Cinemark Holdings Inc.’s stock
CNK,
extended early gains and was last up 7% in premarket trade Friday, after the cinema operator swung to a profit and beat consensus estimates for the second quarter. Plano, Texas-based Cinemark said it had net income of $119.1 million, or 80 cents a share, for the quarter, after a loss of $73.4 million, or 61 cents a share, in the year-earlier period. Revenue rose to $942.3 million from $744.1 million. The FactSet consensus was for EPS of 54 cents and revenue of $870 million. “We believe box office performance witnessed year-to-date, and over the past two years, provides conclusive evidence that consumer enthusiasm to view compelling films in a shared, larger-than-life, cinematic environment is as strong as ever,” Chief Executive Sean Gamble said in a statement. The company generated $215 million of free cash flow in the quarter, adding $108 million in cash to its balance sheet for a total of $758 million at end-quarter. The stock has gained 100% in the year to date, while the S&P 500
SPX,
has gained 17%.
