Cinemark Holdings, Inc. · NYSE:CNK
Cinemark — Corporate Update (May 2019)
9 slides from Cinemark's corporate update, May 7, 2019
Slide 1: ASC 842 Lease Accounting
ASC 842 Lease Accounting May 7, 2019 Exhibit 99.2
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS This presentation contains, or may be deemed to contain “forward-looking statements” within the meaning of the “Safe Harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements are subject to risks and uncertainties
Slide 3: ASC 842 Lease Accounting Executive Summary
ASC 842 Lease Accounting Executive Summary Financial Takeaways Figures are estimated impact on 2018 total year financials Balance sheet now reflects an operating lease liability and right-of-use (ROU) asset of $1.5B Minimal impact to net income of +$3.5M; Adjusted EBITDA reduced by $(21.8)M Certain
Slide 4: Changes Driven by ASC 842 Lease Accounting
Changes Driven by ASC 842 Lease Accounting Operating Leases B/S: None P&L: Facility lease expense Capital Leases Per FAS 13 (ASC 840) guidance B/S: PP&E and debt P&L: Interest and depreciation Operating Leases B/S: Right-of-use (ROU) asset and operating lease liability P&L: Facility lease expense Fi
Slide 5: Estimated Impact on 2018 Total Year Financials
Estimated Impact of ASC 842 on 2018 Total Year Financials P&L $’s in millions Balance Sheet $’s in billions Cash Flow $’s in millions Minimal +$3.5M change to net income ... lower depreciation and interest expenses largely offset by increased facility lease expense Adjusted EBITDA reduced $(21.8)M d
Slide 6: Estimated Impact on 2018 Quarterly Financials
Estimated Impact of ASC 842 on 2018 Quarterly Financials 3 months ended Full Year Mar 31 2018 Jun 30 2018 Sep 30 2018 Dec 31 2018 2018 Revenues $ -- $ -- $ -- $ -- $ -- Facility lease expense 5.4 5.5 5.4 5.5 21.8 Non-cash rent expense-1) (0.6) (0.6) (0.6) (0.6) (2.4) Depreciation/amortization (3.3)
Slide 7: Appendix
Appendix
Slide 8: Reconciliation of Net Income to Adjusted EBITDA
Reconciliation of Net Income to Adjusted EBITDA Unaudited, $’s in millions, increase / (decrease) Adjusted EBITDA For the Year Ended Dec 31, 2018 Pre-ASC 842 Impact of ASC 842 Post-ASC 842 Net income $215.3 $3.5 $218.8 Add (deduct): Income taxes 95.4 -- 95.4 Interest expense -1) 110.0 (9.8) 100.2 Lo
Slide 9: Calculation of Debt Leverage & EV/Adjusted EBITDA Multiple
Calculation of Debt Leverage & EV/Adjusted EBITDA Multiple 9 Unaudited, $’s in millions, increase / (decrease) Debt Leverage Ratio As of Dec 31, 2018 Pre-ASC 842 Impact of ASC 842 Post-ASC 842 Current portion of long-term debt $8.0 -- $8.0 Long-term debt, less current portion 1,801.3 -- 1,801.3 Capi