is a summary of assets and liabilities measured at fair value on a recurring basis under FASB ASC Topic 820 as of June 30, 2023 and December 31, 2022: Carrying Fair Value Hierarchy Description As of Value Level 1 Level 2 Level 3 Interest rate swap assets (1) June 30, 2023 $ 19.2 $ — $ 19.2 $ — Investment in NCMI (2) June 30, 2023 $ 14.9 $ 14.9 $ — $ — Interest rate swap assets (1) December 31, 2022 $ 20.4 $ — $ 20.4 $ — (1) See further discussion of interest rate swaps at Note 7. (2) See further discussion of investment in NCMI at Note 8. |
Foreign Currency Translation (T
Foreign Currency Translation (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Summary of Impact of Translating Financial Statements of Company's International Subsidiaries | Below is a summary of the impact of translating the June 30, 2023 and June 30, 2022 financial statements of the Company’s international subsidiaries: Other Comprehensive Income (Loss) for Exchange Rate as of Six Months Ended Country June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2022 Brazil 4.83 5.29 $ 6.6 $ 2.4 Chile 803.01 852.00 4.1 ( 5.2 ) Peru 3.67 3.81 0.9 1.0 All other 0.6 0.5 $ 12.2 $ ( 1.3 ) As noted above, beginning July 1, 2018, Argentina was deemed highly inflationary. For the six months ended June 30, 2023 and 2022 the Company recorded a foreign currency exchange loss of $ 8.0 , excluding the impact of the Blue Chip Swap transactions noted above, and a loss of $ 2.0 , respectively, due to the translation of Argentina's financial results to U.S. dollars. |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Information to Condensed Consolidated Statements of Cash Flows | The following is provided as supplemental information to the condensed consolidated statements of cash flows: Six Months Ended June 30, 2023 2022 Cash paid for interest by Holdings (1) $ 77.0 $ 71.0 Cash paid for interest by CUSA $ 66.6 $ 60.6 Cash paid for income taxes, net $ 7.2 $ 1.0 Noncash operating activities: Interest expense - NCM (see Note 8) $ ( 11.4 ) $ ( 11.7 ) Noncash investing activities: Change in accounts payable and accrued expenses for the acquisition of theatre properties and equipment (2) $ 1.5 $ 0.4 Investment in NCMI/NCM – receipt of common units (see Note 8) $ — $ 1.3 (1) Includes the cash interest paid by CUSA. (2) Additions to theatre properties and equipment included in accounts payable as of June 30, 2023 and December 31, 2022 were $ 13.5 and $ 12.0 , respectively. |
Segments - Holdings (Tables)
Segments - Holdings (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Segment Reporting [Abstract] | |
Selected Financial Information by Reportable Operating Segment | Below is a breakdown of selected financial information by reportable operating segment for Holdings: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Revenue U.S. $ 739.3 $ 603.5 $ 1,221.0 $ 977.2 International 207.4 143.3 339.0 231.8 Eliminations ( 4.4 ) ( 2.7 ) ( 7.0 ) ( 4.4 ) Total revenue $ 942.3 $ 744.1 $ 1,553.0 $ 1,204.6 Adjusted EBITDA U.S. $ 180.8 $ 111.1 $ 244.2 $ 125.5 International 50.7 27.2 73.5 38.0 Total Adjusted EBITDA $ 231.5 $ 138.3 $ 317.7 $ 163.5 Capital expenditures U.S. $ 21.1 $ 16.5 $ 43.8 $ 30.5 International 7.2 5.4 10.8 10.1 Total Capital expenditures $ 28.3 $ 21.9 $ 54.6 $ 40.6 |
Reconciliation of Net Income (Loss) to Adjusted EBITDA | The following table sets forth a reconciliation of net income (loss) to Adjusted EBITDA for Holdings: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Net income (loss) $ 120.4 $ ( 72.8 ) $ 117.9 $ ( 145.3 ) Add (deduct): Income tax expense 12.3 4.7 8.4 2.9 Interest expense (1) 37.1 38.1 73.9 76.2 Other (income) expense, net (2) ( 12.1 ) 11.4 ( 14.0 ) 14.6 Cash distributions from equity investees (3) 1.6 0.9 1.6 1.5 Depreciation and amortization 52.8 61.0 107.7 122.7 Impairment of long-lived and other assets 9.4 92.3 10.1 92.3 Restructuring costs — ( 0.2 ) — ( 0.2 ) Gain on disposal of assets and other ( 3.0 ) ( 0.7 ) ( 2.7 ) ( 7.6 ) Loss on debt extinguishment and refinancing 10.7 — 10.7 — Non-cash rent expense ( 4.5 ) ( 2.4 ) ( 8.4 ) ( 4.7 ) Share based awards compensation expense 6.8 6.0 12.5 11.1 Adjusted EBITDA $ 231.5 $ 138.3 $ 317.7 $ 163.5 (1) Includes amortization of debt issuance costs, amortization of original issue discount, and amortization of accumulated (gains) losses for amended swap agreements. (2) Includes interest income, foreign currency exchange and other related (gains) losses, interest expense - NCM, equity in income (loss) of affiliates and unrealized gain on investment in NCMI. (3) Reflects cash distributions received from equity investees that were recorded as a reduction of the respective investment balances. These distributions are reported entirely within the U.S. operating segment. |
Selected Financial Information by Geographic Area | Below is a breakdown of selected financial information for the Company by geographic area: Three Months Ended Six Months Ended June 30, June 30, Revenue 2023 2022 2023 2022 U.S. $ 739.3 $ 603.5 $ 1,221.0 $ 977.2 Brazil 68.7 54.8 113.2 87.9 Other international countries 138.7 88.5 225.8 143.9 Eliminations ( 4.4 ) ( 2.7 ) ( 7.0 ) ( 4.4 ) Total $ 942.3 $ 744.1 $ 1,553.0 $ 1,204.6 As of As of Theatre properties and equipment, net June 30, 2023 December 31, 2022 U.S. $ 1,030.4 $ 1,075.3 Brazil 53.6 49.5 Other international countries 103.9 107.3 Total $ 1,187.9 $ 1,232.1 |
The Company and Basis of Pres_2
The Company and Basis of Presentation - Additional Information (Detail) | Jun. 30, 2023 |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Operating revenues comprise | 100% |
Operating expenses comprise | 100% |
Minimum | Equity Interest [Member] | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Equity method investment, ownership percentage | 20% |
Minimum | Fair Value Method [Member] | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Equity method investment, ownership percentage | 20% |
Maximum | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Cost method investment, ownership Percentage | 20% |
Maximum | Equity Interest [Member] | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Equity method investment, ownership percentage | 50% |
Maximum | Fair Value Method [Member] | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Equity method investment, ownership percentage | 50% |
Impact of COVID-19 Pandemic - A
Impact of COVID-19 Pandemic - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Unusual Or Infrequent Item [Line Items] | ||||
Restructuring costs | $ 0 | $ (0.2) | $ 0 | $ (0.2) |
Lease Accounting - Additional I
Lease Accounting - Additional Information (Detail) $ in Millions | Jun. 30, 2023 USD ($) |
Theatres | |
Lease [Line Items] | |
Contractual minimum lease payments payable under operating lease, lease not yet commenced | $ 56.4 |
Lease Accounting - Schedule of
Lease Accounting - Schedule of Aggregate Lease Costs by Lease Classification (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Lease Cost [Line Items] | |||||
Operating Lease, Cost | $ 92.1 | $ 82.9 | $ 175.6 | $ 158.5 | |
Total finance lease costs | 4.3 | 4.5 | 8.5 | 9 | |
Depreciation and Amortization | |||||
Lease Cost [Line Items] | |||||
Amortization of leased assets | 3 | 3.2 | 6 | 6.3 | |
Interest Expense | |||||
Lease Cost [Line Items] | |||||
Interest on lease liabilities | 1.3 | 1.3 | 2.5 | 2.7 | |
Equipment | Utilities and Other | |||||
Lease Cost [Line Items] | |||||
Operating Lease, Cost | [1] | 1.3 | 1 | 2.7 | 1.6 |
Real Estate | Facility Lease Expense | |||||
Lease Cost [Line Items] | |||||
Operating Lease, Cost | [1] | $ 90.8 | $ 81.9 | $ 172.9 | $ 156.9 |
[1] Includes short-term lease payments, variable lease payments and office lease payments reflected in general and administrative expense as set forth in the following table for the periods presented: Three Months Ended Six Months Ended June 30, June 30, Lease Cost Classification 2023 2022 2023 2022 Operating lease costs Equipment - Short-term lease payments Utilities and other $ 1.2 $ 0.9 $ 2.5 $ 1.4 Real Estate - Variable lease payments (1) Facility lease expense $ 20.1 $ 12.2 $ 32.8 $ 18.1 Real Estate - Office leases General and administrative $ 0.3 $ 0.4 $ 0.6 $ 0.7 (1) Represents lease payments that are based on a change in index, such as CPI or inflation, variable payments based on revenue or attendance and variable common area maintenance costs |
