Cinemark Reports Strong Q4 2024 Earnings and Dividends Restored

Cinemark's Q4 2024 earnings report highlights impressive revenue growth and the successful reinstatement of dividends. Investors should note the company's strong performance and market share retention, which bodes well for future stock performance.

Date: 19-02-2025

AI Rating: 7

Earnings Per Share (EPS): Cinemark achieved diluted earnings per share of $0.33 in Q4 and $2.06 for the full year. This represents a positive performance and indicates the company is moving towards a stable profit position.

Net Income: The company reported net income of $51.3 million for Q4 and $309.7 million for the full year. Higher net income demonstrates Cinemark's ability to recover efficiently post-pandemic, providing a favorable outlook for investors.

Revenue Growth: Cinemark's worldwide revenue reached over $3 billion with a Q4 record of $814.3 million, marking a year-over-year growth of nearly 28% in Q4. This substantial growth trajectory could positively influence stock prices by attracting more investors.

Free Cash Flow (FCF): The free cash flow generated was $315 million for the year and $136 million in Q4, reflecting a solid cash generation capability that supports financial flexibility for dividends and growth investments.

Adjusted EBITDA and Margins: Cinemark saw a significant EBITDA increase, doubling to $156.9 million in Q4 and achieving a 19.3% adjusted EBITDA margin. Flat EBITDA margins from the previous year indicate effective cost control and operational efficiency despite challenges.

In summary, Cinemark's strong Q4 results, high revenue growth, and the reinstatement of dividends highlight a robust recovery trajectory, making it an attractive company for investors. The positive net income and healthy free cash flow further reinforce this outlook.

Stocks: CNK