Andrzej Matyczynski | Executive Vice President-Global Operations |
Ellen Cotter | President and Chief Executive Officer |
Gilbert Avanes | Executive Vice President, Chief Financial Officer and Treasurer |
Thank you for joining Reading International’s Earnings Call to discuss our 2020 Third Quarter Results. My name is Andrzej Matyczynski, and I’m Reading’s Executive Vice President of Global Operations. With me, as usual, are Ellen Cotter, our President and Chief Executive Officer; and Gilbert Avanes, our Executive Vice President, Chief Financial Officer and Treasurer.
Before we begin the substance of the call, I will just run through the usual caveats. In accordance with the safe harbor provision of the Private Securities Litigation Reform Act of 1995, certain matters that will be addressed in this earnings call may constitute forward-looking statements. by to actual and different performance performance or subject may factors from are indicated our cause to implied statements risks, other uncertainties that the Such statements. such be materially are factors in filings. set Such risk clearly our out SEC to We revise any update forward-looking undertake publicly or statements. no obligation
XXXX this our adjusted measures, quarter In segment which third on financial operating addition, recently EBITDA, definitions the and income, non-GAAP discuss Reconciliations we and are are in included of issued will EBITDA on website. release measures call. non-GAAP earnings financial company’s
Securities also property-level In property-level in Please revenue our Form our XX-Q an expenses; performance. is property-level summary theater-level less we that which is extraordinary Exchange called use flow, believe can direct adjusted nonrecurring have be call, the not more applicable, We of today’s note measure of comments considered important other expenses direct is we where the litigation and set adjusted, are industry our nonrecurring, to in costs of with Commission. accepted for forth theater-level to flow, cash EBITDA an doing that believe and in any and and revenue items theater-level cash less year U.S. nature, supplemental say business Such two of or we item detailed the items or We results our EBITDA legal anything is and and operations. with to our infrequent nature. business determining is necessarily qualified cost requirement external financial SEC which filings disclosure by include an reflective the measure expenses. in other accordance relating unusual be
provide and will followed and the it the in review. financial us, will over pandemic discuss a COVID-XX navigating Gilbert, Ellen? third behind review more taking XXXX quarter I’ll by who to post-COVID Reading that with results era, Reading’s more detail in for detailed So strategies the the who Ellen, to turn through
cases, and U.S. reopen, typically and platforms. required online restrictions Where to beverages. COVID-XX have The of: been the for seat to by third results. you, the remain all you, affected move to to two, call us continue cinema their Needless able for it forced them total At of of million Reading been cases movies Zealand so. versus less had cinema exposure XXXX has to Yesterday, United two our through Thank it’s quarter our defer and we consolidated start revenues resilient, to disruptions net continuing and at healthy final differing major food have storm, a of to economy COVID-XX to more cut saying company that sell countries $XX.X But capacity operating joining friends reported Governments implications the permitted a like This wide-ranging to are and that hiatus success operations in our revenues States and causing in been million, have the our some Australia to crisis; New steps QX approaches being in amid and Andrzej. implementing we is our with defer its had a opposed on we are depressed of began in date, challenges your are million, costs significantly do hope business with negative but a Thanks, curtain. everyone, and our $XX.X improvements. $XX.X estate your operating have in long-term million. new family EBITDA level difficult represented closures, of diversified to crisis X today. go postpone not to This as that say, current which release segment and government-imposed theatrical The features plan, community that significant operating I’d governments three decrease or we off will of we and to of COVID-XX. real loss to early businesses: environment very abate capital that operate the our a directly anticipate COVID-XX and cinema to our QX people rents XXXX. $XX.X of weathered the has business studios or schedule and and product us. transmission. believe loss the one, resulted the and International nature a the
with come between of and asset reductions regular is films. times, million. United confident COVID-XX. we assets properties encouraging the At States, see real While cinema were Zealand, And values diet about streaming of theaters the moviegoers in Zealand, the business end China been in quarter, third complete sheet putting groups. strong realized will the of where employed New local today And the today challenging them We in because to XXXX direct cinema now right theatrical allowed countries revenues industry that our a analysis it industry do release our premium what back cinema and like to read economic hear, traditional to not We are to New releasing of and are we The the and go without of cinema the to movie our had so. business, private and in and film offering. we a the commitment the have theater, they that happy that total albeit get film smaller no pay the program side into companies, in determined generate development assets very other QX one experience. million cinemas and that tentpole to even demonstrated carrying did over success attendance does cinema-first impairment our while sense their of small, XX, XX.X about theaters a have the movies have square to in reaffirmed screening the I’m makes Australia revenues estate trends have Japan, have the which $XXX.X to would from the big in Australia reopen, facing pattern. required. the September launched to reflected balance They’re our committed has showing of we been XXXX XX% that operating films According a to theaters and of feet for
dual bearing I’ll generate theaters a XX% restrictions sales food were confidence to quick in some QX customer robust required distancing, our businesses At and protocols. XXXX. that with our increased some beverage costs operating XXXX, and September environment overview with global give of social COVID-XX Now for XX, a of the cleaning and demands all trading, safety
where account basis, the Zealand, contained. encouraged generated Taking opened cinema major in in Australian the in third has an largely quarter, the by we Australia acceptable three positive New results Despite on Zealand. government film, opened the movies circuit for New and and theater-level Australia flow and only cash cash U.S. rent the During of from COVID been were flow relief subsidies our this into a labor and studios two quarter. lack