Lease Accounting - Schedule o_2
Lease Accounting - Schedule of Aggregate Lease Costs by Lease Classification (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Lease Cost [Line Items] | ||||
Lease payments | $ 140.3 | $ 139.1 | ||
Equipment | Utilities and Other | ||||
Lease Cost [Line Items] | ||||
Short term lease payments | $ 1.2 | $ 0.9 | 2.5 | 1.4 |
Real Estate | Facility Lease Expense | ||||
Lease Cost [Line Items] | ||||
Variable lease payments | 20.1 | 12.2 | 32.8 | 18.1 |
Lease payments | $ 0.3 | $ 0.4 | $ 0.6 | $ 0.7 |
Lease Accounting - Schedule o_3
Lease Accounting - Schedule of Minimum Cash Lease Payments (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Cash paid for amounts included in the measurement of lease liabilities | ||
Cash outflows for operating leases | $ 140.3 | $ 139.1 |
Cash outflows for finance leases - operating activities | 2.5 | 2.7 |
Cash outflows for finance leases - financing activities | 7.1 | 7.2 |
Non-cash amount of right-of-use assets obtained in exchange for: | ||
Operating lease liability additions, net of write-offs | $ 46.3 | $ 57 |
Revenue Recognition - Additiona
Revenue Recognition - Additional Information (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Revenue from Contract with Customer [Abstract] | ||
Receivables related to contracts with customers | $ 38.2 | $ 22.9 |
Assets related to costs to obtain or fulfill contract with customers | $ 0 |
Revenue Recognition - Summary o
Revenue Recognition - Summary of Revenues Disaggregated Based on Major Type of Good or Service and by Reportable Operating Segment (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | $ 942.3 | $ 744.1 | $ 1,553 | $ 1,204.6 | |
Admissions Revenues | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | 478.4 | 381.9 | 789.4 | 617.7 | |
Concession Revenues | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | 373.4 | 286 | 609.2 | 459 | |
Screen Advertising, Screen Rental and Promotional Revenues | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | [1] | 38.2 | 32.7 | 69.3 | 59.5 |
Other Revenue | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | 52.3 | 43.5 | 85.1 | 68.4 | |
U.S. Operating Segment | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | [2] | 734.9 | 600.8 | 1,214 | 972.8 |
U.S. Operating Segment | Admissions Revenues | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | [2] | 373.4 | 309.7 | 618.1 | 501.5 |
U.S. Operating Segment | Concession Revenues | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | [2] | 296.3 | 234.6 | 483.1 | 375.7 |
U.S. Operating Segment | Screen Advertising, Screen Rental and Promotional Revenues | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | [1],[2] | 24.7 | 21.4 | 46.5 | 40.1 |
U.S. Operating Segment | Other Revenue | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | [2] | 40.5 | 35.1 | 66.3 | 55.5 |
International Operating Segment | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | 207.4 | 143.3 | 339 | 231.8 | |
International Operating Segment | Admissions Revenues | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | 105 | 72.2 | 171.3 | 116.2 | |
International Operating Segment | Concession Revenues | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | 77.1 | 51.4 | 126.1 | 83.3 | |
International Operating Segment | Screen Advertising, Screen Rental and Promotional Revenues | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | [1] | 13.5 | 11.3 | 22.8 | 19.4 |
International Operating Segment | Other Revenue | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | $ 11.8 | $ 8.4 | $ 18.8 | $ 12.9 | |
[1] Amount includes amortization of NCM screen advertising advances. See S creen Advertising Advances and Other Deferred Revenue below. U.S. segment revenue excludes intercompany transactions with the international operating segment. See Note 16 for the amount of intercompany eliminations for the periods presented. |
Revenue Recognition - Summary_2
Revenue Recognition - Summary of Revenues Disaggregated Based on Timing of Revenue Recognition (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | $ 942.3 | $ 744.1 | $ 1,553 | $ 1,204.6 | |
Goods and Services Transferred at a Point in Time | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | 907.5 | 703.6 | 1,474.5 | 1,130.5 | |
Goods and Services Transferred Over Time | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | [1] | 34.8 | 40.5 | 78.5 | 74.1 |
U.S. Operating Segment | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | [2] | 734.9 | 600.8 | 1,214 | 972.8 |
U.S. Operating Segment | Goods and Services Transferred at a Point in Time | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | [3] | 714.7 | 573.8 | 1,162.5 | 922.1 |
U.S. Operating Segment | Goods and Services Transferred Over Time | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | [1],[3] | 20.2 | 27 | 51.5 | 50.7 |
International Operating Segment | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | 207.4 | 143.3 | 339 | 231.8 | |
International Operating Segment | Goods and Services Transferred at a Point in Time | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | 192.8 | 129.8 | 312 | 208.4 | |
International Operating Segment | Goods and Services Transferred Over Time | |||||
Disaggregation of Revenue [Line Items] | |||||
Total revenue | [1] | $ 14.6 | $ 13.5 | $ 27 | $ 23.4 |
[1] Amount includes amortization of NCM screen advertising advances. See Screen Advertising Advances and Other Deferred Revenue below. U.S. segment revenue excludes intercompany transactions with the international operating segment. See Note 16 for the amount of intercompany eliminations for the periods presented. U.S. segment revenue excludes intercompany transactions with the international operating segment. See Note 16 for the amount of intercompany eliminations for the periods presented. |
Revenue Recognition - Changes i
Revenue Recognition - Changes in Advances and Deferred Revenues (Detail) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 USD ($) | ||
Change in Contract with Customer Liability [Line Items] | ||
Amounts recognized as accounts receivable | $ 10.4 | |
N C M Screen Advertising Advances | ||
Change in Contract with Customer Liability [Line Items] | ||
Balance at January 1, 2023 | 338.2 | [1] |
Amounts recognized as accounts receivable | 0 | [1] |
Cash received from customers in advance | 0 | [1] |
Interest accrued related to significant financing component | 11.4 | [1] |
Revenue recognized during period | (16.2) | [1] |
Foreign currency translation adjustments | 0 | [1] |
Balance at March 31, 2023 | 333.4 | [1] |
Other Deferred Revenues | ||
Change in Contract with Customer Liability [Line Items] | ||
Balance at January 1, 2023 | 194.9 | [2] |
Amounts recognized as accounts receivable | 0.8 | [2] |
Cash received from customers in advance | 143.8 | [2] |
Interest accrued related to significant financing component | 0 | [2] |
Revenue recognized during period | (145.6) | [2] |
Foreign currency translation adjustments | (0.6) | [2] |
Balance at March 31, 2023 | $ 193.3 | [2] |
[1] See Note 8 for the maturity of NCM screen advertising advances as of June 30, 2023 . Includes liabilities associated with outstanding gift cards and discount ticket vouchers, points or rebates outstanding under the Company’s loyalty and membership programs and revenue not yet recognized for screen advertising and other promotional activities. Amounts are classified as accounts payable and accrued expenses or other long-term liabilities on the condensed consolidated balance sheet. |
Revenue Recognition - Aggregate
Revenue Recognition - Aggregate Amount of Transaction Price Allocated To Performance Obligation That Are Unsatisfied And Expected To Be Recognized (Details) - Other Deferred Revenues $ in Millions | Jun. 30, 2023 USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation | $ 193.3 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, expected timing of satisfaction, period | 1 year |
Remaining performance obligation | $ 170.9 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, expected timing of satisfaction, period | 1 year |
Remaining performance obligation | $ 22.4 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, expected timing of satisfaction, period | |
Remaining performance obligation | $ 0 |
