Cinemark Holdings, Inc. · NYSE:CNK
Cinemark — Q2 2020 Earnings Presentation
25 slides from Cinemark's earnings presentation, Aug 4, 2020
Slide 1: Investor Presentation 2Q 2020
Investor Presentation 2Q 2020 August 18, 2020 1
Slide 2: Forward Looking Statements
Forward Looking Statements FORWARD LOOKING STATEMENTS: Certain matters within this Quarterly Report on Form 10Q include “forward–looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The “f
Slide 3: Cinemark Overview
Cinemark Overview 3
Slide 4: Cinemark Overview
Cinemark Overview 332 Theatres 4,522 Screens • One of the largest and most influential movie theatre companies in the world – 534 theatres with 5,977 screens in 16 countries (1) • U.S. Operations (2) – Third largest exhibitor in terms of market share – 42 states, 104 DMAs – #1 or #2 in box office re
Slide 5: Highly Experienced Management Team
Highly Experienced Management Team Lee Roy Mitchell Mark Zoradi Founder & Executive Chairman CEO & Board Director Founded Cinemark in 1987, served as CEO Served as Cinemark’s CEO since 2015. Spent through 2006 and has served as Executive 30+ years at Walt Disney Company, most Chairman since 1996 rec
Slide 6: Exhibition Industry Trends
Exhibition Industry Trends Stable, long-term industry growth trends across technology innovations and economic cycles North America Box Office Trends Recliners and DVD player enhanced food Digital projector conversion Investments ... drops to$100 (DVD hey-day) Mass OTT streaming adoption ... Recessi
Slide 7: Broad and Leading Presence in the Americas
Broad and Leading Presence in the Americas Strong presence across the U.S. and Latin America that is strategically important to film distributors as well as promotional partners Market Share - North America1 Market Share - Key Latin American Markets1 Cinemark 27% Cinepolis 37% Kinoplex AMC Brazil Ar
Slide 8: Consistent Industry Outperformance
Consistent Industry Outperformance Cinemark has surpassed North American industry box office growth 40 out of the past 45 quarters and has consistently led the industry in profitability 2014 - 2019 Admission Revenue Growth 1 CNK WW Adjusted EBITDA Growth 1, 2 +6% 22.9% CAGR $745 17.3% $551 10.1% Nor
Slide 9: Initiatives to Drive Growth and Outperformance
Initiatives to Drive Growth and Outperformance Cinemark’s strategic initiatives drove growth and consistent outperformance leading into the crisis. While the initiatives are currently being reprioritized, we expect these to be a focus over the long-term. Create an extraordinary in- 1 theatre guest e
Slide 10: Financial Summary
Financial Summary 10
Slide 11: 2019 Financial Summary
2019 Financial Summary Amounts in millions 2019 Worldwide Results Highlights • Served ~280 million patrons globally • Achieved 5th consecutive year of record revenue with top- 5-Year line growth in U.S. and International segments 2019 CAGR • Exceeded North America industry box office growth by Atten
Slide 12: 1st Half 2020 Financial Summary
1st Half 2020 Financial Summary Amounts in millions 1H 2020 Worldwide Results Highlights • Ahead of the crisis, through Feb QTD, on relatively flat attendance, revenue was up 5%, Adj. EBITDA had increased 16% and Adj. EBITDA margin expanded ~200 bps compared to 1Q19 1H20 1H19 • The impact of COVID-1
Slide 13: Key Liquidity Actions
Key Liquidity Actions We have been working aggressively to preserve cash and bolster liquidity to effectively navigate through the crisis; we have limited cash burn to approximately $50MM per month and secured a runway into 2021 if theatres remain closed globally Eliminated Non- Cash Preservation &
Slide 14: Streamline & Business Efficiency Actions
Streamline & Business Efficiency Actions Have enacted, and are continuing to pursue, varied productivity and efficiency initiatives to achieve our strategic cash management and profitability objectives, including aligning expenses with near-term demand. Optimizing operating hours and showtime schedu
Slide 15: Reopening Plans
Reopening Plans 15
Slide 16: Theatre Reopening Plans
Theatre Reopening Plans Cinemark’s reopening strategy is based on a range of strategic health, regulatory and consumer considerations, as well as active collaboration with our studio partners on the timing of their new film releases Reopening Considerations Reopening Timeline and Approach • ~60 thea
Slide 17: Enhanced Cleaning, Safety and Efficiency Measures
Enhanced Cleaning, Safety and Efficiency Measures A range of enhanced cleaning and distancing protocols have been implemented to ensure guest and employee safety • Staggering show times to minimize crowds and implementing seat buffering technology within our point-of-sale system that will ensure phy
Slide 18: Test-and-Learn Theatres
Test-and-Learn Theatres The results of our test-and-learn theatres have been instrumental as we prepare to reopen our global circuit with key learnings on training, communication, implementation and execution of our clean and safety protocols in this new operating environment. • Attendance of initia
Slide 19: Theatre Industry – A Look Ahead
Theatre Industry – A Look Ahead • Historically, theatrical exhibition has been a recession- Top 2H20 Releases resistant industry with box office growth in 3 of the past 4 recessions • We believe pent-up demand for out-of-home entertainment, along with a backlog of strong film content, bodes well for
Slide 20: 2021 Film Slate
2021 Film Slate 3 Black Adam 20
Slide 21: 2022 Film Slate
2022 Film Slate CINEMARK. CENTURY CinéArts Zxelonn FANE DOCTOR A 2 STRANGE A 2 WAM AN
Slide 22: Appendix
Appendix 22
Slide 23: Non-GAAP Measure Reconciliations
Non-GAAP Measure Reconciliations $’s in thousands Reconciliation of Cash Flows Provided by Operating Reconciliation of Net Income to Adjusted EBITDA Activities to Free Cash Flow 2019 2019 Net income $193,848 Cash flows provided by operating activities $561,995 Add (deduct): Deduct: Income taxes 79,9
Slide 24: 1H 2Q20 Non-GAAP Measure Reconciliations
1H 2Q20 Non-GAAP Measure Reconciliations $’s in thousands Reconciliation of Cash Flows (Used In) Provided by Reconciliation of Net Income to Adjusted EBITDA Operating Activities to Free Cash Flow 1H 2Q20 1H 2Q19 1H 2Q20 1H 2Q19 Net income ($230,238) $135,054 Cash flows (used in) provided by operatin
Slide 25: Thank You
Thank You Chanda Brashears VP Investor Relations cbrashears@cinemark.com 972-665-1671 25