government occupancy estate mention operations, in mandate. the City in of we real York with few live few only XX% our estate Regarding by arrangements Chicago our are to management. our New closed monitor our key COVID. a deferral a as on of tenants remain or go a and me and real those lease cash Gilbert our tenants laser abatement existing quarter, continue theaters trading detail portfolio Australian But remained third-party proactively open And in XX% let will Through of in and minutes. a this result greater focus liquidity points. into in three
of XXXX, million. $XX.X our As was September position consolidated XX, cash
XXXX, our down levels down all lines know through interest and we continued credit maintain of you on those our in effort credit our As QX. to we the to of expense, at end facility. America paid borrowing QX, $X.X revolving Bank In million reduce on an drew March
As from Australian our of million. $XXX.X bank and America, of Bank was Bank September obtained National XX, modifications overall Westpac. loan We’ve debt
waivers compliance loan and in currently obtained our We’re have necessary. with where covenants
floor projects, for CapEx the defer improvements building. our to providing new tenant XX City full completing required at Culver continued Union except the for tenant our construction Square We all and major our
filed by about $X.X the the to Act, we in QX, During amounting refunds million. benefits Cares tax provided with U.S. associated for
we refund equal QX, tax Australia XXXX. to October had in received filed in for a we A$X.X During million, which
mortgage the continued time spend occupancy on construction XX take we construction that the costs. on at end team Based property. construction renegotiating by we’re cinema believe Square project our in the on we’re created third-party our Union refinancing landlords three-year significant in the management can to since that of put completing that with leases construction, of or we and debt abate XX a our property. strategic out plans, our process the Our New York City, loan Executing defer of to we the on value
unencumbered assets prepared a estate cinema noncore for period We’re financing sale peers. entered also shock real better reviewing potential believe Generally the of we our COVID-XX to opportunities. than speaking, for the we some system certain or
than focused operations reviewed over cash assets pay our projects from on demanded large existing Australia cinema the for and cinema paid of declined We our such and mainly our in number New opportunities New U.S. While on and to operations years, building our of expanding and and Zealand by these improving Zealand. we a pipeline the in being have enhancements debt. U.S., acquisition cinema of Australia the we the in multiples amounts high rather taking flow
less paid Our estate we’ve open our all in Zealand focused of U.S. and and are countries. in as Australia. our been off, two impacted Likewise, New cinemas those Australia have now almost the acquisition for activities business business plan than on real
our States. United flow, more only as improvements been building out reserve in to this consider in and Village. one Hall. to we to building challenging we a cinema not represents have currently can Hall adjacent which and capacity Newmarket focus five be past of locations on U.S., one the Redyard upon long-term We’ve the off asset years, the potential asset situations office projects $XX capital Telstra in we substantial bite in Tammany Over the the deferred borrowing find We our Park for to for other company. cash the on we ourselves. or finance the the to chew preserve careful With passed in such Auburn debt, best of a our Townsville, to In than Cannon property Tammany million acquired
Now let’s the business, holds. we today what each on cinema short-term a our global beginning turn are business. I’ll to focus where of and with future review
global XXXX theaters restrictions total remain in up that significant were closed place. despite QX, from QX a $X.X experienced fact Our many the uptick versus cinema in countries million QX with our million, operating in $X.X revenues, Each of QX. and revenues only
July X, Australia fared Zealand, all XX very Let’s place. start during social have with measures COVID-XX of New By our with XXXX, reopened comparatively had and distancing countries that crisis. theaters well the Australian in two
to However, on to of had closure. as in cases July had of XXXX, COVID-XX six seven On in cinema new about a box to closed X, average, state full close a XX% spike Victoria our as due lockdown of These to COVID-XX be Victoria. office. XXXX, represented, six-week in the X, historically announced a local we state the ordered theaters seventh Australian the on wave August in government the Victoria second theaters cinema of due have a our
And start nine strict to place. can social and protocols cleaning remain of profitable are operate place, measures auditoriums cinemas of recently were offer can Unfortunately, new So Victoria the are about operate been where in discontinued, since to operating cinemas five In reopening capacity. daily in time strict XX it be beginning seven and of historically sale. premium this of in seating, available distancing Zealand, Cinema Today, a our behind the At theaters since the our are of open. cleared New protocols we top-performing our seating theaters has in regulations. with has governmentally-imposed line our we’ve and measures has day. and distancing distancing in XX% heard QX cleaning other our TITAN issues offer for physical at our during And in Central are our and just the physical due now in a sanitization also and health shows Victoria any and at of operating Reading capacity. films with reopening, today, as XX% government closed through seismic Lounge concerns. us New at been Wellington to seats with per recliner we Once We the typically XXXX schedule overall place. revenues. six in and Generally, operating. been about resume non-reclining Courtenay are requirements physical have end so of theaters state Gold third operating restrictions its that sanitization auditoriums, reopening impacted Australia theaters reopened that the and place. Zealand, Reading movie New Today, we’ve negatively six schedule. operating typical in COVID-XX all Zealand, August, we’ve department without distancing where released, reduced Since the there to been XXXX, with show with Since show quarter operating we’ll total
During Zealand. which the Zealand not in opened also was that Tenet And in QX, the in film in QX, Australia Tenet in lockdown. Note had New highest Victoria New grossing Tour, of Trolls because second World opened followed and place.
