Reading International Announces Record Quarterly Revenue

Revenue from operations for the 2011 Quarter at $67.1 million, an all time record, up 17.8% over 2010

Net income for the 2011 Quarter of $17.4 million compared to a net loss of $13.7 million in 2010

EBITDA(1) of $13.4 million was $6.9 million higher than the $6.4 million in the 2010 Quarter

LOS ANGELES--()--Reading International, Inc. (NASDAQ: RDI) announced today results for its quarter ended June 30, 2011.

2011 Highlights

  • our revenue for the 2011 Quarter was $67.1 million, an all time record, compared to $57.0 million in the 2010 Quarter, an increase of 17.8%, driven by a $8.5 million increase in Australia and a $2.1 million increase in the U.S.;
  • our revenue for the 2011 Six Months was $121.2 million compared to $115.0 million in the 2010 Six Months, an increase of 5.4%, driven primarily by a $9.8 million increase in Australia;
  • our EBITDA(1) for the 2011 Quarter was $13.4 million compared to $6.4 million in the 2010 Quarter, an increase of 108.1%;
  • our EBITDA(1) for the 2011 Six Months was $19.6 million compared to $14.3 million in the 2010 Six Months, an increase of 36.3%;
  • on June 24, 2011, we replaced our Australian Corporate Credit Facility of $115.8 million (AUS$110.0 million) with BOS International (“BOSI”) with a new credit facility from National Australia Bank (“NAB”) of $110.5 million (AUS$105.0 million). NAB provided us term debt of $94.7 million (AUS$90.0 million) and $10.5 million (AUS$10.0 million) in revolver. Using the term debt and $9.5 million (AUS$9.0 million) of revolver, combined with our cash of $1.6 million (AUS$1.5 million), we paid off our $105.8 million (AUS$100.5 million) of outstanding BOSI debt.

Second Quarter 2011 Discussion

Revenue from operations increased from $57.0 million in the 2010 Quarter to $67.1 million in 2011, a $10.1 million or an 17.8% increase. The cinema revenue increase of $9.8 million or 18.7% was driven by an increase in revenue of $2.3 million in the U.S. and of $8.2 million in Australia. These revenue increases were primarily related to an increase in box office attendance of 185,000 and 140,000, respectively, an increase in ticket prices in Australia, and a increase in the value of the Australian dollar compared to the U.S. dollar compared to the same period last year. The top three grossing films for the quarter in our circuit worldwide were “The Hangover 2,” “Fast and Furious 5,” and “Pirates of the Caribbean: On Stranger Tides,” which among them accounted for approximately 27.0% of our cinema box office revenue. Additionally, our real estate segment revenue increased by $319,000 due to a year over year increase in the value of the Australian and New Zealand dollars compared to the U.S. dollar.

As a percentage of revenue, operating expense, at 75.6% in the 2011 Quarter was lower than the 77.3% in the 2010 Quarter.

Depreciation expense increased by $435,000 for the quarter compared to the same quarter last year primarily related to certain recently purchased cinema 3D equipment being depreciated in the 2011 Quarter and the inclusion of Charlestown cinema as an operating location since October 2010.

We recorded a $2.2 million impairment charge related to our Taringa, Australia real estate property during the 2010 Quarter primarily associated with the write off of development costs of the project. No such expenses were recorded in the 2011 Quarter.

General and administrative expense increased slightly by $139,000 or 3.0% from $4.6 million in the 2010 Quarter to $4.8 million in the 2011 Quarter primarily related to additional labor costs associated with our transfer of our accounting functions from the U.S. and Australia to New Zealand; offset by a decrease in legal and consulting fees primarily associated with our federal tax litigation, which was settled during July 2010.

Driven by the above factors, our operating income for the quarter increased by $5.1 million to $7.3 million compared to $2.2 million in the same quarter last year.

Net interest expense increased by $1.3 million for the quarter compared to the same quarter last year. This increase was primarily related to an increase in interest expense from the change in fair value of our interest rate swaps in 2011 compared to the same period in 2010.

For the 2011 Quarter, we recorded an other income of $360,000 compared to an other income of $137,000 for the 2010 Quarter, a $223,000 increase in other income. The 2011 Quarter other income was primarily related to equity earnings of unconsolidated entities of $269,000 and to the write off of certain long-term liabilities. The 2010 Quarter other income related equity earnings of unconsolidated entities of $266,000 and offsetting settlements related to our Burstone litigation and the 2008 sale of our interest in the Botany Downs cinema.