Revenue Recognition - Aggrega_2
Revenue Recognition - Aggregate Amount of Transaction Price Allocated To Performance Obligation That Are Unsatisfied And Expected To Be Recognized (Details1) $ in Millions | Jun. 30, 2023 USD ($) |
Other Deferred Revenues | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation | $ 193.3 |
Earnings (Loss) Per Share - Com
Earnings (Loss) Per Share - Computations of Basic and Diluted Loss Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Earnings Per Share Disclosure [Line Items] | |||||
Net income (loss) attributable to Cinemark Holdings, Inc. | $ 119.1 | $ (73.4) | $ 116 | $ (147.4) | |
(Income) loss allocated to participating share-based awards | [1] | (2.3) | 1.4 | (1.9) | 2.5 |
Basic net income (loss) attributable to common stockholders | 116.8 | (72) | 114.1 | (144.9) | |
Add: Interest expense on convertible notes, net of tax | [2] | 4.6 | 0 | 9.8 | 0 |
Diluted net income (loss) attributable to common stockholders | $ 121.4 | $ (72) | $ 123.9 | $ (144.9) | |
Basic weighted average shares outstanding | 119,100 | 118,200 | 118,900 | 118,000 | |
Common equivalent shares for restricted stock units | [3] | 600 | 0 | 600 | 0 |
Common equivalent shares for convertible notes | [2] | 32,000 | 0 | 32,000 | 0 |
Common equivalent shares for warrants | [4] | 0 | 0 | 0 | 0 |
Diluted weighted average shares outstanding | 151,700 | 118,200 | 151,500 | 118,000 | |
Basic earnings (loss) per share attributable to common stockholders | $ 0.98 | $ (0.61) | $ 0.96 | $ (1.23) | |
Diluted earnings (loss) per share attributable to common stockholders | $ 0.80 | $ (0.61) | $ 0.82 | $ (1.23) | |
Restricted Stock Units (RSUs) | |||||
Earnings Per Share Disclosure [Line Items] | |||||
Common equivalent shares for restricted stock units | 250 | 280 | |||
[1] For the three months ended June 30, 2023 and 2022, a weighted average of approximately 2.40 shares and 2.27 shares of restricted stock, respectively, were considered participating securities. For the six months ended June 30, 2023 and 2022, a weighted average of approximately 2.03 shares and 2.03 shares of restricted stock, respectively, were considered participating securities For the three and six months ended June 30, 2022 diluted loss per share excludes the conversion of the 4.50 % Convertible Senior Notes into 32.0 shares of common stock, as they would be anti-dilutive. See further discussion below. For the three months ended June 30, 2022, 0.25 common equivalent shares for restricted stock units, respectively, were excluded because they were anti-dilutive. For the six months ended June 30, 2022, approximately 0.28 common equivalent shares for restricted stock units, respectively, were excluded because they were anti-dilutive. For all periods presented, diluted earnings (loss) per share excludes the warrants, as they would be anti-dilutive. |
Earnings (Loss) Per Share - C_2
Earnings (Loss) Per Share - Computations of Basic and Diluted Loss Per Share (Parenthetical) (Detail) - shares shares in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Earnings Per Share Disclosure [Line Items] | |||||
Weighted average shares of participating restricted stock | 2,400 | 2,270 | 2,030 | 2,030 | |
Common equivalent shares for restricted stock units | [1] | 600 | 0 | 600 | 0 |
Debt instrument, interest rate, stated percentage | 4.50% | 4.50% | |||
4.50 % Convertible Senior Notes | |||||
Earnings Per Share Disclosure [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 4.50% | 4.50% | |||
Anti dilution additional common shares issued | 32,000 | 32,000 | |||
Restricted Stock Units (RSUs) | |||||
Earnings Per Share Disclosure [Line Items] | |||||
Common equivalent shares for restricted stock units | 250 | 280 | |||
[1] For the three months ended June 30, 2022, 0.25 common equivalent shares for restricted stock units, respectively, were excluded because they were anti-dilutive. For the six months ended June 30, 2022, approximately 0.28 common equivalent shares for restricted stock units, respectively, were excluded because they were anti-dilutive. |
Earnings (Loss) Per Share - Add
Earnings (Loss) Per Share - Additional Information (Detail) shares in Millions | 6 Months Ended | |
Jun. 30, 2023 d $ / shares shares | Jun. 30, 2022 shares | |
Earnings Per Share Disclosure [Line Items] | ||
Interest rate | 4.50% | |
4.50 % Convertible Senior Notes | ||
Earnings Per Share Disclosure [Line Items] | ||
Interest rate | 4.50% | |
Common stock, strike price | $ 18.66 | |
Debt instrument convertible conversion, percentage | 130% | |
Debt instrument, convertible, associated derivative transactions, description | The if-converted value of the 4.50% Convertible Senior Notes, based on the weighted average closing price of Holdings common stock for the second quarter of 2023, was $13.5 less than the aggregate outstanding principal value of the notes as of June 30, 2023. | |
Exercise price | $ 14.35 | |
Common shares issued | shares | 32 | |
Stock option granted | shares | 32 | |
Stock option granted, price per share | $ 14.35 | |
Common stock, convertible, conversion price, increase | $ 22.08 | |
Debt instrument, convertible, threshold trading days | d | 30 | |
4.50 % Convertible Senior Notes | Minimum | ||
Earnings Per Share Disclosure [Line Items] | ||
Common stock, convertible, conversion price, increase | $ 18.66 | |
Debt instrument, convertible, threshold trading days | d | 20 | |
4.50 % Convertible Senior Notes | Warrant | ||
Earnings Per Share Disclosure [Line Items] | ||
Stock option granted | shares | 32 | |
Stock option granted, price per share | $ 22.08 |
Theatre Assets Held for Sale -
Theatre Assets Held for Sale - Schedule of Theatre Assets Held for Sale (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
Long-Lived Assets Held-for-sale [Line Items] | |||
Goodwill | [1] | $ 1,255.9 | $ 1,250.9 |
Theatre Assets Held for Sale [Member] | |||
Long-Lived Assets Held-for-sale [Line Items] | |||
Theatre property and equipment, net | 5.5 | 5.4 | |
Operating lease right-of-use assets, net | 3.4 | 2.9 | |
Goodwill | 4.2 | 4.2 | |
Total assets | 17.1 | 15.3 | |
Total liabilities | $ 8.9 | $ 8.5 | |
[1] Balances are presented net of accumulated impairment losses of $ 214.0 for the U.S. operating segment and $ 43.8 for the international operating segment. See discussion of the qualitative impairment analysis performed by the Company as of June 30, 2023 at Note 12. |
Theatre Assets Held for Sale _2
Theatre Assets Held for Sale - Summarizes Total Revenue And Operating Income For The Ecuador subsidiary (Details) - Theatre Assets Held for Sale [Member] - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2023 | Jun. 30, 2023 | |
Long-Lived Assets Held-for-sale [Line Items] | ||
Revenues | $ 6.1 | $ 9.6 |
Operating income | $ 1.6 | $ 1.5 |
Theatre Assets Held for Sale (A
Theatre Assets Held for Sale (Additional Information) (Details) - Theatre Assets Held For Sale [Member] - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2023 | Jun. 30, 2023 | |
Long-Lived Assets Held-for-sale [Line Items] | ||
Revenues | $ 6.1 | $ 9.6 |
Operating income (loss) | $ 1.6 | $ 1.5 |
Long Term Debt - Additional Inf
Long Term Debt - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||
May 26, 2023 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | May 01, 2023 | Dec. 31, 2022 | |
Debt Instrument [Line Items] | |||||||
Legal and other fees | $ 0.5 | $ 0.5 | |||||
Multiple consolidated interest expense under sub condition two of condition two under dividend restriction | 1.75 | ||||||
Interest rate | 4.50% | 4.50% | |||||
Restricted payments available amount | $ 262.5 | $ 262.5 | |||||
Minimum | |||||||
Debt Instrument [Line Items] | |||||||
Net Total Leverage Ratio | 1% | ||||||
Net Total Leverage Ratio Maximum | 1% | ||||||
Net Total Leverage Ratio Minimum | 1% | ||||||
Maximum | |||||||
Debt Instrument [Line Items] | |||||||
Net Total Leverage Ratio | 2.75% | ||||||
Net Total Leverage Ratio Maximum | 5% | ||||||
Net Total Leverage Ratio Minimum | 2.75% | ||||||
5.875% Senior Notes | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate | 5.875% | ||||||
5.250% Senior Notes | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate | 5.25% | ||||||
4.50 % Convertible Senior Notes | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate | 4.50% | 4.50% | |||||