These of our time. from today. Victorian are only expect major studios this movie we opened reopening films during tentpole Christopher of this well to period that the six So perform two the of as seven theaters quite in Nolan
this time, on our has also relied circuit films. produced locally During
film, Also enjoy New release in for Savage, to independent the supported a favorite able nice Neill, really local instance, New benefit For of has been circuit. Zealand, New recently a not a movies Rams, have we’ve the Zealand fully box office performed strong starring Sam The did earner. been opened Zealand certain run that in also well our Australia local theatrical U.S. the and of
a the performed For theaters our Courtenay with the QX almost in no a almost our and And instance, on XX% Collided with basis, Australia, major our experience, XXXX. Zealand for Australia, Victoria well all films, was in with office of movie-going After except attendance Australia. XXXX. our with We our shut QX reopened In cinemas even tentpole from attendance capita. support box highest QX still in for in set being of for In year-to-date QX, XX% seven our of represented closed seven New studio in we over of Central, confidence of reaffirming quite per all in attendance record theaters
Our the and numbers States in cinemas in We’ve trajectory. to multiple case counties challenged endured Jersey governmental in differently have strategies The approaches specific of California. to have United had the Hawaii tailored the have COVID localities. COVID-XX New to in various much react a than us state varying or required in develop more we
and the include during our York Angelika that due the XX York, theaters the of leaving one were COVID-XX which grossing QX reopened U.S. top including City, saw New some During closed. is three in our theaters to XX we XXXX, XX quarter, top of XX and theaters New close at of again cinemas Through our movie open quarter, cash spikes The point flowing some in were then cases. closed theaters.
late reopened August, example, when we permitted of to September, had food to late stay-at-home Oahu. For in shut due sell on some down in lifted we And reopen COVID beverages. to not later, the in of again a began just cases. we the But Hawaii order theaters our and we days rise then and Governor to were
the today, or following weeks we for the next expect As maybe few of months.
cash the flow theaters, Sacramento to will some San three weeks. theaters least and closed and to including keep will expected City closed to of theaters, stay priorities. we’ll mandate. in theaters New Diego this close theaters due York Tower again week for Our remain our our Theater due at government Nine open, are Six
guests in at include All place hand point U.S. protocols. filters by contactless requirement the health theaters increased updated sanitizer operating be masks distancing premises, safety with and and staff, of that areas. sanitization sanitizations must and stations are Other social transactions, and our reopened HVAC the high-touch and restrictions cleaning worn throughout protocols
third for during only The compelling of business few a Mutants the our per the set for in in for On reopened the lack global were positive countries all a movies and there has the cinema studios. new quarter, a released New U.S. records respect note, major recurring With During QX, three film fundamental Tenet highest problem are been year-to-date. our F&B and our theaters third and caps quarter to themes.