During the 2011 Quarter, we recorded a $68,000 loss on sale of assets primarily related to the disposal of certain obsolete assets. During the 2010 Quarter, we recorded a $351,000 gain on sale of assets primarily related to a deferred gain on sale of a property.

For the 2011 Quarter, we recorded an income tax benefit of $13.8 million primarily associated with a valuation allowance adjustment for the future realization of our deferred tax assets in Australia of $14.4 million. For the 2010 Quarter, we recorded an income tax expense of $12.2 million primarily relating to an additional tax accrual associated with our potential tax exposures related to our tax litigation settlement.

For the 2011 Quarter, we recorded a gain on the sale of a discontinued operation for our Elsternwick Cinema of $1.7 million that is included in our income from discontinued operations.

Because of the above, we reported a net income of $17.4 million for the 2011 Quarter compared to a net loss of $13.7 million in the 2010 Quarter, driven primarily by the tax provision adjustment of $14.4 million in 2011, the income tax accrual of $12.0 million for our federal tax case settlement in 2010, and a property impairment charge of $2.2 million in 2010.

Our EBITDA(1) at $13.4 million for the 2011 Quarter was $6.9 million higher than the 2010 Quarter of $6.4 million, driven primarily by better operating results, by the gain on sale of our Elsternwick Cinema of $1.7 million in 2011, and by the non-recurrence in 2011 of $2.2 million in impairment expense from 2010.

Our adjusted EBITDA(1) for the 2011 Quarter was $11.7 million after excluding:

  • the $1.7 million gain on sale of assets of our Elsternwick Cinema.

Our adjusted EBITDA(1) for the 2010 Quarter was $8.3 million after excluding:

  • the $519,000 gain on sale of a long-term mining asset associated with our former railroad operations;
  • the $2.2 million impairment loss associated with the discontinuation of our Taringa, Australia real estate development project; and
  • $158,000 loss on sale of the assets of the now closed Kapiti cinema in New Zealand.

This resulted in a growth in our adjusted EBITDA(1) of $3.4 million or 41.0%, from the 2010 Quarter to the 2011 Quarter.

First Half 2011 Summary

Revenue from operations increased from $115.0 million in 2010 to $121.2 million in 2011, a $6.2 million or a 5.4% increase. The cinema segment revenue increase of $5.4 million or 5.1% was primarily driven by a $9.5 million revenue increase in Australia offset by decreases in revenue from our U.S. and New Zealand cinema operations of $1.4 million and $2.6 million, respectively. The top three grossing films for the six months in our circuit worldwide were “The Hangover 2,” “Fast and Furious 5,” and “Pirates of the Caribbean: On Stranger Tides,” which among them accounted for approximately 15.4% of our cinema box office revenue. Additionally, our real estate segment revenue increased by $774,000 due to a year over year increase in the value of the Australian and New Zealand dollars compared to the U.S. dollar.

As a percentage of revenue, operating expense, at 78.0% in 2011 was slightly higher than the 77.8% of 2010, but consistent with the increased revenue in the 2011 Six Months.

Depreciation expense increased by $669,000 for the first half of 2011 compared to the same period last year primarily related to certain recently purchased cinema 3D equipment being depreciated in the 2011 Six Months and the inclusion of Charlestown cinema as an operating location since October 2010.

We recorded a $2.2 million impairment charge related to our Taringa, Australia real estate property during the first half of 2010 primarily associated with the write off of development costs of the project. No such expenses were recorded in the first half of 2011.

General and administrative expense increased by $168,000 or 1.9%, from $8.8 million in the 2010 Six Months to $9.0 million in the 2011 Six Months primarily related to additional labor costs associated with our transfer of our accounting functions from the U.S. and Australia to New Zealand; offset by a decrease in legal and consulting fees primarily associated with our federal tax litigation, which was settled during July 2010.

Driven by the above factors our operating income for the six months of 2011 increased by $2.6 million to $9.2 million compared to $6.7 million in the same period last year.

Net interest expense increased by $2.2 million for the six months of 2011 compared to the first half of 2010. The increase in interest expense during the six months of 2011 was primarily related to an increase in interest expense from the change in fair value of our interest rate swaps in 2011 than that of the same period in 2010.

For the 2011 Six Months, we recorded a $708,000 other income which included $633,000 in earnings from unconsolidated entities. For the 2010 Six Months, the $96,000 other loss included offsetting settlements related to our Burstone litigation and the 2008 sale of our interest in the Botany Downs cinema, a $605,000 of loss attributable to our Mackie litigation, and $617,000 of equity earnings of unconsolidated joint ventures and entities.