8.750 % Senior Notes | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate principal amount of add-on to Senior Notes | $ 100 | ||||||
Debt instrument accrued interest | $ 106.6 | ||||||
Debt total | $ 3.4 | ||||||
Write off of Deferred Debt Issuance Cost | 1.2 | ||||||
Premium paid on the redemption of bond | 2.2 | ||||||
Interest rate | 8.75% | 8.75% | |||||
Remaining principal amount of optional redemption | 150 | ||||||
unamortized debt issuance costs | $ 1.2 | ||||||
Amended Senior Secured Credit Facility [Member] | Minimum | |||||||
Debt Instrument [Line Items] | |||||||
Senior Secured Leverage Ratio Required | 1% | ||||||
Amended Senior Secured Credit Facility [Member] | Maximum | |||||||
Debt Instrument [Line Items] | |||||||
Senior Secured Leverage Ratio Required | 3.50% | ||||||
Revolving Credit Facility [Member] | Amended Senior Secured Credit Facility [Member] | Minimum | |||||||
Debt Instrument [Line Items] | |||||||
Senior Secured Leverage Ratio Required | 1% | ||||||
Revolving Credit Facility [Member] | Amended Senior Secured Credit Facility [Member] | Maximum | |||||||
Debt Instrument [Line Items] | |||||||
Senior Secured Leverage Ratio Required | 0.60% | ||||||
CUSA [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Repayments of long-term debt | $ (6.4) | $ (6.9) | |||||
Proceeds, net from long term borrowing | $ 632.7 | ||||||
Average interest rate on outstanding borrowings | 6.80% | 6.80% | |||||
Debt issuance costs | $ 30.7 | $ 30.7 | $ 22.9 | ||||
Debt instrument, maturity date | May 24, 2030 | ||||||
Loss on debt extinguishment and refinancing | 10.7 | $ 0 | $ 10.7 | $ 0 | |||
Fair value of long-term debt | 1,868.2 | $ 1,868.2 | $ 1,771.3 | ||||
CUSA [Member] | Minimum | |||||||
Debt Instrument [Line Items] | |||||||
Percentage of variable margin rate added to Eurodollar rate | 0.20% | ||||||
CUSA [Member] | Maximum | |||||||
Debt Instrument [Line Items] | |||||||
Percentage of variable margin rate added to Eurodollar rate | 0.375% | ||||||
CUSA [Member] | Senior Secured Credit Facility | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate principal amount of add-on to Senior Notes | $ 775 | ||||||
CUSA [Member] | Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Revolving credit line, maturity date | May 26, 2028 | ||||||
Term Loan Credit facility | |||||||
Debt Instrument [Line Items] | |||||||
PercentageOfVariableRateAddedToSecuredOvernightFinancingRate | 0.50% | ||||||
Percentage of variable margin rate added to Eurodollar rate | 2.75% | ||||||
Term Loan Credit facility | Minimum | |||||||
Debt Instrument [Line Items] | |||||||
Total leverage ratio, percentage | 1% | ||||||
Term Loan Credit facility | Maximum | |||||||
Debt Instrument [Line Items] | |||||||
Net Total Leverage Ratio | 2.80% | ||||||
Term Loan Credit facility | Senior Secured Credit Facility | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument description of interest | SOFR for a period of 1, 3, or 6 months (depending upon the Interest Period (as defined in the Credit Agreement) chosen by CUSA) (the "Term SOFR Rate"), subject to a floor of 0.50% per annum, plus an applicable margin of 3.75% per annum, | ||||||
Term Loan Credit facility | 5.250% Senior Notes | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate | 5.25% | ||||||
Term Loan Credit facility | Amended Senior Secured Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Percentage of variable margin rate added to Eurodollar rate | 3.75% | ||||||
Percentage Of Variable Rate Added To Federal Reserve Bank Effective Rate | 1% | ||||||
Percentage Of Variable Rate Added To Alternate Base Rate | 1% | ||||||
Term Loan Credit facility | CUSA [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Original issue discount | $ 9.8 | ||||||
Debt issuance costs capitalized | 7.5 | 7.5 | |||||
Lender fees paid on debt extinguishment | 2.1 | 2.1 | |||||
Unamortized debt issuance costs | 4.7 | 4.7 | |||||
Repayments of long-term debt | (628.3) | ||||||
Debt issuance costs | 10.1 | $ 10.1 | |||||
Term Loan Credit facility | CUSA [Member] | Senior Secured Credit Facility | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate principal amount of add-on to Senior Notes | $ 650 | ||||||
Quarterly principal payments due | $ 1.6 | ||||||
Last quarterly payment date | Mar. 31, 2030 | ||||||
Final principal payment due date | May 24, 2030 | ||||||
Revolving Credit Line | |||||||
Debt Instrument [Line Items] | |||||||
Percentage Of Variable Rate Added To Alternate Base Rate | 1% | ||||||
Revolving Credit Line | Amended Senior Secured Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Amount outstanding under the revolving credit line | 0 | $ 0 | |||||
Long-term Line of Credit, Total | $ 0 | $ 0 | |||||
Percentage of variable margin rate added to Eurodollar rate | 3.50% | ||||||
Percentage Of Variable Rate Added To Alternate Base Rate | 1.50% | ||||||
Revolving Credit Line | Amended Senior Secured Credit Facility [Member] | Minimum | |||||||
Debt Instrument [Line Items] | |||||||
PercentageOfVariableRateAddedToSecuredOvernightFinancingRate | 3% | ||||||
Percentage Of Variable Rate Added To Alternate Base Rate | 2% | ||||||
Revolving Credit Line | Amended Senior Secured Credit Facility [Member] | Maximum | |||||||
Debt Instrument [Line Items] | |||||||
PercentageOfVariableRateAddedToSecuredOvernightFinancingRate | 3.50% | ||||||
Percentage Of Variable Rate Added To Alternate Base Rate | 2.50% | ||||||
Revolving Credit Line | CUSA [Member] | Senior Secured Credit Facility | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate principal amount of add-on to Senior Notes | $ 125 |
Long Term Debt - Components of
Long Term Debt - Components of Long-Term Debt (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
CNK [Member] | |||
Debt Instrument [Line Items] | |||
Cinemark USA, Inc. term loan due 2030 | $ 648.4 | $ 626.5 | |
Other | 8 | 10.1 | |
Total carrying value of long-term debt | [1] | 2,436.4 | 2,516.6 |
Less current portion | 8.1 | 10.7 | |
Less: Debt discounts and debt issuance costs, net of accumulated amortization | [1] | 38 | 31.9 |
Long-term debt, less current portion | [1] | 2,390.3 | 2,474 |
CNK [Member] | 4.500% convertible senior notes due 2025 | |||
Debt Instrument [Line Items] | |||
Senior notes | 460 | 460 | |
CNK [Member] | 8.750% senior secured notes due 2025 | |||
Debt Instrument [Line Items] | |||
Senior notes | 150 | 250 | |
CNK [Member] | 5.875% senior notes due 2026 | |||
Debt Instrument [Line Items] | |||
Senior notes | 405 | 405 | |
CNK [Member] | 5.250% senior notes due 2028 | |||
Debt Instrument [Line Items] | |||
Senior notes | 765 | 765 | |
CUSA [Member] | |||
Debt Instrument [Line Items] | |||
Total carrying value of long-term debt | 1,976.4 | 2,056.6 | |
Less current portion | 8.1 | 10.7 | |
Less: Debt discounts and debt issuance costs, net of accumulated amortization | 30.7 | 22.9 | |
Long-term debt, less current portion | $ 1,937.6 | $ 2,023 | |
[1] The only differences between the long-term debt for Holdings, as presented above, and the long-term debt for CUSA are the $ 460.0 4.50 % Convertible Senior Notes due 2025 and the related debt issuance costs. The following table sets forth, as of the periods indicated, the total long-term debt carrying value, current portion of long-term debt and debt issuance costs, net of amortization, for CUSA. |
Long-Term Debt - Components of
Long-Term Debt - Components of Long-Term Debt (Parenthetical) (Details) - Parent Company [Member] $ in Millions | Jun. 30, 2023 USD ($) |
Debt Instrument [Line Items] | |
Aggregate principal amount | $ 460 |
Convertible senior notes percentage | 4.50% |
Long Term Debt - Summary of Com
Long Term Debt - Summary of Company's Interest Rate Swap Agreements Designated as Cash Flow Hedges (Detail) - Designated as Hedging Instrument - Cash Flow Hedging $ in Millions | 6 Months Ended | |
Jun. 30, 2023 USD ($) | ||
Debt Instrument [Line Items] | ||
Estimated Fair Value | $ 19.2 | [1] |
Interest Rate Swap Agreement 1 | ||
Debt Instrument [Line Items] | ||
Notional Amount | $ 137.5 | |
Effective Date | Dec. 31, 2018 | |
Pay Rate | 2.08% | |
Receive Rate | 1-Month Term SOFR | |
Expiration Date | Dec. 31, 2024 | |
Estimated Fair Value | $ 5.9 | [1] |
Interest Rate Swap Agreement 2 | ||
Debt Instrument [Line Items] | ||
Notional Amount | $ 175 | |