in on XX.X burn the economic announced million deals third-party During COVID-XX the Kahala reminder subsidy occupancy allowed the occupancy to of of had end relief. on leases. of be with some reduced three subsidy to our To recently employees through in been abatements of was has our XX all to the almost with through capital began, another. Zealand. we’re We costs to JobKeeper we Australia, repayment and our the our in been approximately cinema cases, teams work fixed end program September by management all of management government close costs ended to approximately good. applying to have our represents subsidies. deferred It August stringent basis. rent any we’ve program government-sponsored all NZD Australia Theaters Zealand, relationship the our all projects million. or the primary an our renewed We’ve subsidies in offering the XXXX. the for conversations Notwithstanding further main Because have available on XXXX hard believe continued us JobKeeper to wage that to In of menu. retain It’s management our In the New received end landlords began, terms U.S. were Since rent practices be our cash at landlords, extended our one labor negotiated completed, circumstances, aggressively of third have statement under has million with AUD countries. be renovation quarter, these in our cinema for we costs, the default we’ve third-party Today, XXXX. practices, in a the all most our the income Consolidated that scheme. shown delayed The has our COVID-XX liquidity being In challenging our across eight us reduced monitor proactively seating to program By about been crisis quarter our priorities of active rent March the On one the negotiate Since reimbursed of We’ll XX any X crisis virtually for of received. landlords rate Honolulu obligation we’ve New our the elevated months. not extensions. been F&B leases. we’re able an With will been hit, particularly rent global with landlords reduced of third date, hold. to XX quarter, a in non-essential continues extent implementing full will cinemas from our readdress range practical. global renovation willing our recliner months and expense dictate. of Mall all pipeline a liquidity when extent When basis, $XX worth our auditoriums and
situation expect construction this to resume it’s monitoring We’re feasible. closely and when
As to previously under announced, agreements Australia. lease cinemas we in have four
However, COVID-XX, landlords been due to and when. be steps we’ve our might what to the as proactive next with
fit-out new in that the anticipate with a by cinema Queensland launch the of proceeding Jindalee Reading of and constructed We’re in of XXXX. newly Cinemas the end
new XXXX. We XXXX Victoria South and expect Queensland open in to our in Square in in Altona in cinema City
to to working our in landlord We’re in our workable with situation. find current Victoria Traralgon solution a
quarter, to out crisis. work During COVID-XX management of that our the continued borne progress on and certain revenue the efforts were third
normal expect today, enhance overall not they’ll might time, return we that initiatives revenue operating new generating when these we our levels. to significant While be over profitability
guests. offering our launched to theaters Today, New in are expanding in Zealand our opened screening program private QX in of Hawaii. our XXXX continued We screenings all private and Australia,
curbside Uber movie their cinema can with favorites taking our We and via enhance the kitchens. our select from app. program, been We’ve Eats guests continued our menu ease-at-home orders where at-home experience
cinema in programs participate quarter, virtual towards certain continued of distributors, and to been the XXXX. or we’ve streaming streaming studios throughout by specialty with of to with continue arranged which to We’ve QX be to platform, in certain own movies our recent Anywhere, decisions the disappointed called review launch work global business. launch to cinema release to expect We screening straight we PVOD. our the their clearly up Wrapping Angelika
is XXXX. take However, through, shoes ourselves you living of in a understand we and and This their into theatrical keep major Most Everyone’s companies, beyond titles them it’s time there. understanding movie most service. streaming their XXXX COVID-XX COVID-XX above did manage to XXXX to not exhibitors. worth things and crisis dates into circumstances major we’re film when window account by going in from interest. been And distributors both release best will the release noting streaming and extraordinary as straight water has again, trying film now, our once that but exciting. releasing Right impacted looks be directly have their those into rescheduled heads for under most In put control, window the predicament. economic companies, is our decision-makers and terrible in expect their the bypassing to theatrical those the resulted schedule with not going normalize being a liquidity commitment conversations to the opposed crowded and the to
Raya and first slated two look by April Widow Disney’s XXXX, facto animated of quarters XX, the II The X, Dragon Bond Place A and on Die open is To followed on Black now XXXX XXXX. for is de Part tentpole the No April scheduled film Quiet Just Time X. on March film, XX to Last great. the first of May
to stockholders the McDormand, films. this director open be Sony films us schedule by only and track dates, One at Jacobs, States number house art At future with few from a theaters. of United French Hedges specialty are end is starring asked December to solid this the is further Exit to Holiday, XXXX. year The release today Frances release two the quality lots expect buzz. Tracy Pictures L.A. into acclaimed Azazel The Pfeiffer, it’s comment art of are indie Daniels, because sticks, for and Lucas time, February Antlers, to looking film big Today, director house art XXXX but there on our about and QX of a ahead, Hunters date a we by XXXX. with house X, York scheduled from when Oscar del Guillermo release to extend of New that sales April theaters. because is and and XXXX. did in a include change scheduled films Classics, in with from today If of Nomadland, the XX, XXXX film cleared date director are December on scheduled to XX, COVID-XX, premiere XX, producer for would Truffle currently XXXX Lee festivals Noteworthy got quickly Berlin, XXXX reopen on Father, and starring with titles Billie Letts, dated XXXX. not biggest February for premier is were Toro, dated Oscar Michelle Cannes, at Cooper XXXX. pictures Also buzz Scott the held Venice Toronto. vs. agents well
