false 2020 Q2 0001385280 --12-31 Large Accelerated Filer 0.3333 0.6666 2020 2021-07-31 2023-06-30 2020-12-31 2023-05-31 P2Y 0.3333 0.6666 P3Y P1Y P1Y P1Y P1Y P1Y P1Y P1Y P1Y P1Y P1Y 0 0 0001385280 2020-01-01 2020-06-30 xbrli:shares 0001385280 2020-07-24 iso4217:USD 0001385280 2020-06-30 0001385280 2019-12-31 0001385280 cnk:NcmMember 2020-06-30 0001385280 cnk:NcmMember 2019-12-31 iso4217:USD xbrli:shares 0001385280 cnk:AdmissionsRevenueMember 2020-04-01 2020-06-30 0001385280 cnk:AdmissionsRevenueMember 2019-04-01 2019-06-30 0001385280 cnk:AdmissionsRevenueMember 2020-01-01 2020-06-30 0001385280 cnk:AdmissionsRevenueMember 2019-01-01 2019-06-30 0001385280 us-gaap:ConcessionsMember 2020-04-01 2020-06-30 0001385280 us-gaap:ConcessionsMember 2019-04-01 2019-06-30 0001385280 us-gaap:ConcessionsMember 2020-01-01 2020-06-30 0001385280 us-gaap:ConcessionsMember 2019-01-01 2019-06-30 0001385280 cnk:OtherRevenuesMember 2020-04-01 2020-06-30 0001385280 cnk:OtherRevenuesMember 2019-04-01 2019-06-30 0001385280 cnk:OtherRevenuesMember 2020-01-01 2020-06-30 0001385280 cnk:OtherRevenuesMember 2019-01-01 2019-06-30 0001385280 2020-04-01 2020-06-30 0001385280 2019-04-01 2019-06-30 0001385280 2019-01-01 2019-06-30 0001385280 cnk:NcmMember 2020-04-01 2020-06-30 0001385280 cnk:NcmMember 2019-04-01 2019-06-30 0001385280 cnk:NcmMember 2020-01-01 2020-06-30 0001385280 cnk:NcmMember 2019-01-01 2019-06-30 0001385280 2018-12-31 0001385280 2019-06-30 0001385280 cnk:TwentyTwentyRestructuringPlanMember 2020-01-01 2020-06-30 0001385280 cnk:NCMScreenAdvertisingAdvancesMember 2020-01-01 2020-06-30 0001385280 cnk:DigitalCinemaImplementationPartnersMember 2020-01-01 2020-06-30 0001385280 us-gaap:RestrictedStockMember 2020-01-01 2020-06-30 0001385280 us-gaap:RestrictedStockUnitsRSUMember 2020-01-01 2020-06-30 xbrli:pure 0001385280 srt:MinimumMember 2020-06-30 0001385280 srt:MaximumMember 2020-06-30 0001385280 us-gaap:NaturalDisastersAndOtherCasualtyEventsMember cnk:CoronavirusAidReliefAndEconomicSecurityActMember 2020-06-30 0001385280 us-gaap:NaturalDisastersAndOtherCasualtyEventsMember 2020-04-01 2020-06-30 0001385280 us-gaap:NaturalDisastersAndOtherCasualtyEventsMember 2020-01-01 2020-06-30 cnk:Domestic 0001385280 us-gaap:NaturalDisastersAndOtherCasualtyEventsMember 2020-06-30 cnk:International 0001385280 cnk:UsOperatingSegmentMember cnk:EmployeeRelatedMember cnk:TwentyTwentyRestructuringPlanMember 2020-04-01 2020-06-30 0001385280 cnk:UsOperatingSegmentMember cnk:FacilityClosureCostsMember cnk:TwentyTwentyRestructuringPlanMember 2020-04-01 2020-06-30 0001385280 cnk:UsOperatingSegmentMember cnk:TwentyTwentyRestructuringPlanMember 2020-04-01 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember cnk:EmployeeRelatedMember cnk:TwentyTwentyRestructuringPlanMember 2020-04-01 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember cnk:FacilityClosureCostsMember cnk:TwentyTwentyRestructuringPlanMember 2020-04-01 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember cnk:TwentyTwentyRestructuringPlanMember 2020-04-01 2020-06-30 0001385280 cnk:ConsolidatedMember cnk:EmployeeRelatedMember cnk:TwentyTwentyRestructuringPlanMember 2020-04-01 2020-06-30 0001385280 cnk:ConsolidatedMember cnk:FacilityClosureCostsMember cnk:TwentyTwentyRestructuringPlanMember 2020-04-01 2020-06-30 0001385280 cnk:ConsolidatedMember cnk:TwentyTwentyRestructuringPlanMember 2020-04-01 2020-06-30 0001385280 cnk:UsOperatingSegmentMember cnk:EmployeeRelatedMember cnk:TwentyTwentyRestructuringPlanMember 2020-06-30 0001385280 cnk:UsOperatingSegmentMember cnk:FacilityClosureCostsMember cnk:TwentyTwentyRestructuringPlanMember 2020-06-30 0001385280 cnk:UsOperatingSegmentMember cnk:TwentyTwentyRestructuringPlanMember 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember cnk:EmployeeRelatedMember cnk:TwentyTwentyRestructuringPlanMember 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember cnk:FacilityClosureCostsMember cnk:TwentyTwentyRestructuringPlanMember 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember cnk:TwentyTwentyRestructuringPlanMember 2020-06-30 0001385280 cnk:ConsolidatedMember cnk:EmployeeRelatedMember cnk:TwentyTwentyRestructuringPlanMember 2020-06-30 0001385280 cnk:ConsolidatedMember cnk:FacilityClosureCostsMember cnk:TwentyTwentyRestructuringPlanMember 2020-06-30 0001385280 cnk:ConsolidatedMember cnk:TwentyTwentyRestructuringPlanMember 2020-06-30 0001385280 us-gaap:NaturalDisastersAndOtherCasualtyEventsMember 2020-06-30 0001385280 cnk:TheatresMember 2020-06-30 0001385280 cnk:UtilitiesAndOtherMember us-gaap:EquipmentMember 2020-04-01 2020-06-30 0001385280 cnk:UtilitiesAndOtherMember us-gaap:EquipmentMember 2019-04-01 2019-06-30 0001385280 cnk:UtilitiesAndOtherMember us-gaap:EquipmentMember 2020-01-01 2020-06-30 0001385280 cnk:UtilitiesAndOtherMember us-gaap:EquipmentMember 2019-01-01 2019-06-30 0001385280 cnk:FacilityLeasingExpenseMember cnk:RealEstatePropertyMember 2020-04-01 2020-06-30 0001385280 cnk:FacilityLeasingExpenseMember cnk:RealEstatePropertyMember 2019-04-01 2019-06-30 0001385280 cnk:FacilityLeasingExpenseMember cnk:RealEstatePropertyMember 2020-01-01 2020-06-30 0001385280 cnk:FacilityLeasingExpenseMember cnk:RealEstatePropertyMember 2019-01-01 2019-06-30 0001385280 cnk:DepreciationAndAmortizationMember 2020-04-01 2020-06-30 0001385280 cnk:DepreciationAndAmortizationMember 2019-04-01 2019-06-30 0001385280 cnk:DepreciationAndAmortizationMember 