Effective Date | Dec. 31, 2018 | |
Pay Rate | 2.09% | |
Receive Rate | 1-Month Term SOFR | |
Expiration Date | Dec. 31, 2024 | |
Estimated Fair Value | $ 7.5 | [1] |
Interest Rate Swap Agreement 3 | ||
Debt Instrument [Line Items] | ||
Notional Amount | $ 137.5 | |
Effective Date | Dec. 31, 2018 | |
Pay Rate | 2.15% | |
Receive Rate | 1-Month Term SOFR | |
Expiration Date | Dec. 31, 2024 | |
Estimated Fair Value | $ 5.8 | [1] |
[1] Approximately $ 14.3 of the total is included in prepaid expenses and other and $ 4.9 is included in deferred charges and other assets, net on the condensed consolidated balance sheet as of June 30, 2023 . |
Long Term Debt - Summary of C_2
Long Term Debt - Summary of Company's Interest Rate Swap Agreements Designated as Cash Flow Hedges (Parenthetical) (Detail) $ in Millions | Jun. 30, 2023 USD ($) |
Accounts Payable and Accrued Expenses | |
Debt Instrument [Line Items] | |
Estimated Fair Value | $ 14.3 |
Other Long-term Liabilities | |
Debt Instrument [Line Items] | |
Estimated Fair Value | $ 4.9 |
Long Term Debt - Schedule of ca
Long Term Debt - Schedule of carrying values and fair values of debt instruments (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
CNK [Member] | |||
Debt Instrument [Line Items] | |||
Fair value | [1] | $ 2,496.8 | $ 2,210.5 |
CUSA [Member] | |||
Debt Instrument [Line Items] | |||
Fair value | $ 1,868.2 | $ 1,771.3 | |
[1] The fair value of the 4.50 % convertible senior notes was $ 628.6 and $ 439.2 as of June 30, 2023 and December 31, 2022 , respectively. |
Long Term Debt - Schedule of _2
Long Term Debt - Schedule of carrying values and fair values of debt instruments (Parenthical) (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Interest rate | 4.50% | |
Convertible Senior Notes | ||
Debt Instrument [Line Items] | ||
Fair value of long-term debt | $ 628.6 | $ 439.2 |
Investment in NCMI_NCM - Additi
Investment in NCMI/NCM - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Mar. 20, 2023 | Feb. 17, 2023 | Jun. 30, 2023 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Schedule Of Equity Method Investments [Line Items] | ||||||
Number of additional common units of NCM receive under common unit adjustment agreement | 4,800,000 | |||||
Estimated fair value of additional common units received | $ 0 | $ 1.3 | ||||
Company Recorded AnImpairment Charge | 0.7 | |||||
NCM | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
Recognized incremental screen rental revenue and offsetting interest expense | 11.4 | 11.7 | ||||
Amortization of screen advertising advances | $ 16.2 | $ 16.2 | ||||
NCM | Minimum | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
Percentage of incremental borrowing rates | 4.40% | |||||
NCM | Maximum | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
Percentage of incremental borrowing rates | 8.30% | |||||
Investment In NCM | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
Common share units in Ncm in exchange | 1,700,000 | 43,700,000 | ||||
Number of Ncm to redeem shares | 42,000,000 | |||||
Deferred revenue or NCM screen advertising advances extended term | 2041-02 | |||||
Investment In NCMI | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
New issued shares of NCMI | 1,700,000 | 42,000,000 | ||||
Unrealized gain | $ 9.2 | $ 9.2 | [1] | |||
[1] See Investment in National CineMedia below. |
Investment in NCMI_NCM - Summar
Investment in NCMI/NCM - Summary of Activity with NCM Included in Company's Consolidated Financial Statements (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |||
Schedule Of Equity Method Investments [Line Items] | ||||||
Impairment of long-lived and other assets | $ 9.4 | $ 92.3 | $ 10.1 | $ 92.3 | ||
Investment In NCMI | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
Beginning Balance | 9.6 | |||||
Equity in income (loss) of affiliates | [1] | (3.2) | ||||
Redemption of common units of NCM for common stock of NCMI | [2] | 0 | ||||
Unrealized gain on investment in NCMI | 9.2 | 9.2 | [2] | |||
Impairment of long-lived and other assets | (0.7) | |||||
Ending Balance | 14.9 | 14.9 | ||||
N C M Screen Advertising Advances | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
Beginning Balance | (338.2) | |||||
Interest accrued related to significant financing component | [3] | (11.4) | ||||
Amortization of screen advertising advances | 16.2 | |||||
Ending Balance | (333.4) | (333.4) | ||||
Equity in Loss | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
Beginning Balance | 0 | |||||
Equity in income (loss) of affiliates | [1] | (3.2) | ||||
Ending Balance | (3.2) | (3.2) | ||||
Other Revenue | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
Beginning Balance | [4] | 0 | ||||
Screen rental revenue earned under ESA | [4],[5] | (10.4) | ||||
Amortization of screen advertising advances | [4] | (16.2) | ||||
Ending Balance | [4] | (26.6) | (26.6) | |||
Interest Expense - NCM | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
Beginning Balance | [4] | 0 | ||||
Interest accrued related to significant financing component | 11.4 | |||||
Ending Balance | $ 11.4 | $ 11.4 | ||||
[1] Equity in loss is recorded one month in arrears. See Investment in National CineMedia below for discussion of accounting for investment in NCMI. See Investment in National CineMedia below. See Note 8 for the maturity of NCM screen advertising advances as of June 30, 2023 . The Company had a receivable from NCM of $ 10.4 as of June 30, 2023 Amounts include the per patron and per digital screen theatre access fees, net of amounts due to NCM for on-screen advertising time provided to the Company's beverage concessionaire of approximately $ 4.5 . |
Investment in NCMI_NCM - Summ_2
Investment in NCMI/NCM - Summary of Activity with NCM Included in Company's Consolidated Financial Statements (Parenthetical) (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Equity Method Investments and Joint Ventures [Abstract] | |
Company's beverage concessionaire advertising costs | $ 4.5 |
Amounts recognized as accounts receivable | $ 10.4 |
Investment in NCMI_NCM - Summ_3
Investment in NCMI/NCM - Summary of Recognition of Revenue Related To Deferred Revenue (Details) - N C M Screen Advertising Advances $ in Millions | Jun. 30, 2023 USD ($) | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Remaining performance obligation | $ 333.4 | [1] |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, remaining performance obligation, expected timing of satisfaction, period | 1 year | |
Remaining performance obligation | $ 10.1 | [1] |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, remaining performance obligation, expected timing of satisfaction, period | 1 year | |
Remaining performance obligation | $ 10.8 | [1] |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, remaining performance obligation, expected timing of satisfaction, period | 1 year | |
Remaining performance obligation | $ 11.6 | [1] |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-07-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, remaining performance obligation, expected timing of satisfaction, period | 1 year | |
Remaining performance obligation | $ 12.4 | [1] |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-07-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, remaining performance obligation, expected timing of satisfaction, period | 1 year | |
Remaining performance obligation | $ 13.3 | [1] |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2028-07-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, remaining performance obligation, expected timing of satisfaction, period | ||
Remaining performance obligation | $ 275.2 | [1] |
[1] Amounts are net of the estimated interest to be accrued for the periods presented. See discussion of significant financing component below. |
Investments in Affiliates - Sum
Investments in Affiliates - Summary of Activity for Each of Company's Investments in affiliates (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Schedule Of Equity Method Investments [Line Items] | |||||
Cash distributions received | [1] | $ (1.6) | $ (0.9) | $ (1.6) | $ (1.5) |
Other Affiliates | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Investments, beginning balance | 22.6 | ||||
Cash distributions received | (1.6) | ||||
Equity income | 2.9 | ||||
Investments, ending balance | 23.9 | 23.9 | |||