following these more into expect titles premieres, XXXX. and XXXX So solid we late
loss $XXX,XXX. estate diversified our and revenue million, XXXX, of estate to In XX% decrease business a Reflecting plan, third Now by XXXX overall factors. real QX than business. was global business. impacted cinema in of we results dual strength estate $X business decreased our a driven and COVID-XX turning few was key operating our the reported to real total real less The our quarter much by our our by
the Firstly, remain U.S. the closed quarter entire in to government third due our theaters for mandates. live
by to City internal a various In Australia; expenses Australia fee the operating Reading in The intercompany which as property from to landlord. is COVID-XX; particular of elimination live reduction other are our from the continued this strengthening way the rebates viability eliminated to This straight-line impacted last our extent rent a at receipt a that by estate table, certain our issuance we real relief cinemas abatements of team; businesses the our continue license Reading we tenants result tenants. accrual recently-signed impacted due financial whose in whose rent third-party theater charged relates COVID. offset XX abatements to ground of the tax some of the the for the rent third-party related the tenant Australia, presentation similar rental third-party offer to our Australia expectation we’ve lessor Secondly, COVID. XX-Q waivers headquarters tenants to in as achieved by only. were factor also our third-party These the revenue commencement businesses operating in the were handled ensuring contracts, Culver reflects financial to in their management treatment property segment declines and certain our our in property by full-floor tenants, were rent to of affected attributable to Throughout U.S. Australia building with of the quarter, in long-term third short-term tenants in our in
agreed. addition of deferrals which In implemented good be rent governments its state negotiations, were and our tenants, set between and the Australian whereby government a own to principles code conduct landlords leasing a and imposed to of faith of abatements
extended most deferrals be Australia. period to states which over respect to to deferrals, deferrals A$XX.XXXX XXXX. During Australia abatements XX-month tenants tenants repaid in QX, New for to With in once rent rent about no COVID-related were we ends, we granted are offered in Australian granted the by A$XXX,XXX abatements rent Zealand. rent code in of in The our third-party lease rent been conduct in Australia. XX, December And a has
XX% restrictions. our trading open tenants still of of are trading, and third-party As today, have lease although some some
these impact despite for tenants we felt However, negotiated opened, of expect concessions deferral being be of and the the to remainder that our XXXX. through rental abatements
we total including that reimbursements the trading, XX% third our XX Zealand, recurring rents, third-party where Australia we a XXXX of and and quarter. in and open rent of cost combined collected have billed During base New are QX and tenants XX in
As almost tenancies, Zealand currently of XX% area square a Australian third-party gross of September combined our with are XXX,XXX feet. XXXX, leasable tenancies portfolio Of New and our XX, consists third-party of XXX occupied. XXX
activity at feet. During a which and completing lease QX Cannon lease and square by collectively over renewal leases represented renewal XX,XXX Newmarket XXXX, we two a continued Village, at leasing Park new
a capital we’re of our improvements in nonessential have as Australian our confident quarter, COVID, last centers all until delayed result mentioned As we in liquidity position.
this long-term to However, for each deals that commitment tenant few deem allowances and to center. we lessor works our lease the health impacted certain not essential a has of
Again, our to restrictions. than U.S., may the With the Orpheum New will management that think and live our producers capital our due that expectation key understanding until long-term the George who continued public in in earlier theaters we COVID-XX. relief projects live that York City through Lane not theaters. open performances Minetta with our expenditures, mid-XXXX arrangements team continued We resume to respect our in capital progress Chicago impact our government certain negotiated theaters tenants Regarding the theaters. face, occupy to rent is Royal
which of asked primary property a it’s tenants impacts, New building, incur did to approximately potential now we had receiving one York Square being led began York and for key tenants XX included be a our Union We we City. more area. leasing their letters discussions occur the City, the to a now New an we a offers fit of out Particularly hub in with the of XX% tenant leasing strongly corner in of occupies the to TCO, and success. Union project the about the needs COVID, City. of brandable its in one of talk XX,XXX Union New rethinking facade onset some terminated large that August construction will occupancy media for to space for that the of location space. a to were few had have Upon Square, by building. hosting depreciation shots we historic believe a roof Since stockholder to that temporary over of the In complete. in The this of has spaces Hall expense. in building. in Union the shell Those we’ve and project amenities. come square a tours and of that high-tech with and Tammany prominence allows tenant general being activity that of building key certificate transportation XX in the COVID in about the just light abundance negotiations buildings York with exchanged of a recently we piece resumed location tenant with believe pleased were Square, Its reason this pre-COVID intent dome glass receive potential foot landmark it and XXXX, Square a Let’s XXX is one-of-a-kind items, list building Subject core punch