2020-01-01 2020-06-30 0001385280 cnk:DepreciationAndAmortizationMember 2019-01-01 2019-06-30 0001385280 us-gaap:InterestExpenseMember 2020-04-01 2020-06-30 0001385280 us-gaap:InterestExpenseMember 2019-04-01 2019-06-30 0001385280 us-gaap:InterestExpenseMember 2020-01-01 2020-06-30 0001385280 us-gaap:InterestExpenseMember 2019-01-01 2019-06-30 0001385280 cnk:RealEstatePropertyMember 2020-01-01 2020-06-30 0001385280 cnk:RealEstatePropertyMember 2019-01-01 2019-06-30 0001385280 us-gaap:EquipmentMember 2020-01-01 2020-06-30 0001385280 us-gaap:EquipmentMember 2019-01-01 2019-06-30 cnk:Agreement 0001385280 us-gaap:EquipmentMember 2020-06-30 0001385280 cnk:UsOperatingSegmentMember us-gaap:AdmissionMember 2020-04-01 2020-06-30 0001385280 us-gaap:AdmissionMember 2020-04-01 2020-06-30 0001385280 cnk:UsOperatingSegmentMember us-gaap:AdmissionMember 2020-01-01 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember us-gaap:AdmissionMember 2020-01-01 2020-06-30 0001385280 us-gaap:AdmissionMember 2020-01-01 2020-06-30 0001385280 cnk:UsOperatingSegmentMember us-gaap:ConcessionsMember 2020-04-01 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember us-gaap:ConcessionsMember 2020-04-01 2020-06-30 0001385280 cnk:UsOperatingSegmentMember us-gaap:ConcessionsMember 2020-01-01 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember us-gaap:ConcessionsMember 2020-01-01 2020-06-30 0001385280 cnk:UsOperatingSegmentMember cnk:ScreenAdvertisingScreenRentalAndPromotionalRevenuesMember 2020-04-01 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember cnk:ScreenAdvertisingScreenRentalAndPromotionalRevenuesMember 2020-04-01 2020-06-30 0001385280 cnk:ScreenAdvertisingScreenRentalAndPromotionalRevenuesMember 2020-04-01 2020-06-30 0001385280 cnk:UsOperatingSegmentMember cnk:ScreenAdvertisingScreenRentalAndPromotionalRevenuesMember 2020-01-01 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember cnk:ScreenAdvertisingScreenRentalAndPromotionalRevenuesMember 2020-01-01 2020-06-30 0001385280 cnk:ScreenAdvertisingScreenRentalAndPromotionalRevenuesMember 2020-01-01 2020-06-30 0001385280 cnk:UsOperatingSegmentMember cnk:OtherRevenueMember 2020-04-01 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember cnk:OtherRevenueMember 2020-04-01 2020-06-30 0001385280 cnk:OtherRevenueMember 2020-04-01 2020-06-30 0001385280 cnk:UsOperatingSegmentMember cnk:OtherRevenueMember 2020-01-01 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember cnk:OtherRevenueMember 2020-01-01 2020-06-30 0001385280 cnk:OtherRevenueMember 2020-01-01 2020-06-30 0001385280 cnk:UsOperatingSegmentMember 2020-04-01 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember 2020-04-01 2020-06-30 0001385280 cnk:UsOperatingSegmentMember 2020-01-01 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember 2020-01-01 2020-06-30 0001385280 us-gaap:AdmissionMember cnk:UsOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 us-gaap:AdmissionMember cnk:InternationalOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 us-gaap:AdmissionMember 2019-04-01 2019-06-30 0001385280 us-gaap:AdmissionMember cnk:UsOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 us-gaap:AdmissionMember cnk:InternationalOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 us-gaap:AdmissionMember 2019-01-01 2019-06-30 0001385280 us-gaap:ConcessionsMember cnk:UsOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 us-gaap:ConcessionsMember cnk:InternationalOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 us-gaap:ConcessionsMember cnk:UsOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 us-gaap:ConcessionsMember cnk:InternationalOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 cnk:ScreenAdvertisingScreenRentalAndPromotionalRevenuesMember cnk:UsOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 cnk:ScreenAdvertisingScreenRentalAndPromotionalRevenuesMember cnk:InternationalOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 cnk:ScreenAdvertisingScreenRentalAndPromotionalRevenuesMember 2019-04-01 2019-06-30 0001385280 cnk:ScreenAdvertisingScreenRentalAndPromotionalRevenuesMember cnk:UsOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 cnk:ScreenAdvertisingScreenRentalAndPromotionalRevenuesMember cnk:InternationalOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 cnk:ScreenAdvertisingScreenRentalAndPromotionalRevenuesMember 2019-01-01 2019-06-30 0001385280 cnk:OtherRevenueMember cnk:UsOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 cnk:OtherRevenueMember cnk:InternationalOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 cnk:OtherRevenueMember 2019-04-01 2019-06-30 0001385280 cnk:OtherRevenueMember cnk:UsOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 cnk:OtherRevenueMember cnk:InternationalOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 cnk:OtherRevenueMember 2019-01-01 2019-06-30 0001385280 cnk:UsOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 cnk:InternationalOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 cnk:UsOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 cnk:InternationalOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 us-gaap:TransferredAtPointInTimeMember cnk:UsOperatingSegmentMember 2020-04-01 2020-06-30 0001385280 us-gaap:TransferredAtPointInTimeMember cnk:InternationalOperatingSegmentMember 2020-04-01 2020-06-30 0001385280 us-gaap:TransferredAtPointInTimeMember 2020-04-01 2020-06-30 0001385280 