Other Affiliates | AC JV, LLC | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Investments, beginning balance | 4.2 | ||||
Cash distributions received | (1.6) | ||||
Equity income | 1.7 | ||||
Investments, ending balance | 4.3 | 4.3 | |||
Other Affiliates | Digital Cinema Distribution Coalition | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Investments, beginning balance | 1.8 | ||||
Cash distributions received | 0 | ||||
Equity income | 0.2 | ||||
Investments, ending balance | 2 | 2 | |||
Other Affiliates | FE Concepts, LLC | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Investments, beginning balance | 16.5 | ||||
Cash distributions received | 0 | ||||
Equity income | 1 | ||||
Investments, ending balance | 17.5 | 17.5 | |||
Other Affiliates | Other Investments | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Investments, beginning balance | 0.1 | ||||
Cash distributions received | 0 | ||||
Equity income | 0 | ||||
Investments, ending balance | $ 0.1 | $ 0.1 | |||
[1] Reflects cash distributions received from equity investees that were recorded as a reduction of the respective investment balances. These distributions are reported entirely within the U.S. operating segment. |
Investments in Affiliates - S_2
Investments in Affiliates - Summary of Transactions with Each of the Company's Other Investees (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
AC JV, LLC | Film rentals and advertising | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Event fees paid | [1] | $ 4.4 | $ 2.7 | $ 7.4 | $ 4.5 |
Digital Cinema Distribution Coalition | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Content delivery fees paid | [1] | $ 0.2 | $ 0.1 | $ 0.3 | $ 0.3 |
[1] Included in film rentals and advertising costs on the condensed consolidated statements of income (loss). |
Treasury Stock and Share Base_3
Treasury Stock and Share Based Awards - Summary of Treasury Stock Activity (Detail) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 USD ($) shares | ||
Treasury Stock, Shares [Abstract] | ||
Beginning Balance, Shares | shares | 5,680,000 | |
Restricted stock withholdings | shares | 190,000 | [1] |
Restricted stock forfeitures | shares | 60,000 | [2] |
Ending Balance, Shares | shares | 5,930,000 | |
Beginning Balance, Cost | $ | $ 95.4 | |
Restricted stock withholdings | $ | 2.4 | [1] |
Restricted stock forfeitures | $ | 0 | [2] |
Ending Balance, Cost | $ | $ 97.8 | |
[1] Holdings withheld shares as a result of the election by certain employees to satisfy their tax liabilities upon vesting in restricted stock and performance stock units. Holdings determined the number of shares to be withheld based upon market values of the common stock of Holdings on the vest dates, which ranged from $ 11.16 to $ 18.36 per share. Holdings repurchased forfeited restricted shares at a cost of $0.001 per share in accordance with its 2017 Omnibus Plan. |
Treasury Stock and Share Base_4
Treasury Stock and Share Based Awards - Summary of Treasury Stock Activity (Parenthetical) (Detail) | 6 Months Ended |
Jun. 30, 2023 $ / shares | |
Minimum | |
Schedule of Treasury Stock [Line Items] | |
Market Value of Restricted Shares | $ 11.16 |
Maximum | |
Schedule of Treasury Stock [Line Items] | |
Market Value of Restricted Shares | $ 18.36 |
Treasury Stock and Share Base_5
Treasury Stock and Share Based Awards - Additional Information (Detail) $ / shares in Units, shares in Thousands, $ in Thousands | 6 Months Ended |
Jun. 30, 2023 USD ($) $ / shares shares | |
Stockholders Equity Note [Line Items] | |
Market value of common stock on the dates of grant | $ 12.03 |
Restricted Stock (Member) | |
Stockholders Equity Note [Line Items] | |
Number of restricted shares granted | shares | 1,370 |
Restricted Stock (Member) | Minimum | |
Stockholders Equity Note [Line Items] | |
Market value of common stock on the dates of grant | $ 11.19 |
Forfeiture rate for restricted stock awards | 0% |
Award vesting period for restricted stock | 1 year |
Restricted Stock (Member) | Maximum | |
Stockholders Equity Note [Line Items] | |
Market value of common stock on the dates of grant | $ 17.14 |
Forfeiture rate for restricted stock awards | 10% |
Award vesting period for restricted stock | 3 years |
Performance Shares [Member] | |
Stockholders Equity Note [Line Items] | |
Market value of common stock on the dates of grant | $ 11.68 |
Unrecognized compensation expense | $ | $ 17,100 |
Remaining compensation expense recognition period (in years) | 2 years 2 months 12 days |
Number of hypothetical shares of common stock at IRR levels | shares | 1,700 |
Number of hypothetical shares of common stock | shares | 1,500 |
Treasury Stock and Share Base_6
Treasury Stock and Share Based Awards - Summary of the performance metrics and measurement period (Details) - PSU | Jun. 30, 2023 | |
Maximum Performance Target Level [Member] | ||
Equity, Class of Treasury Stock [Line Items] | ||
Performance metrics and measurement percentage | 200% | |
Percentage of maximum performance stock units that vest if performance metrics meet the minimum level employees [Member] | ||
Equity, Class of Treasury Stock [Line Items] | ||
Performance metrics and measurement percentage | 25% | [1] |
Percentage of maximum performance stock units that vest if performance metrics for one-year period are at target [Member] | ||
Equity, Class of Treasury Stock [Line Items] | ||
Performance metrics and measurement percentage | 50% | [1] |
Percentage of maximum performance stock units that vest if performance metrics are at the maximum [Member] | ||
Equity, Class of Treasury Stock [Line Items] | ||
Performance metrics and measurement percentage | 100% | [1] |
Assumed forfeiture rate for performance stock unit awards [Member] | ||
Equity, Class of Treasury Stock [Line Items] | ||
Performance metrics and measurement percentage | 5% | |
[1] Number of PSUs that vest based on maximum amount of PSUs that could vest of 1.47 |
Treasury Stock and Share Base_7
Treasury Stock and Share Based Awards - Summary of performance metrics and measurement period (Parenthetical) (Details) shares in Thousands | 6 Months Ended |
Jun. 30, 2023 shares | |
PSU | |
Equity, Class of Treasury Stock [Line Items] | |
Number of vested shares | 1,470 |
Treasury Stock and Share Base_8
Treasury Stock and Share Based Awards - Summary of Restricted Stock Activity (Detail) shares in Thousands | 6 Months Ended |
Jun. 30, 2023 $ / shares shares | |
Weighted Average Grant Date Fair Value | |
Weighted Average Grant Date Fair Value Outstanding, Beginning | $ / shares | $ 20.64 |
Weighted Average Grant Date Fair Value, Granted | $ / shares | 12.03 |
Weighted Average Grant Date Fair Value, Vested | $ / shares | 47.33 |
Weighted Average Grant Date Fair Value, Forfeited | $ / shares | 16.27 |
Weighted Average Grant Date Fair Value Outstanding, Ending | $ / shares | $ 15.85 |
Restricted Stock (Member) | |
Shares of Restricted Stock | |
Shares of Restricted Stock, Beginning balance | 1,850 |
Shares of Restricted Stock, Granted | 1,370 |
Shares of Restricted Stock, Vested | (700) |
Shares of Restricted Stock, Forfeited | (70) |
Shares of Restricted Stock, Ending balance | 2,450 |
Shares of Restricted Stock, Unvested restricted stock | 2,450 |
Treasury Stock and Share Base_9
Treasury Stock and Share Based Awards - Summary of Restricted Stock and Restricted Stock Unit Award Activity (Detail) - USD ($) shares in Thousands, $ in Millions | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | ||
Restricted Stock (Member) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of restricted stock units that vested during the period | 700 | ||
Fair value of restricted stock units that vested during the period | $ 9.2 | $ 7.8 | |
Compensation expense recognized during the period | 8.3 | 8.5 | |
Income tax (expense) benefit related to performance stock units | 1 | $ 1.1 | |
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Estimated remaining expense | [1] | $ 27 | |
Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of restricted stock units that vested during the period | 100 | 100 | |
Fair value of restricted stock units that vested during the period | $ 1.4 | $ 1.7 | |
Accumulated dividends paid upon vesting of restricted stock units | 0.2 | 0.3 | |
Compensation expense recognized during the period | 4.2 | 2.6 | |