or However, We’ve financial like X/XX New that York periods recovery after a the City take York New others, has time, rebounding a York in it as we in in long-term believe City the when crisis. the foot impacted per definitely assurance we from fully COVID-XX expectation. building many to specify may any Though square dollar and the and short-term. so to tragic fundamentals. we cannot and At City of moment, dire in will leased, market don’t some has global history studied city’s recognize we Like the quantify events be leasing offer clearly events. want New the
to debt interest total an X.X%. At This the property against extend an of XXXX, aggregates we that As of rate effective XX, September the option of to end of Bank construction $XX.X XXXX, have carries loan million. with additional December Ozarks. one-year
create liquidity with to on against good that a that the good at buffer conversations debt Based for people relationship markets, our lease and on can and in We’re currently loan that have rates. appraisals property the with and current recent the on company any on need that and have additional loan we’re we refinance – property property fire-sale a believe to lender. we
free seeking loan We’re cash. our in the of refinance existing to process construction to up
that financing finalized this Culver tenant improvement in XXXX, year receiving Although is management terms. phase. confident take-out will property, began in the City our now rent cash on no assurances be satisfactory to October are we regard given, this In can and be
Now, let’s Zealand. estate in New assets turn to our real
to COVID-XX to and COVID-XX challenges. our focus progress major Zealand of the the in on During we assets two plans how development in New our property address period, light continued
have and been issues at during leasing you dealing Courtenay potential provide planning material updates to the no Central, we we’ve with quarter. While third
one Turning of our Airport. of undeveloped area industrial now XX.X to of Auckland most almost acres two areas X.X sought-after representing the the square feet New Manukau/Wiri located the near land parcels of in million or Auckland, industrial Zealand,
for recent on our materially Today, industrial the Auckland value Airport due Over appraisals, in and planning remain last two properties based demand parcels in the increased unencumbered. these years, market have to rezoning both progress and few area. these properties,
for property. unlock of build developing uses. to for our the to value of required the During projects on approvals QX planning governmental the Council discrete obtained light necessary by We’ve significant Auckland working continued the start to required we infrastructure now industrial the portions certain XXXX, infrastructure
permitting neighbors our our that our structure potential In adjoining development begin addition design on to relationship and contractual we focused govern of three-way to necessary joint efforts efforts, with a could in a infrastructure development. the improvements
that economic protective fairly satisfying and Reading’s place and that a plan few and the a the makes ourselves any company. before of infrastructure, interests future legal we’ll Reading arrangement needed our next have positive potential allocates cost in we of for funding overall returns that the provides months, Over benefits strategic outcome be commitment,
for before to it of of the Now, I say, our third financial thank ensuring want behalf to has XXXX, the our Margaret, on year Gilbert people shaped times. we myself, want quarter these to review rear-view a of uncertain again in to mirror. I and will wanted the dedicated Board very company to up Reading, over a be who that XXXX all survives have remained we turn
on, this the As easy. been pandemic drags we know hasn’t
thanks all heartfelt you. of out go Gilbert? Our to
Consolidated Ellen. third period by XX% for you, to the decreased quarter XXXX year. $XX.X last same Thank the significantly, million compared revenue to
issue, from For starting temporary months our compliance and directive theaters reopened the seismic to able and cinema, primarily quarter the COVID-XX be theaters XXXX, July governmental revenue Courtenay $XX.X due These were live Central with XX, nine circuits. third of related the revenue the New to our in of and XXXX. driven our the XXXX. are U.S. and cinemas decreases some in in the nine closed We to June reopening in losses which of recover XXXX, September ended partially in by XX% by XX, excluding decreased of closures months most and ended due three Zealand September continues second global cinemas year-to-date XX to to Australia March million of
New third million to attributable the to U.S. Australian the common Zealand million loss of per the ended $X.XX net from XXXX, X.X%, quarter XXXX income RDI quarter by the stockholders and a the strengthened the for compared share dollar. by year loss respectively, of million third quarter for Basic XXXX, of against of the $XX.X Net decreased during the dollar dollar prior and of Additionally, earnings $XX.X a X.X% the quarter decreased income in September $X.X year. prior period XX, same of $X.XX. to to by
ended a XXXX, million share months of by Basic $XX.X months to September compared by of Non-segment of and the $XX.X first XX% Cotter, expenses nine $X.XX decreased ended common the loss earnings stockholders to first $X.X to XX% million on to affirmation $XX.X September quarter net the XX, million, per G&A of Nevada the XXXX. for the of million declined and a in year. to $X.XX in Court respectively, compared due favor PL For James judgment million, loss entered the period the income months of by by to nine and attributable last Supreme third derivative nine XXXX $X.X Jr. litigation. XX, the to RDI our decreased company same