us-gaap:TransferredAtPointInTimeMember cnk:UsOperatingSegmentMember 2020-01-01 2020-06-30 0001385280 us-gaap:TransferredAtPointInTimeMember cnk:InternationalOperatingSegmentMember 2020-01-01 2020-06-30 0001385280 us-gaap:TransferredAtPointInTimeMember 2020-01-01 2020-06-30 0001385280 us-gaap:TransferredOverTimeMember cnk:UsOperatingSegmentMember 2020-04-01 2020-06-30 0001385280 us-gaap:TransferredOverTimeMember cnk:InternationalOperatingSegmentMember 2020-04-01 2020-06-30 0001385280 us-gaap:TransferredOverTimeMember 2020-04-01 2020-06-30 0001385280 us-gaap:TransferredOverTimeMember cnk:UsOperatingSegmentMember 2020-01-01 2020-06-30 0001385280 us-gaap:TransferredOverTimeMember cnk:InternationalOperatingSegmentMember 2020-01-01 2020-06-30 0001385280 us-gaap:TransferredOverTimeMember 2020-01-01 2020-06-30 0001385280 us-gaap:TransferredAtPointInTimeMember cnk:UsOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 us-gaap:TransferredAtPointInTimeMember cnk:InternationalOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 us-gaap:TransferredAtPointInTimeMember 2019-04-01 2019-06-30 0001385280 us-gaap:TransferredAtPointInTimeMember cnk:UsOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 us-gaap:TransferredAtPointInTimeMember cnk:InternationalOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 us-gaap:TransferredAtPointInTimeMember 2019-01-01 2019-06-30 0001385280 us-gaap:TransferredOverTimeMember cnk:UsOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 us-gaap:TransferredOverTimeMember cnk:InternationalOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 us-gaap:TransferredOverTimeMember 2019-04-01 2019-06-30 0001385280 us-gaap:TransferredOverTimeMember cnk:UsOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 us-gaap:TransferredOverTimeMember cnk:InternationalOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 us-gaap:TransferredOverTimeMember 2019-01-01 2019-06-30 0001385280 cnk:NCMScreenAdvertisingAdvancesMember 2019-12-31 0001385280 cnk:OtherDeferredRevenuesMember 2019-12-31 0001385280 cnk:OtherDeferredRevenuesMember 2020-01-01 2020-06-30 0001385280 cnk:NCMScreenAdvertisingAdvancesMember cnk:NcmMember 2020-01-01 2020-06-30 0001385280 cnk:NCMScreenAdvertisingAdvancesMember 2020-06-30 0001385280 cnk:OtherDeferredRevenuesMember 2020-06-30 0001385280 2020-04-01 2020-06-30 0001385280 2021-04-01 2020-06-30 0001385280 2022-04-01 2020-06-30 0001385280 2023-04-01 2020-06-30 0001385280 2024-04-01 2020-06-30 0001385280 2025-04-01 2020-06-30 0001385280 cnk:OtherDeferredRevenuesMember 2020-04-01 2020-06-30 0001385280 cnk:OtherDeferredRevenuesMember 2021-04-01 2020-06-30 0001385280 cnk:OtherDeferredRevenuesMember 2022-04-01 2020-06-30 0001385280 us-gaap:RestrictedStockUnitsRSUMember 2019-04-01 2019-06-30 0001385280 us-gaap:RestrictedStockUnitsRSUMember 2019-01-01 2019-06-30 0001385280 us-gaap:RestrictedStockUnitsRSUMember 2020-04-01 2020-06-30 0001385280 cnk:TermLoanCreditFacilityMember cnk:SeniorSecuredCreditFacilityMember 2020-06-30 0001385280 cnk:RevolvingCreditLineMember cnk:SeniorSecuredCreditFacilityMember 2020-06-30 0001385280 cnk:RevolvingCreditLineMember cnk:SeniorSecuredCreditFacilityMember 2020-03-25 2020-03-25 0001385280 cnk:SeniorSecuredCreditFacilityMember 2020-06-30 0001385280 cnk:SeniorSecuredCreditFacilityMember 2020-01-01 2020-06-30 0001385280 cnk:SeniorSecuredCreditFacilityMember cnk:TermLoanCreditFacilityMember 2020-01-01 2020-06-30 0001385280 cnk:SeniorSecuredCreditFacilityMember cnk:RevolvingCreditLineMember 2020-01-01 2020-06-30 0001385280 cnk:EightPointSevenFivePercentSecuredNotesMember 2020-04-20 0001385280 cnk:EightPointSevenFivePercentSecuredNotesMember 2020-04-20 2020-04-20 0001385280 cnk:FivePointOneTwoFivePercentSeniorNoteMember srt:ScenarioForecastMember 2022-09-13 0001385280 cnk:FivePointOneTwoFivePercentSeniorNoteMember srt:ScenarioForecastMember 2022-09-13 2022-09-13 0001385280 cnk:FourPointEightSevenFivePercentSeniorNotesMember srt:ScenarioForecastMember 2023-02-27 0001385280 cnk:FourPointEightSevenFivePercentSeniorNotesMember srt:ScenarioForecastMember 2023-02-27 2023-02-27 0001385280 cnk:EightPointSevenFivePercentSecuredNotesMember 2020-01-01 2020-06-30 0001385280 2020-05-01 2020-05-31 0001385280 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:CashFlowHedgingMember cnk:InterestRateSwapAgreementOneMember 2020-06-30 0001385280 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:CashFlowHedgingMember cnk:InterestRateSwapAgreementTwoMember 2020-06-30 0001385280 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:CashFlowHedgingMember cnk:InterestRateSwapAgreementThreeMember 2020-06-30 0001385280 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:CashFlowHedgingMember cnk:InterestRateSwapAgreementFourMember 2020-06-30 0001385280 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:CashFlowHedgingMember cnk:InterestRateSwapAgreementOneMember 2020-01-01 2020-06-30 0001385280 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:CashFlowHedgingMember cnk:InterestRateSwapAgreementTwoMember 2020-01-01 2020-06-30 0001385280 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:CashFlowHedgingMember cnk:InterestRateSwapAgreementThreeMember 2020-01-01 2020-06-30 0001385280 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:CashFlowHedgingMember cnk:InterestRateSwapAgreementFourMember 2020-01-01 2020-06-30 0001385280 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:CashFlowHedgingMember 