Income tax (expense) benefit related to performance stock units | (0.2) | 0.1 | |
Cinemark Holdings Inc [Member] | Restricted Stock (Member) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair value of restricted stock units that vested during the period | 1.3 | 0.6 | |
Compensation expense recognized during the period | 0.6 | 0.5 | |
Income tax (expense) benefit related to performance stock units | 0.3 | 0.1 | |
Cinemark Holdings Inc [Member] | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Estimated remaining expense | 1.3 | ||
Cinemark Partners Second [Member] | Restricted Stock (Member) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair value of restricted stock units that vested during the period | 7.9 | 7.2 | |
Compensation expense recognized during the period | 7.7 | 8 | |
Income tax (expense) benefit related to performance stock units | 0.7 | $ 1 | |
Cinemark Partners Second [Member] | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Estimated remaining expense | [1] | $ 25.7 | |
[1] The weighted average period over which this remaining compensation expense will be recognized by both Holdings and CUSA is approximately 2.0 years. |
Treasury Stock and Share Bas_10
Treasury Stock and Share Based Awards - Summary of Restricted Stock and Restricted Stock Unit Award Activity (Parenthetical) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Restricted Stock (Member) | ||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Compensation expense | $ 8.3 | $ 8.5 |
Performance Shares (Member) | ||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Compensation expense | $ 4.2 | 2.6 |
Cinemark Partners Second [Member] | Restricted Stock Units (RSUs) | ||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Weighted average period remaining | 2 years | |
Cinemark Partners Second [Member] | Restricted Stock (Member) | ||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Compensation expense | $ 7.7 | $ 8 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Net Summary of Goodwill (Detail) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 USD ($) | ||
Goodwill [Line Items] | ||
Beginning Balance | $ 1,250.9 | [1] |
Foreign currency translation adjustments | 5 | |
Ending Balance | 1,255.9 | [1] |
U.S. Operating Segment | ||
Goodwill [Line Items] | ||
Beginning Balance | 1,182.9 | [1] |
Foreign currency translation adjustments | 0 | |
Ending Balance | 1,182.9 | [1] |
International Operating Segment | ||
Goodwill [Line Items] | ||
Beginning Balance | 68 | [1] |
Foreign currency translation adjustments | 5 | |
Ending Balance | $ 73 | [1] |
[1] Balances are presented net of accumulated impairment losses of $ 214.0 for the U.S. operating segment and $ 43.8 for the international operating segment. See discussion of the qualitative impairment analysis performed by the Company as of June 30, 2023 at Note 12. |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Net Summary of Goodwill (Parenthetical) (Detail) $ in Millions | Jun. 30, 2023 USD ($) |
U.S. Operating Segment | |
Goodwill [Line Items] | |
Accumulated impairment losses | $ 214 |
International Operating Segment | |
Goodwill [Line Items] | |
Accumulated impairment losses | $ 43.8 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets - Net Intangible Assets (Detail) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 USD ($) | ||
Intangible Assets, Net (Excluding Goodwill) [Abstract] | ||
Intangible assets with finite lives, Beginning balance | $ 77.7 | |
Intangible assets with finite lives, Ending balance | 77.7 | |
Intangible assets with finite lives, Accumulated amortization, Beginning balance | (73.2) | |
Accumulated amortization | (1) | |
Intangible assets with finite lives, Accumulated amortization, Ending balance | (74.2) | |
Net intangible assets with finite lives, Beginning balance | 4.5 | |
Amortization, intangible assets | (1) | |
Net intangible assets with finite lives, Ending balance | 3.5 | |
Indefinite-lived Intangible Assets, Tradename and Other, Beginning Balance | 300.1 | |
Indefinite-Lived Intangible Assets Acquired | 0.1 | [1] |
Foreign Currency Translation Adjustments, Tradename and Other | 0.2 | [2] |
Indefinite-lived Intangible Assets, Tradename and Other, Ending Balance | 300.4 | |
Total intangible assets - net, Beginning balance | 304.6 | |
Additions, total intangible assets net | 0.1 | [1] |
Amortization, Total intangible assets net | (1) | |
Foreign Currency Translation Adjustments, Total intangible assets - net | 0.2 | [2] |
Total intangible assets - net, Ending balance | $ 303.9 | |
[1] (1) Amount represents licenses acquired to sell alcoholic beverages for certain theatres. (2) Includes foreign currency translation adjustments and the write-off of liquor licenses for closed theatres. |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets - Net Estimated Aggregate Future Amortization Expense for Intangible Assets (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Finite-Lived Intangible Assets, Net [Abstract] | ||
For the six months ended December 31, 2023 | $ 1 | |
For the twelve months ended December 31, 2024 | 2 | |
For the twelve months ended December 31, 2025 | 0.5 | |
Total | $ 3.5 | $ 4.5 |
Summary of Impairment Charges (
Summary of Impairment Charges (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Impaired Long-Lived Assets Held and Used [Line Items] | |||||
Total Impairment | $ 9.4 | $ 92.3 | $ 10.1 | $ 92.3 | |
U.S. Operating Segment | |||||
Impaired Long-Lived Assets Held and Used [Line Items] | |||||
Theatre properties | 3.9 | 2.5 | 3.9 | 2.5 | |
Theatre operating lease right-of-use assets | 3.4 | 2 | 3.4 | 2 | |
Total Impairment | 7.3 | 91.3 | 8 | 91.3 | |
U.S. Operating Segment | Investment In NCM | |||||
Impaired Long-Lived Assets Held and Used [Line Items] | |||||
Investment in NCM | [1] | 0 | 86.8 | 0.7 | 86.8 |
International Operating Segment | |||||
Impaired Long-Lived Assets Held and Used [Line Items] | |||||
Theatre properties | 0.6 | 0.7 | 0.6 | 0.7 | |
Theatre operating lease right-of-use assets | 1.5 | 0.3 | 1.5 | 0.3 | |
Total Impairment | $ 2.1 | $ 1 | $ 2.1 | $ 1 | |
[1] See discussion at Impairment of NCMI Investment in Note 8. |
Summary of Assets and Liabiliti
Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
Level 1 | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Investment in NCMI | [1] | $ 14.9 | |
Level 2 | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Investment in NCMI | [1] | 0 | |
Level 3 | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Investment in NCMI | [1] | 0 | |
Fair Value Measurements, Recurring | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Investment in NCMI | [1] | 14.9 | |
Interest rate swap assets | [2] | 19.2 | $ 20.4 |
Fair Value Measurements, Recurring | Level 1 | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Interest rate swap assets | [2] | 0 | 0 |
Fair Value Measurements, Recurring | Level 2 | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Interest rate swap assets | [2] | 19.2 | 20.4 |
Fair Value Measurements, Recurring | Level 3 | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Interest rate swap assets | [2] | $ 0 | $ 0 |
[1] See further discussion of investment in NCMI at Note 8. See further discussion of interest rate swaps at Note 7. |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Fair Value Disclosures [Abstract] | |
Fair value, asset transfers out of Level 3 | $ 0 |
Fair value, asset transfers into Level 3 | 0 |
Fair Value of Assets Transfers in or Out Level 1 to Level 2 | 0 |
Fair value of assets transfers in or out, level 2 to level 1 | $ 0 |
Foreign Currency Translation -
Foreign Currency Translation - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Financial Statement Line Items with Differences in Reported Amount and Reporting Currency Denominated Amounts [Line Items] | |||||
Cumulative foreign currency losses | $ 377.1 | $ 377.1 | $ 389.8 | ||
Cumulative inflation rate | 100% | 100% | |||
Foreign currency and other related gain (loss) | $ 4.9 | ||||
Cumulative inflation period | 3 years | ||||
AR | |||||
Financial Statement Line Items with Differences in Reported Amount and Reporting Currency Denominated Amounts [Line Items] | |||||
Foreign currency and other related gain (loss) | $ 8 | $ 2 | |||
CNK [Member] | |||||