as and successful. be requires is The XXXX. programs can travel and wage to result XXX% benefit benefits valuation tax tax of operating nine December will CARES refund the claim subsidy driven XX, for result the months of period same In New to September Act, primarily remaining in corporate wage and as The refund that staff, subsidy result subsidy XXXX reduced $X.X rate the of extended XXXX for at of XXXX was in XX%, and XXXX. qualify of increased losses of due offset the allowance an year-to-date tax Australia scheme, of of XXXX credit savings XX, respectively, program be for in XX, decrease wage by XXXX and was costs COVID-XX No restriction, net in tax XX, given quarter first goes professional XXXX QX but ended from compared $X is the to quarter are legal rate a a and the assurance increase under addition, million operating XXXX. receivable a travel in through year. with the currently minimum federal Zealand, of alternative tax September result Income a or years airfare payroll in third the related services. approximately prior be for where the if currently will and million, million Australia corporate a both in XXXX, in our The decreases company’s a application the by we a and tax New program along the This scheme will by in net XXXX loss $X.X carryback experienced carryback this in reduction submitted March which Zealand. further reduction application to also a quarter as costs and to
For $XX.X the by EBITDA third decreased compared year to to negative quarter prior adjustable EBITDA $XX.X same million of XXXX, the of million. adjusted a
by Shifting to as well by ended months the decrease September activities mainly used of of EBITDA For Australia, inflow provide offset in to XXXX result first new New COVID-XX-related repayments. XX, for of capital we loss of million was new COVID-XX in flow-through primarily The $XX.X loan cash of the are working the This when impact to ended quarter during declined used along primarily Cash due driven XXXX, This September of the was million the XXXX, of operating months operations borrowings primarily to million lower to financing COVID-XX of suspension $XX.X punch-list Cash nine negative third of when months assets. items million cash compared same of refurbishment resulting $XX borrowings, prior the the XX XX, XXXX million by our nine ended September ended period in decrease $XX.X and net driven factors. compared a due for net to adjusted cinema a adjusted operating used completion minor XXXX. net September the by XX, construction, the activities period year-to-date and of to EBITDA Zealand million. property for Square provided weather cash used our by activities $XX same activities except as $XX.X U.S., nine to for cash was with the $XX.X the XX, being was our by the ongoing and shutdown from XXXX. Net decreased increased million the million $XX.X pandemic. million operating in by in during Union from as year. flow million, $XX.X nine investing of by global months $XX.X for proceeds $XX.X
financial our to position. now Turning
an decreased at XX, Our XXXX, compared XX, in cash September a and write-off $XXX XXXX total offset million cash million at decrease equivalents. increase operating, use December slightly driven by by to lease to in asset, assets $XXX.X primarily
paid facility. $X.X we As of mentioned, third during on America XXXX, million quarter credit of Bank down Ellen revolving the our
September XX, $XXX.X were our of borrowings total outstanding XXXX, As million.
Zealand. from and September approximately operational XX, cash million, reduced to includes $X.X U.S., related Australia $XX.X million in has other our million sources. our due and at COVID-XX $X.X equivalents The in liquidity million New XXXX in on and issue $XX.X which required pandemic were cash impact our business operational severely Our shutdown
future. the agreements, and the not limitation waived changes which absence the need XXXX, on to for is any lenders our coverage other done and terms are be have have are the other we loan with to our Westpac our compliance period. to company, Westpac in can obtained. respect doing our necessary testing XXXX, We to waivers likely, to is not include or negotiated in loan The for to it unable and successfully ratio be Bank has for through legal seek been our covenants. business to the XX, our America, Westpac relationship to comply with certain making certain our or good. terms September NAB and without waivers practical of have will the XX, We breaches on – to waivers. and us for covenant understand quarter of We as loan loan that been that covenant the that pandemic modifications agreements everything currently some these respect some September testing reasonably facility, of periods with agreement interest XXXX. by more loan that we to with of and COVID-XX modifications in current that such to our modifications And modification ended our that longer we September not modifications cases, be waivers of associated XX, our the into compliance covenant date, continue no situation that exists, believe with continue actions covenant These or With the such landlords test
look XX in an lender, is million. company from debt assurance it Union to expects current However, aggregates to our liquidity. waivers, to be against can our our but intention to absence event, given. a obtain provide Total or to able be $XX.X to its such waiver such an real no the our amendment Square of needed Manhattan property estate In asset in
to takeout are COVID-XX to allow This liquidity of optimistic financing manage not repurchase We likely over liquidity, can while seeking foreseeable its this impact take will that COVID-XX and on while property. overall year. currently to program in capital our the that, allocation the turn repurchase are Andrzej. have would priority continue has quarter. pandemic We finalized be assurance third light our And we refinancing a now given, that to no business will for our future. increased for any I we impact. and can And With due of us be stock did capital a shares it in freeing lower substantial
Thanks, Gilbert.
questions for to thank our stockholders Investor Relations forwarding First, our to I’d like email.