2020-06-30 0001385280 us-gaap:AccountsPayableAndAccruedLiabilitiesMember 2020-06-30 0001385280 us-gaap:OtherNoncurrentLiabilitiesMember 2020-06-30 0001385280 us-gaap:InterestRateSwapMember 2020-06-30 0001385280 us-gaap:CommonStockMember 2019-12-31 0001385280 us-gaap:TreasuryStockMember 2019-12-31 0001385280 us-gaap:AdditionalPaidInCapitalMember 2019-12-31 0001385280 us-gaap:RetainedEarningsMember 2019-12-31 0001385280 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-12-31 0001385280 us-gaap:ParentMember 2019-12-31 0001385280 us-gaap:NoncontrollingInterestMember 2019-12-31 0001385280 us-gaap:AdditionalPaidInCapitalMember 2020-01-01 2020-03-31 0001385280 us-gaap:ParentMember 2020-01-01 2020-03-31 0001385280 2020-01-01 2020-03-31 0001385280 us-gaap:TreasuryStockMember 2020-01-01 2020-03-31 0001385280 us-gaap:RetainedEarningsMember 2020-01-01 2020-03-31 0001385280 us-gaap:NoncontrollingInterestMember 2020-01-01 2020-03-31 0001385280 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2020-01-01 2020-03-31 0001385280 us-gaap:CommonStockMember 2020-03-31 0001385280 us-gaap:TreasuryStockMember 2020-03-31 0001385280 us-gaap:AdditionalPaidInCapitalMember 2020-03-31 0001385280 us-gaap:RetainedEarningsMember 2020-03-31 0001385280 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2020-03-31 0001385280 us-gaap:ParentMember 2020-03-31 0001385280 us-gaap:NoncontrollingInterestMember 2020-03-31 0001385280 2020-03-31 0001385280 us-gaap:AdditionalPaidInCapitalMember 2020-04-01 2020-06-30 0001385280 us-gaap:ParentMember 2020-04-01 2020-06-30 0001385280 us-gaap:TreasuryStockMember 2020-04-01 2020-06-30 0001385280 us-gaap:RetainedEarningsMember 2020-04-01 2020-06-30 0001385280 us-gaap:NoncontrollingInterestMember 2020-04-01 2020-06-30 0001385280 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2020-04-01 2020-06-30 0001385280 us-gaap:CommonStockMember 2020-06-30 0001385280 us-gaap:TreasuryStockMember 2020-06-30 0001385280 us-gaap:AdditionalPaidInCapitalMember 2020-06-30 0001385280 us-gaap:RetainedEarningsMember 2020-06-30 0001385280 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2020-06-30 0001385280 us-gaap:ParentMember 2020-06-30 0001385280 us-gaap:NoncontrollingInterestMember 2020-06-30 0001385280 us-gaap:CommonStockMember 2018-12-31 0001385280 us-gaap:TreasuryStockMember 2018-12-31 0001385280 us-gaap:AdditionalPaidInCapitalMember 2018-12-31 0001385280 us-gaap:RetainedEarningsMember 2018-12-31 0001385280 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2018-12-31 0001385280 us-gaap:ParentMember 2018-12-31 0001385280 us-gaap:NoncontrollingInterestMember 2018-12-31 0001385280 us-gaap:RetainedEarningsMember srt:CumulativeEffectPeriodOfAdoptionAdjustmentMember 2019-01-01 2019-03-31 0001385280 us-gaap:ParentMember srt:CumulativeEffectPeriodOfAdoptionAdjustmentMember 2019-01-01 2019-03-31 0001385280 srt:CumulativeEffectPeriodOfAdoptionAdjustmentMember 2019-01-01 2019-03-31 0001385280 us-gaap:AdditionalPaidInCapitalMember 2019-01-01 2019-03-31 0001385280 us-gaap:ParentMember 2019-01-01 2019-03-31 0001385280 2019-01-01 2019-03-31 0001385280 us-gaap:TreasuryStockMember 2019-01-01 2019-03-31 0001385280 us-gaap:RetainedEarningsMember 2019-01-01 2019-03-31 0001385280 us-gaap:NoncontrollingInterestMember 2019-01-01 2019-03-31 0001385280 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-01-01 2019-03-31 0001385280 us-gaap:CommonStockMember 2019-03-31 0001385280 us-gaap:TreasuryStockMember 2019-03-31 0001385280 us-gaap:AdditionalPaidInCapitalMember 2019-03-31 0001385280 us-gaap:RetainedEarningsMember 2019-03-31 0001385280 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-03-31 0001385280 us-gaap:ParentMember 2019-03-31 0001385280 us-gaap:NoncontrollingInterestMember 2019-03-31 0001385280 2019-03-31 0001385280 us-gaap:CommonStockMember 2019-04-01 2019-06-30 0001385280 us-gaap:AdditionalPaidInCapitalMember 2019-04-01 2019-06-30 0001385280 us-gaap:ParentMember 2019-04-01 2019-06-30 0001385280 us-gaap:TreasuryStockMember 2019-04-01 2019-06-30 0001385280 us-gaap:RetainedEarningsMember 2019-04-01 2019-06-30 0001385280 us-gaap:NoncontrollingInterestMember 2019-04-01 2019-06-30 0001385280 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-04-01 2019-06-30 0001385280 us-gaap:CommonStockMember 2019-06-30 0001385280 us-gaap:TreasuryStockMember 2019-06-30 0001385280 us-gaap:AdditionalPaidInCapitalMember 2019-06-30 0001385280 us-gaap:RetainedEarningsMember 2019-06-30 0001385280 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-06-30 0001385280 us-gaap:ParentMember 2019-06-30 0001385280 us-gaap:NoncontrollingInterestMember 2019-06-30 0001385280 cnk:FirstQuarterDividendMember 2020-01-01 2020-06-30 0001385280 cnk:FirstQuarterDividendMember 2019-01-01 2019-06-30 0001385280 cnk:SecondQuarterDividendMember 2019-01-01 2019-06-30 0001385280 cnk:InvestmentInNcmMember 2019-12-31 0001385280 cnk:InvestmentInNcmMember 2020-01-01 2020-06-30 0001385280 cnk:OtherRevenueMember 2020-01-01 2020-06-30 0001385280 cnk:CashReceivedMember 2020-01-01 2020-06-30 0001385280 cnk:InterestExpenseNcmMember 2020-01-01 2020-06-30 0001385280 cnk:DistributionsFromNcmMember 2020-01-01 2020-06-30 0001385280 cnk:EquityEarningsMember cnk:NcmMember 2020-01-01 2020-06-30 0001385280 cnk:OtherRevenueMember cnk:NcmMember 2020-01-01 2020-06-30 0001385280 cnk:InvestmentInNcmMember 2020-06-30 0001385280 cnk:DistributionsFromNcmMember 2020-06-30 