Financial Statement Line Items with Differences in Reported Amount and Reporting Currency Denominated Amounts [Line Items] | |||||
Accumulated other comprehensive income (loss) | $ 344.8 | 344.8 | 353.2 | ||
Foreign currency and other related gain (loss) | (6.2) | $ (3.1) | (8.4) | 0.1 | |
CUSA [Member] | |||||
Financial Statement Line Items with Differences in Reported Amount and Reporting Currency Denominated Amounts [Line Items] | |||||
Accumulated other comprehensive income (loss) | 347.9 | 347.9 | $ 356.3 | ||
Foreign currency and other related gain (loss) | $ (6.2) | $ (3.1) | $ (8.4) | $ 0.1 |
Summary of Impact of Translatin
Summary of Impact of Translating Financial Statements of Company's International Subsidiaries (Detail) $ in Millions | 6 Months Ended | ||
Jun. 30, 2023 USD ($) | Jun. 30, 2022 USD ($) | Dec. 31, 2022 | |
Foreign Currency Translation [Line Items] | |||
Other comprehensive Loss | $ 12.2 | $ (1.3) | |
Brazil | |||
Foreign Currency Translation [Line Items] | |||
Exchange Rate | 4.83 | 5.29 | |
Other comprehensive Loss | $ 6.6 | 2.4 | |
Chile | |||
Foreign Currency Translation [Line Items] | |||
Exchange Rate | 803.01 | 852 | |
Other comprehensive Loss | $ 4.1 | (5.2) | |
Peru | |||
Foreign Currency Translation [Line Items] | |||
Exchange Rate | 3.67 | 3.81 | |
Other comprehensive Loss | $ 0.9 | 1 | |
Other foreign countries | |||
Foreign Currency Translation [Line Items] | |||
Other comprehensive Loss | $ 0.6 | $ 0.5 |
Supplemental Information to Con
Supplemental Information to Condensed Consolidated Statements of Cash Flows (Detail) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | ||
Schedule Of Cash Flow Supplemental [Line Items] | |||
Cash paid for income taxes, net | $ 7.2 | $ 1 | |
Noncash investing and financing activities: | |||
Change in accounts payable and accrued expenses for the acquisition of theatre properties and equipment | [1] | 1.5 | 0.4 |
Investment in NCMI/NCM - receipt of common units (see Note 8) | 0 | 1.3 | |
NCM | |||
Noncash investing and financing activities: | |||
Interest expense - NCM (see Note 8) | (11.4) | (11.7) | |
Cinemark Partners Second [Member] | |||
Schedule Of Cash Flow Supplemental [Line Items] | |||
Cash paid for interest by CUSA | 66.6 | 60.6 | |
Cinemark Holdings Inc [Member] | |||
Schedule Of Cash Flow Supplemental [Line Items] | |||
Cash paid for interest by Holdings | [2] | $ 77 | $ 71 |
[1] Additions to theatre properties and equipment included in accounts payable as of June 30, 2023 and December 31, 2022 were $ 13.5 and $ 12.0 , respectively. Includes the cash interest paid by CUSA. |
Supplemental Information to C_2
Supplemental Information to Condensed Consolidated Statements of Cash Flows (Parenthetical) (Detail) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Dec. 31, 2022 | |
Supplemental Cash Flow Elements [Abstract] | ||
Additions to theatre properties and equipment included in accounts payable | $ 13.5 | $ 12 |
Segments - Holdings - Selected
Segments - Holdings - Selected Financial Information by Reportable Operating Segment (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Segment Reporting Information [Line Items] | |||||
Revenues | $ 942.3 | $ 744.1 | $ 1,553 | $ 1,204.6 | |
Adjusted EBITDA | 231.5 | 138.3 | 317.7 | 163.5 | |
Capital expenditures | 28.3 | 21.9 | 54.6 | 40.6 | |
U.S. Operating Segment | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | [1] | 734.9 | 600.8 | 1,214 | 972.8 |
International Operating Segment | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | 207.4 | 143.3 | 339 | 231.8 | |
Operating Segments | U.S. Operating Segment | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | 739.3 | 603.5 | 1,221 | 977.2 | |
Adjusted EBITDA | 180.8 | 111.1 | 244.2 | 125.5 | |
Capital expenditures | 21.1 | 16.5 | 43.8 | 30.5 | |
Operating Segments | International Operating Segment | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | 207.4 | 143.3 | 339 | 231.8 | |
Adjusted EBITDA | 50.7 | 27.2 | 73.5 | 38 | |
Capital expenditures | 7.2 | 5.4 | 10.8 | 10.1 | |
Eliminations | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | $ (4.4) | $ (2.7) | $ (7) | $ (4.4) | |
[1] U.S. segment revenue excludes intercompany transactions with the international operating segment. See Note 16 for the amount of intercompany eliminations for the periods presented. |
Segments - Holdings - Reconcili
Segments - Holdings - Reconciliation of Net Income (Loss) to Adjusted EBITDA (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Segment Reporting Information [Line Items] | |||||
Net income (loss) | $ 120.4 | $ (72.8) | $ 117.9 | $ (145.3) | |
Add (deduct): | |||||
Income tax expense (benefit) | 12.3 | 4.7 | 8.4 | 2.9 | |
Interest expense | [1] | 37.1 | 38.1 | 73.9 | 76.2 |
Other (income) expense, net | [2] | (12.1) | 11.4 | (14) | 14.6 |
Cash distributions from equity investees | [3] | 1.6 | 0.9 | 1.6 | 1.5 |
Depreciation and amortization | 52.8 | 61 | 107.7 | 122.7 | |
Impairment of long-lived and other assets | 9.4 | 92.3 | 10.1 | 92.3 | |
Restructuring costs | 0 | (0.2) | 0 | (0.2) | |
Gain on disposal of assets and other | (3) | (0.7) | (2.7) | (7.6) | |
Loss on debt extinguishment and refinancing | 10.7 | 0 | 10.7 | 0 | |
Non-cash rent expense | (4.5) | (2.4) | (8.4) | (4.7) | |
Share based awards compensation expense | 6.8 | 6 | 12.5 | 11.1 | |
Adjusted EBITDA | $ 231.5 | $ 138.3 | $ 317.7 | $ 163.5 | |
[1] Includes amortization of debt issuance costs, amortization of original issue discount, and amortization of accumulated (gains) losses for amended swap agreements. Includes interest income, foreign currency exchange and other related (gains) losses, interest expense - NCM, equity in income (loss) of affiliates and unrealized gain on investment in NCMI. Reflects cash distributions received from equity investees that were recorded as a reduction of the respective investment balances. These distributions are reported entirely within the U.S. operating segment. |
Segments - Holdings - Selecte_2
Segments - Holdings - Selected Financial Information by Geographic Area (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Revenues | $ 942.3 | $ 744.1 | $ 1,553 | $ 1,204.6 | |
Reportable Geographical Components | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Revenues | 942.3 | 744.1 | 1,553 | 1,204.6 | |
Theatre properties and equipment, net | 1,187.9 | 1,187.9 | $ 1,232.1 | ||
Reportable Geographical Components | U.S. | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Revenues | 739.3 | 603.5 | 1,221 | 977.2 | |
Theatre properties and equipment, net | 1,030.4 | 1,030.4 | 1,075.3 | ||
Reportable Geographical Components | Brazil | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Revenues | 68.7 | 54.8 | 113.2 | 87.9 | |
Theatre properties and equipment, net | 53.6 | 53.6 | 49.5 | ||
Reportable Geographical Components | Other international countries | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Revenues | 138.7 | 88.5 | 225.8 | 143.9 | |
Theatre properties and equipment, net | 103.9 | 103.9 | $ 107.3 | ||
Reportable Geographical Components | Eliminations | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Revenues | $ (4.4) | $ (2.7) | $ (7) | $ (4.4) |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) $ in Thousands | 6 Months Ended | |
Jun. 30, 2023 USD ($) Theatre | Jun. 30, 2022 USD ($) | |
FE Concepts, LLC | ||
Related Party Transaction [Line Items] | ||
Management fee revenues | $ 30 | $ 30 |
Percentage of voting interest | 50% | |
Laredo Theatre, Ltd | ||
Related Party Transaction [Line Items] | ||
Company's interest in Laredo | 75% | |
Lone Star Theatre's interest in Laredo | 25% | |
Ownership interest held by David Roberts | 100% | |
Percentage of stock owned by founder | 8.50% | |
Percentage of management fees based on theatre revenues | 5% | |
Management fee revenues | $ 400 | 300 |
Excess cash distribution paid | 300 | 2,000 |
Syufy Enterprises, LP | ||
Related Party Transaction [Line Items] | ||
Management fee revenues | $ 30 | 100 |
Number of theatres leased | Theatre | 12 | |
Total rent paid to Syufy | $ 10,900 | $ 11,100 |
Subsequent Events (Additional I
Subsequent Events (Additional Information) (Details) - Subsequent Event [Member] shares in Millions | Aug. 03, 2023 shares |
Subsequent Event [Line Items] | |
Stockholders' equity, reverse stock split | 1-for-10 |
Equity ownership after reverse stock split | 4.4 |