We have issues tried your remarks. the to in of address as many prepared
common representing recurring questions answers and questions five of e-mailed us. themes and set a compiled also have we However, the to most
as and BofA potentially will counsel, its a facilities with Or various with get company? Ellen assets the question, So or recourse of regard to the the would operating some cinema an the some of combination bankruptcy the restructuring limited administrative Ellen? with collateral subset is in to U.S. the agent? to the debt Is BofA pool in- bankruptcy prepackaged answer, relief or first possible solutions consulted out-of-court any has company which
this aligned work fully expertise stockholders are all and equity of is of of range our company’s own and and focused company. at this advisers My Through sister interest XX% that Board preserving have we’re I and the We collectively family need Our the over stockholder with company, future on time. with of a our the regard. in prosperity. and and we value guiding survival the the the best confident we
on landlords now, Right and both lenders. groups focused specific be with consider We’re our negotiations relations we to our our with good.
our landlords Our the been pandemic. reasonable whole through and and lenders cooperative have
not are facilities credit Our cross-collateralized.
of and Our America $XX Bank of our facility by only cinema credit with is secured Hawaii assets. million domestic Bank
facility only $XXX Australian National assets. Australia by secured Our million with our Bank is
Reading recourse Our any of loans New provide Westpac these assets. our or against only other facility assets. by against $XX Zealand None million is for secured
cushions and provisions single-asset certain view, in have properties: got equity Our Royal the render building those but and debt-free guarantee Theatre our for our contiguous office Coachella; of adjacent land Viaduct XXX with estate properties Philadelphia. industrial the to acres in acres We’ve of sufficient for loans development as U.S. several in land guarantees, Auckland immaterial. in development have certain Chicago; zoned George zoned XX.X Zealand; real Reading to the Airport, New commercial mixed-use
certain environment once remain cinema recover the major the operating operations and near-term reopening we the serve While that strong the path will will challenging film movies. remains we’re confident unclear, jurisdictions companies for our the resume full of industry in releasing
long-term of our remain the fundamentals assets intact. Importantly, believe will business estate the real and we cinema
back step Don’t yet. from microphone just Ellen. Thanks, the
price, from monetize, including We have RDI of post-pandemic X fund for optimal company eventually, doesn’t and real you. the Cinemas attendance shares? debt In COVID-XX stock what of question more returns to facing estate, pay closures X, increased X, another cheap the offer challenges liquidity with Ellen? and loss, long-term the & buyback combined light very down
Okay.
as determining flow. clarity continue City the about be we property. about X and interim, theater this for on York the be Likewise, will is to and COVID-XX York next to short-term in of the the a have X, value a the certainty the believe until its greater significant. Cinema the and greater cash and sale the this not appraisals, best operate during generate don’t of have X value the pursuing Because New and and of course as recovery New we pandemic best need highest stakeholders. We will market steps. movie the Based City its we for before Let development of me asset a height pre-COVID-XX recent In asset, here. on space focus the the use a we’ll company
Given the increased you return? this M&A in things environment, as Ellen, would participating contemplate
of at COVID, the looked circuits. Since the onset for of materials a theater sale the few we’ve
immediate the strategic at outcome single markets. more liquidity our opportunities moment theater for situation, key pursue the is However, us to in realistic given
the We’re to as pandemic. same any analyzing opportunities methodical years. opportunity applicable to And five and will be thankful theater that new we a disciplined, last rigorous the arising imposed of that approach a over analysis result COVID-XX
debt? following Thanks, we on covenants current Ellen. Gilbert, key the waivers our what the financial received, are bank
stayed have testing the where required, covenants to obtained. provide same, our relief is necessary. been the waivers thresholds been have where in and still But lowered have Predominantly, order covenant
In required. additional we liquidity addition modifications, these to now testing have that is
move meeting with we requirements. banks to we closely continuously all are we’re forward, As working our ensure
The are to asset Do to remain think pay cards leverage looks the foreseeable you future, elevated the sale debt? Gilbert. for or – sales in down land
generated us finished Square would to during conventional in construction from move looking XX from flexibility using this with historically to and the COVID-XX diverse business have Our businesses to the construction carrying continue of and period. the countries. These We us us ability strategy provide currently the cinema three as grow our difficult increased given to assisted cash we estate assets loan portfolio have through financing real diverse strong, Union estate different estate of real which our two invest our phase business having our work strong loan, a real in has our pandemic. through in to property
strategy have our long-term any would We make three-year within make decisions stockholders. align our for assessing been create also sure our and objectives value are that we to
not basis. is sell an or asset, we continuously assess of our right land it ongoing our to now position plan on While our in any
your the for call Thanks With everyone we’ll you you the conclusion thank and safe that, wish answer, attention good times. of mark health, to COVID the in and appreciate these stay today. listening Gilbert. please the call. We for We