0001385280 cnk:EquityEarningsMember 2020-06-30 0001385280 cnk:OtherRevenueMember 2020-06-30 0001385280 cnk:InterestExpenseNcmMember 2020-06-30 0001385280 cnk:CashReceivedMember 2020-06-30 0001385280 2021-01-01 cnk:NCMScreenAdvertisingAdvancesMember 2020-06-30 0001385280 2022-01-01 cnk:NCMScreenAdvertisingAdvancesMember 2020-06-30 0001385280 2023-01-01 cnk:NCMScreenAdvertisingAdvancesMember 2020-06-30 0001385280 2024-01-01 cnk:NCMScreenAdvertisingAdvancesMember 2020-06-30 0001385280 2025-01-01 cnk:NCMScreenAdvertisingAdvancesMember 2020-06-30 0001385280 2026-01-01 cnk:NCMScreenAdvertisingAdvancesMember 2020-06-30 0001385280 cnk:NcmMember srt:MinimumMember 2020-01-01 2020-06-30 0001385280 cnk:NcmMember srt:MaximumMember 2020-01-01 2020-06-30 0001385280 cnk:NcmMember 2020-03-26 2020-06-25 0001385280 cnk:NcmMember 2019-03-28 2019-06-27 0001385280 cnk:NcmMember 2019-12-26 2020-06-25 0001385280 cnk:NcmMember 2018-12-28 2019-06-27 0001385280 cnk:NcmMember 2020-06-25 0001385280 cnk:NcmMember 2019-12-26 0001385280 cnk:DigitalCinemaImplementationPartnersMember us-gaap:OtherAffiliatesMember 2019-12-31 0001385280 cnk:ACJVLLCMember us-gaap:OtherAffiliatesMember 2019-12-31 0001385280 cnk:DigitalCinemaDistributionCoalitionMember us-gaap:OtherAffiliatesMember 2019-12-31 0001385280 cnk:FEConceptsLLCMember us-gaap:OtherAffiliatesMember 2019-12-31 0001385280 cnk:OtherInvestmentMember us-gaap:OtherAffiliatesMember 2019-12-31 0001385280 us-gaap:OtherAffiliatesMember 2019-12-31 0001385280 cnk:DigitalCinemaImplementationPartnersMember us-gaap:OtherAffiliatesMember 2020-01-01 2020-06-30 0001385280 cnk:DigitalCinemaDistributionCoalitionMember us-gaap:OtherAffiliatesMember 2020-01-01 2020-06-30 0001385280 us-gaap:OtherAffiliatesMember 2020-01-01 2020-06-30 0001385280 cnk:ACJVLLCMember us-gaap:OtherAffiliatesMember 2020-01-01 2020-06-30 0001385280 cnk:FEConceptsLLCMember us-gaap:OtherAffiliatesMember 2020-01-01 2020-06-30 0001385280 cnk:OtherInvestmentMember us-gaap:OtherAffiliatesMember 2020-01-01 2020-06-30 0001385280 cnk:DigitalCinemaImplementationPartnersMember us-gaap:OtherAffiliatesMember 2020-06-30 0001385280 cnk:ACJVLLCMember us-gaap:OtherAffiliatesMember 2020-06-30 0001385280 cnk:DigitalCinemaDistributionCoalitionMember us-gaap:OtherAffiliatesMember 2020-06-30 0001385280 cnk:FEConceptsLLCMember us-gaap:OtherAffiliatesMember 2020-06-30 0001385280 cnk:OtherInvestmentMember us-gaap:OtherAffiliatesMember 2020-06-30 0001385280 us-gaap:OtherAffiliatesMember 2020-06-30 0001385280 cnk:DigitalCinemaImplementationPartnersMember 2020-06-30 0001385280 cnk:DigitalCinemaImplementationPartnersMember srt:MaximumMember 2020-01-01 2020-06-30 cnk:Studio 0001385280 us-gaap:OtherAffiliatesMember cnk:DigitalCinemaImplementationPartnersMember 2020-04-01 2020-06-30 0001385280 us-gaap:OtherAffiliatesMember cnk:DigitalCinemaImplementationPartnersMember 2019-04-01 2019-06-30 0001385280 us-gaap:OtherAffiliatesMember cnk:DigitalCinemaImplementationPartnersMember 2019-01-01 2019-06-30 cnk:ProjectionSystem 0001385280 cnk:DigitalCinemaImplementationPartnersMember 2019-04-01 2019-06-30 0001385280 cnk:DigitalCinemaImplementationPartnersMember 2019-01-01 2019-06-30 0001385280 cnk:FilmRentalsAndAdvertisingMember cnk:ACJVLLCMember 2020-01-01 2020-06-30 0001385280 cnk:FilmRentalsAndAdvertisingMember cnk:ACJVLLCMember 2019-01-01 2019-06-30 0001385280 cnk:DigitalCinemaDistributionCoalitionMember 2020-06-30 0001385280 cnk:DigitalCinemaDistributionCoalitionMember 2020-01-01 2020-06-30 0001385280 cnk:DigitalCinemaDistributionCoalitionMember 2019-01-01 2019-06-30 0001385280 cnk:CNMKTexasPropertiesLLCMember 2018-04-29 2018-04-30 0001385280 cnk:CNMKTexasPropertiesLLCMember cnk:AWSRInvestmentsLimitedLiabilityCompanyMember 2018-04-29 2018-04-30 0001385280 cnk:CNMKTexasPropertiesLLCMember 2018-04-30 0001385280 cnk:CNMKTexasPropertiesLLCMember cnk:AWSRInvestmentsLimitedLiabilityCompanyMember 2018-04-30 0001385280 cnk:CNMKTexasPropertiesLLCMember cnk:AWSRInvestmentsLimitedLiabilityCompanyMember cnk:TheatreServicesMember 2020-01-01 2020-06-30 0001385280 cnk:CNMKTexasPropertiesLLCMember cnk:AWSRInvestmentsLimitedLiabilityCompanyMember cnk:TheatreServicesMember 2020-04-01 2020-06-30 0001385280 srt:MinimumMember 2020-01-01 2020-06-30 0001385280 srt:MaximumMember 2020-01-01 2020-06-30 0001385280 us-gaap:RestrictedStockMember srt:MinimumMember 2020-01-01 2020-06-30 0001385280 us-gaap:RestrictedStockMember srt:MaximumMember 2020-01-01 2020-06-30 0001385280 us-gaap:RestrictedStockMember 2019-12-31 0001385280 us-gaap:RestrictedStockMember 2020-06-30 0001385280 us-gaap:RestrictedStockMember 2019-01-01 2019-06-30 0001385280 cnk:UnvestedRestrictedStockAwardsMember 2020-06-30 0001385280 cnk:UnvestedRestrictedStockAwardsMember 2020-01-01 2020-06-30 0001385280 us-gaap:RestrictedStockUnitsRSUMember us-gaap:AccountingStandardsUpdate201807Member 2020-06-30 0001385280 us-gaap:RestrictedStockUnitsRSUMember us-gaap:AccountingStandardsUpdate201807Member 2020-01-01 2020-06-30 0001385280 cnk:ThresholdIrrMember srt:MaximumMember us-gaap:RestrictedStockUnitsRSUMember 2020-01-01 2020-06-30 0001385280 cnk:TargetedIrrMember srt:MaximumMember us-gaap:RestrictedStockUnitsRSUMember 2020-01-01 2020-06-30 0001385280 cnk:MaximumIrrMember srt:MaximumMember us-gaap:RestrictedStockUnitsRSUMember 2020-01-01 2020-06-30 0001385280 us-gaap:RestrictedStockUnitsRSUMember 2020-06-30 0001385280 us-gaap:RestrictedStockUnitsRSUMember cnk:StockGrantsTwentySeventeenMember 2020-01-01 2020-06-30 0001385280 us-gaap:RestrictedStockUnitsRSUMember cnk:StockGrantsTwentyEightteenMember 2020-01-01 2020-06-30 0001385280 cnk:UsOperatingSegmentMember 2019-12-31 0001385280 cnk:InternationalOperatingSegmentMember 2019-12-31 0001385280 cnk:UsOperatingSegmentMember 2020-06-30 0001385280 cnk:InternationalOperatingSegmentMember 2020-06-30 cnk:Community cnk:Country cnk:Unit 0001385280 us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001385280 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001385280 us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001385280 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001385280 country:BR 2020-06-30 0001385280 country:CL 2020-06-30 0001385280 stpr:CO 2020-06-30 0001385280 country:PE 2020-06-30 0001385280 country:BR 2019-12-31 0001385280 country:CL 2019-12-31 0001385280 stpr:CO 2019-12-31 0001385280 country:PE 2019-12-31 0001385280 country:BR 2020-01-01 2020-06-30 0001385280 country:CL 2020-01-01 2020-06-30 0001385280 stpr:CO 2020-01-01 2020-06-30 0001385280 country:PE 2020-01-01 2020-06-30 0001385280 cnk:OtherForeignCountriesMember 2020-01-01 2020-06-30 0001385280 cnk:InternationalSubsidiariesMember us-gaap:ParentMember 2020-01-01 2020-06-30 0001385280 country:BR 2019-01-01 2019-06-30 0001385280 country:CL 2019-01-01 2019-06-30 0001385280 stpr:CO 2019-01-01 2019-06-30 0001385280 country:PE 2019-01-01 2019-06-30 0001385280 cnk:OtherForeignCountriesMember 2019-01-01 2019-06-30 0001385280 cnk:InternationalSubsidiariesMember us-gaap:ParentMember 2019-01-01 2019-06-30 0001385280 country:AR 2020-01-01 2020-06-30 0001385280 country:AR 2019-01-01 2019-06-30 0001385280 2019-01-01 2019-12-31 0001385280 us-gaap:OperatingSegmentsMember cnk:UsOperatingSegmentMember 2020-04-01 2020-06-30 0001385280 us-gaap:OperatingSegmentsMember cnk:UsOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 us-gaap:OperatingSegmentsMember cnk:UsOperatingSegmentMember 2020-01-01 2020-06-30 0001385280 us-gaap:OperatingSegmentsMember cnk:UsOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 us-gaap:OperatingSegmentsMember cnk:InternationalOperatingSegmentMember 2020-04-01 2020-06-30 0001385280 us-gaap:OperatingSegmentsMember cnk:InternationalOperatingSegmentMember 2019-04-01 2019-06-30 0001385280 us-gaap:OperatingSegmentsMember cnk:InternationalOperatingSegmentMember 2020-01-01 2020-06-30 0001385280 us-gaap:OperatingSegmentsMember cnk:InternationalOperatingSegmentMember 2019-01-01 2019-06-30 0001385280 us-gaap:IntersegmentEliminationMember 2019-04-01 2019-06-30 0001385280 us-gaap:IntersegmentEliminationMember 2020-01-01 2020-06-30 0001385280 us-gaap:IntersegmentEliminationMember 2019-01-01 2019-06-30 0001385280 cnk:DigitalCinemaImplementationPartnersMember 2020-04-01 2020-06-30 0001385280 cnk:OtherInvesteesMember 2020-04-01 2020-06-30 0001385280 cnk:OtherInvesteesMember 2019-04-01 2019-06-30 0001385280 cnk:OtherInvesteesMember 2020-01-01 2020-06-30 0001385280 cnk:OtherInvesteesMember 2019-01-01 2019-06-30 0001385280 srt:ReportableGeographicalComponentsMember country:US 2020-04-01 2020-06-30 0001385280 srt:ReportableGeographicalComponentsMember country:US 2019-04-01 2019-06-30 0001385280 srt:ReportableGeographicalComponentsMember country:US 2020-01-01 2020-06-30 0001385280 srt:ReportableGeographicalComponentsMember country:US 2019-01-01 2019-06-30 0001385280 srt:ReportableGeographicalComponentsMember country:BR 2020-04-01 2020-06-30 0001385280 srt:ReportableGeographicalComponentsMember country:BR 2019-04-01 2019-06-30 0001385280 srt:ReportableGeographicalComponentsMember country:BR 2020-01-01 2020-06-30 0001385280 srt:ReportableGeographicalComponentsMember country:BR 2019-01-01 2019-06-30 0001385280 srt:ReportableGeographicalComponentsMember cnk:OtherInternationalCountriesMember 2020-04-01 2020-06-30 0001385280 srt:ReportableGeographicalComponentsMember cnk:OtherInternationalCountriesMember 2019-04-01 2019-06-30 0001385280 srt:ReportableGeographicalComponentsMember cnk:OtherInternationalCountriesMember 2020-01-01 2020-06-30 0001385280 srt:ReportableGeographicalComponentsMember cnk:OtherInternationalCountriesMember 2019-01-01 2019-06-30 0001385280 srt:GeographyEliminationsMember 2019-04-01 2019-06-30 0001385280 srt:GeographyEliminationsMember 2020-01-01 2020-06-30 0001385280 srt:GeographyEliminationsMember 2019-01-01 2019-06-30 0001385280 country:US srt:ReportableGeographicalComponentsMember 2020-06-30 0001385280 country:US srt:ReportableGeographicalComponentsMember 2019-12-31 0001385280 country:BR srt:ReportableGeographicalComponentsMember 2020-06-30 0001385280 country:BR srt:ReportableGeographicalComponentsMember 2019-12-31 0001385280 cnk:OtherInternationalCountriesMember srt:ReportableGeographicalComponentsMember 2020-06-30 0001385280 cnk:OtherInternationalCountriesMember srt:ReportableGeographicalComponentsMember 2019-12-31 0001385280 cnk:LaredoTheatreLtdMember 2020-01-01 2020-06-30 0001385280 cnk:LaredoTheatreLtdMember 2019-01-01 2019-06-30 0001385280 cnk:CopperBeechCapitalLLCMember 2020-01-01 2020-06-30 0001385280 cnk:CopperBeechCapitalLLCMember 2019-01-01 2019-06-30 cnk:Theatre 0001385280 cnk:SyufyEnterprisesLpMember 2020-01-01 2020-06-30 cnk:Facility cnk:Lease 0001385280 cnk:SyufyEnterprisesLpMember 2019-01-01 2019-06-30 0001385280 cnk:FEConceptsLLCMember 2020-06-30 0001385280 cnk:FEConceptsLLCMember 2020-01-01 2020-06-30

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2020

or

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

 

Commission File Number: 001-33401

CINEMARK HOLDINGS, INC.

(Exact name of registrant as specified in its charter)

 

Delaware

 

20-5490327

(State or other jurisdiction

of incorporation or organization)

 

(I.R.S. Employer

Identification No.)

 

 

 

3900 Dallas Parkway

 

 

Plano, Texas

 

75093

(Address of principal executive offices)

 

(Zip Code)

Registrant's telephone number, including area code:  (972) 665-1000

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class

Trading Symbol(s)

Name of each exchange on which registered

Common stock, par value $.001 per share

CNK

New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes ☒  No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit files).    Yes   No 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

 

Large accelerated filer

 

  

Accelerated filer

 

 

 

 

 

 

 

 

Non-accelerated filer

 

  

Smaller reporting company

 

 

 

 

 

 

 

 

Emerging growth company

 

 

 

 

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes   No 

As of July 24, 2020, 117,674,000 shares of common stock were issued and outstanding.  

 

 


 

CINEMARK HOLDINGS, INC. AND SUBSIDIARIES

TABLE OF CONTENTS

 

 

 

 

 

Page

PART I.     FINANCIAL INFORMATION

 

 

 

 

 

 

 

 

Item 1.

Financial Statements

 

4

 

 

 

 

 

 

 

Condensed Consolidated Balance Sheets as of June 30, 2020 and December 31, 2019 (unaudited)

 

4

 

 

 

 

 

 

 

Condensed Consolidated Statements of Income (Loss) for the three and six months ended June 30, 2020 and 2019 (unaudited)

 

5

 

 

 

 

 

 

 

Condensed Consolidated Statements of Comprehensive Income (Loss) for the three and six months ended June 30, 2020 and 2019 (unaudited)

 

6

 

 

 

 

 

 

 

Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2020 and 2019 (unaudited)

 

7

 

 

 

 

 

 

 

Notes to Condensed Consolidated Financial Statements (unaudited)

 

8

 

 

 

 

 

 

Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

 

34

 

 

 

 

 

 

Item 3.

Quantitative and Qualitative Disclosures About Market Risk

 

47

 

 

 

 

 

 

Item 4.

Controls and Procedures

 

47

 

 

 

 

 

PART II.     OTHER INFORMATION

 

 

 

 

 

 

 

 

Item 1.

Legal Proceedings

 

48

 

 

 

 

 

 

Item 1A.

Risk Factors

 

48

 

 

 

 

 

 

Item 6.

Exhibits

 

50

 

 

 

 

 

SIGNATURES

 

51

 

2


 

Cautionary Statement Regarding 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 “forward-looking statements” may include our current expectations, assumptions, estimates and projections about our business and our industry. They may include statements relating to future revenues, expenses and profitability, the future development and expected growth of our business, projected capital expenditures, attendance at movies generally or in any of the markets in which we operate, the number or diversity of popular movies released and our ability to successfully license and exhibit popular films, national and international growth in our industry, competition from other exhibitors and alternative forms of entertainment and determinations in lawsuits in which we are defendants. Forward-looking statements can be identified by the use of words such as “may,” “should,” “could,” “estimates,” “predicts,” “potential,” “continue,” “anticipates,” “believes,” “plans,” “expects,” “future” and “intends” and similar expressions. Forward-looking statements may involve known and unknown risks, uncertainties and other factors that may cause the actual results or performance to differ from those projected in the forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond our control and difficult to predict, including, among others, the impacts of COVID-19. Such risks and uncertainties could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements. For a description of the risk factors, please review the “Risk Factors” section or other sections in the Company’s Annual Report on Form 10-K filed February 21, 2020, as updated by the information related to COVID-19 that was included in a Form 8-K that was filed on April 13, 2020, including the documents incorporated by reference therein, and this Quarterly Report on Form 10-Q. All forward-looking statements are expressly qualified in their entirety by such risk factors. We undertake no obligation, other than as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

 

3


 

PART I - FINANCIAL INFORMATION

Item 1. Financial Statements

CINEMARK HOLDINGS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands, except share data, unaudited)

 

 

June 30,

 

 

December 31,

 

 

 

2020

 

 

2019

 

Assets

 

 

 

 

 

 

 

 

Current assets

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

571,755

 

 

$

488,313

 

Inventories

 

 

15,584

 

 

 

21,686

 

Accounts receivable

 

 

23,543

 

 

 

83,722

 

Current income tax receivable

 

 

111,558

 

 

 

4,082

 

Prepaid expenses and other

 

 

22,299

 

 

 

37,187

 

Total current assets

 

 

744,739

 

 

 

634,990

 

 

 

 

 

 

 

 

 

 

Theatre properties and equipment

 

 

3,256,215

 

 

 

3,348,237

 

Less: accumulated depreciation and amortization

 

 

1,653,494

 

 

 

1,612,990

 

Theatre properties and equipment, net

 

 

1,602,721

 

 

 

1,735,247

 

 

 

 

 

 

 

 

 

 

Operating lease right-of-use assets, net

 

 

1,315,482

 

 

 

1,383,080

 

 

 

 

 

 

 

 

 

 

Other assets

 

 

 

 

 

 

 

 

Goodwill

 

 

1,266,937

 

 

 

1,283,371

 

Intangible assets, net

 

 

317,115

 

 

 

321,769

 

Investment in NCM

 

 

258,706

 

 

 

265,792

 

Investments in affiliates

 

 

131,130

 

 

 

155,285

 

Long-term deferred tax asset

 

 

15,056

 

 

 

9,369

 

Deferred charges and other assets, net

 

 

38,229

 

 

 

39,114

 

Total other assets

 

 

2,027,173

 

 

 

2,074,700

 

Total assets

 

$

5,690,115

 

 

$

5,828,017

 

 

 

 

 

 

 

 

 

 

Liabilities and equity

 

 

 

 

 

 

 

 

Current liabilities

 

 

 

 

 

 

 

 

Current portion of long-term debt

 

$

7,349

 

 

$

6,595

 

Current portion of operating lease obligations

 

 

213,124

 

 

 

217,406

 

Current portion of finance lease obligations

 

 

15,958

 

 

 

15,432

 

Current income tax payable

 

 

510

 

 

 

5,195

 

Current liability for uncertain tax positions

 

 

 

 

 

13,446

 

Accounts payable and accrued expenses

 

 

359,178

 

 

 

450,726

 

Total current liabilities

 

 

596,119

 

 

 

708,800

 

Long-term liabilities

 

 

 

 

 

 

 

 

Long-term debt, less current portion

 

 

2,117,286

 

 

 

1,771,342

 

Operating lease obligations, less current portion

 

 

1,167,018

 

 

 

1,223,462

 

Finance lease obligations, less current portion

 

 

132,870

 

 

 

141,017

 

Long-term deferred tax liability

 

 

152,319

 

 

 

141,836

 

Long-term liability for uncertain tax positions

 

 

14,533

 

 

 

848

 

NCM screen advertising advances

 

 

348,187

 

 

 

348,354

 

Other long-term liabilities

 

 

63,003

 

 

 

44,036

 

Total long-term liabilities

 

 

3,995,216

 

 

 

3,670,895

 

Commitments and contingencies (see Note 19)

 

 

 

 

 

 

 

 

Equity

 

 

 

 

 

 

 

 

Cinemark Holdings, Inc.'s stockholders' equity:

 

 

 

 

 

 

 

 

Common stock, $0.001 par value: 300,000,000 shares authorized, 122,516,246 shares issued and 117,681,782 shares outstanding at June 30, 2020 and 121,863,515 shares issued and 117,151,656 shares outstanding at December 31, 2019

 

 

122

 

 

 

122

 

Additional paid-in-capital

 

 

1,178,471

 

 

 

1,170,039

 

Treasury stock, 4,834,464 and 4,711,859 shares, at cost, at June 30, 2020 and December 31, 2019, respectively

 

 

(84,365

)

 

 

(81,567

)

Retained earnings

 

 

414,785

 

 

 

687,332

 

Accumulated other comprehensive loss

 

 

(422,092

)

 

 

(340,112

)

Total Cinemark Holdings, Inc.'s stockholders' equity

 

 

1,086,921

 

 

 

1,435,814

 

Noncontrolling interests

 

 

11,859

 

 

 

12,508

 

Total equity

 

 

1,098,780

 

 

 

1,448,322

 

Total liabilities and equity

 

$

5,690,115

 

 

$

5,828,017

 

 

The accompanying notes are an integral part of the condensed consolidated financial statements.

4


 

CINEMARK HOLDINGS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS)

(in thousands, except per share data, unaudited)

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2020

 

 

2019

 

 

2020

 

 

2019

 

Revenues

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Admissions

 

$

37

 

 

$

521,072

 

 

$

292,499

 

 

$

916,612

 

Concession

 

 

124

 

 

 

345,282

 

 

 

190,480

 

 

 

596,606

 

Other

 

 

8,813

 

 

 

91,402

 

 

 

69,611

 

 

 

159,261

 

Total revenues

 

 

8,974

 

 

 

957,756

 

 

 

552,590

 

 

 

1,672,479

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of operations

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Film rentals and advertising

 

 

388

 

 

 

294,705

 

 

 

157,005

 

 

 

504,782

 

Concession supplies

 

 

2,379

 

 

 

62,717

 

 

 

37,191

 

 

 

105,788

 

Salaries and wages

 

 

8,864

 

 

 

108,910

 

 

 

96,408

 

 

 

205,046

 

Facility lease expense

 

 

65,202

 

 

 

89,480

 

 

 

147,443

 

 

 

175,093

 

Utilities and other

 

 

34,871

 

 

 

122,696

 

 

 

135,394

 

 

 

233,333

 

General and administrative expenses

 

 

28,001

 

 

 

44,324

 

 

 

69,019

 

 

 

82,300

 

Depreciation and amortization

 

 

63,581

 

 

 

64,573

 

 

 

128,837

 

 

 

129,035

 

Impairment of long-lived assets

 

 

 

 

 

12,494

 

 

 

16,619

 

 

 

18,078

 

Restructuring costs

 

 

19,538

 

 

 

 

 

 

19,538

 

 

 

 

Loss on disposal of assets and other

 

 

425

 

 

 

1,805

 

 

 

2,330

 

 

 

5,604

 

Total cost of operations

 

 

223,249

 

 

 

801,704

 

 

 

809,784

 

 

 

1,459,059

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating income (loss)

 

 

(214,275

)

 

 

156,052

 

 

 

(257,194

)

 

 

213,420

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other income (expense)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

(28,372

)

 

 

(24,929

)

 

 

(53,038

)

 

 

(50,070

)

Amortization of accumulated losses for amended swap agreements

 

 

(2,669

)

 

 

 

 

 

(2,669

)

 

 

 

Interest income

 

 

803

 

 

 

3,468

 

 

 

2,887

 

 

 

6,159

 

Foreign currency exchange gain (loss)

 

 

916

 

 

 

(401

)

 

 

(3,932

)

 

 

(379

)

Distributions from NCM

 

 

690

 

 

 

2,146

 

 

 

5,914

 

 

 

6,694

 

Interest expense - NCM

 

 

(5,934

)

 

 

(4,732

)

 

 

(11,825

)

 

 

(9,514

)

Equity in income (loss) of affiliates

 

 

(20,120

)

 

 

8,439

 

 

 

(11,634

)

 

 

18,843

 

Total other expense

 

 

(54,686

)

 

 

(16,009

)

 

 

(74,297

)

 

 

(28,267

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income (loss) before income taxes

 

 

(268,961

)

 

 

140,043

 

 

 

(331,491

)

 

 

185,153

 

Income taxes

 

 

(98,145

)

 

 

38,182

 

 

 

(101,253

)

 

 

50,099

 

Net income (loss)

 

$

(170,816

)

 

$

101,861

 

 

$

(230,238

)

 

$

135,054

 

Less:  Net income (loss) attributable to noncontrolling interests

 

 

(427

)

 

 

890

 

 

 

(258

)

 

 

1,355

 

Net income (loss) attributable to Cinemark Holdings, Inc.

 

$

(170,389

)

 

$

100,971

 

 

$

(229,980

)

 

$

133,699

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

116,666

 

 

 

116,325

 

 

 

116,581

 

 

 

116,253

 

Diluted

 

 

116,666

 

 

 

116,548

 

 

 

116,581

 

 

 

116,524

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings (loss) per share attributable to Cinemark Holdings, Inc.'s common stockholders

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

(1.45

)

 

$

0.86

 

 

$

(1.96

)

 

$

1.14

 

Diluted

 

$

(1.45

)

 

$

0.86

 

 

$

(1.96

)

 

$

1.14

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The accompanying notes are an integral part of the condensed consolidated financial statements.

5


 

CINEMARK HOLDINGS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(In thousands, unaudited)

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2020

 

 

2019

 

 

2020

 

 

2019

 

Net income (loss)

 

$

(170,816

)

 

$

101,861

 

 

$

(230,238

)

 

$

135,054

 

Other comprehensive income (loss), net of tax

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Unrealized gain (loss) due to fair value adjustments on interest rate swap agreements, net of taxes of $275, $1,905, $1,954 and $2,974, net of settlements

 

 

849

 

 

 

(5,902

)

 

 

(23,322

)

 

 

(9,213

)

Other comprehensive loss in equity method investments

 

 

 

 

 

(22

)

 

 

 

 

 

(93

)

Foreign currency translation adjustments

 

 

(3,702

)

 

 

4,925

 

 

 

(61,327

)

 

 

5,680

 

Total other comprehensive loss, net of tax

 

 

(2,853

)

 

 

(999

)

 

 

(84,649

)

 

 

(3,626

)

Total comprehensive income (loss), net of tax

 

 

(173,669

)

 

 

100,862

 

 

 

(314,887

)

 

 

131,428

 

Comprehensive (income) loss attributable to noncontrolling interests

 

 

427

 

 

 

(890

)

 

 

258

 

 

 

(1,355

)

Comprehensive income (loss) attributable to Cinemark Holdings, Inc.

 

$

(173,242

)

 

$

99,972

 

 

$

(314,629

)

 

$

130,073

 

 

The accompanying notes are an integral part of the condensed consolidated financial statements.

6


 

CINEMARK HOLDINGS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands, unaudited)

 

 

 

Six Months Ended June 30,

 

 

 

2020

 

 

2019

 

Operating activities

 

 

 

 

 

 

 

 

Net income (loss)

 

$

(230,238

)

 

$

135,054

 

Adjustments to reconcile net income (loss) to cash provided by (used for) operating activities:

 

 

 

 

 

 

 

 

Depreciation

 

 

126,387

 

 

 

126,551

 

Amortization of intangible and other assets

 

 

2,450

 

 

 

2,484

 

Amortization of debt issue costs

 

 

2,917

 

 

 

2,655

 

Amortization of NCM screen advertising advances and other deferred revenues

 

 

(15,795

)

 

 

(8,020

)

Amortization of accumulated losses for amended swap agreements

 

 

2,669