During the 2011 Six Months, we recorded a $68,000 loss on sale of assets primarily related to the disposal of certain obsolete assets. During the 2010 Six Months, we recorded a $351,000 gain on sale of assets primarily related to a deferred gain on sale of a property.

For the 2011 Six Months, we recorded an income tax benefit of $13.1 million primarily associated with a valuation allowance adjustment for the future realization of our deferred tax assets in Australia of $14.4 million. For the 2010 Six Months, we recorded an income tax expense of $12.8 million primarily relating to an additional tax accrual associated with our potential tax exposures related to our tax litigation settlement.

For the 2011 Six Months, we recorded a gain on the sale a discontinued operation for our Elsternwick Cinema of $1.7 million that is included in our income from discontinued operations.

As a result of the above, we reported a net income of $15.0 million for the 2011 Six Months compared to a net loss of $13.4 million in the 2010 Six Months, driven primarily by the tax provision adjustment of $14.4 million in 2011, and the income tax accrual of $12.0 million for our federal tax case settlement in 2010, and a property impairment charge of $2.2 million in 2010.

Our EBITDA(1) at $19.6 million for the 2011 Six Months was $5.2 million higher than the $14.4 million for the 2010 Six Months, driven primarily by better operating results, by the gain on sale of our Elsternwick Cinema of $1.7 million in 2011, and by the non-recurrence in 2011 of $2.2 million in impairment expense during 2010.

Our adjusted EBITDA(1) for 2011 Six Months was $17.9 million after excluding:

  • the $1.7 million gain on sale of assets of our Elsternwick Cinema in New Zealand.

Our adjusted EBITDA(1) for the 2010 six-months was $16.8 million after excluding:

  • the $519,000 gain on sale of a long-term mining asset associated with our former railroad operations;
  • the $2.2 million impairment loss associated with the discontinuation of our Taringa, Australia real estate development project;
  • $158,000 loss on sale of the assets of the now closed Kapiti cinema in New Zealand; and
  • $605,000 loss related to our Mackie litigation.

This resulted in a growth in our adjusted EBITDA(1) of $1.1 million or 6.6%, from the 2010 Six Months to the 2011 Six Months.

Balance Sheet and Liquidity

Our total assets at June 30, 2011 were $460.0 million compared to $430.3 million at December 31, 2010. The currency exchange rates for Australia and New Zealand as of June 30, 2011 were $1.0732 and $0.8284, respectively, and as of December 31, 2010, these rates were $1.0122 and $0.7687, respectively. As a result, currency had a positive effect on the balance sheet at June 30, 2011 compared to December 31, 2010.

On June 24, 2011, we replaced our Australian Corporate Credit Facility of $115.8 million (AUS$110.0 million) with BOS International (“BOSI”) with a new credit facility from National Australia Bank (“NAB”) of $110.5 million (AUS$105.0 million). NAB provided us term debt of $94.7 million (AUS$90.0 million) and $10.5 million (AUS$10.0 million) in revolver. Using the term debt and $9.5 million (AUS$9.0 million) of revolver, combined with our cash of $1.6 million (AUS$1.5 million), we paid off our $105.8 million (AUS$100.5 million) of outstanding BOSI debt.

Our cash position at June 30, 2011 was $38.2 million compared to $34.6 million at December 31, 2010. Of the $38.2 million, $24.3 million was in Australia, $12.1 million was in the U.S., and $1.8 million was in New Zealand. Of the $24.3 million in Australia, pursuant to our new NAB credit agreement, we are only able to transfer $4.3 million (AUS$4.0 million) per year outside of Australia. Of the $12.1 million in the U.S., $4.7 million is included in our Consolidated Entertainment subsidiary and is subject to certain debt covenants with GE Capital that limit the use of this cash outside of the subsidiary. Therefore, Reading has approximately $13.5 million of cash worldwide that is not restricted by covenants.

At June 30, 2011, we had undrawn funds of $1.1 million (AU$1.0 million) available under our NAB line of credit in Australia, $14.1 million (NZ$17.0 million) available under our line of credit in New Zealand, $5.0 million available under our GE Capital revolving loan credit facility in the U.S., and $3.0 million available under our Bank of America line of credit in the U.S. Accordingly, we believe that we have sufficient borrowing capacity under our various credit facilities to meet our anticipated short-term working capital requirements.

Our working capital at June 30, 2011 shows a negative $27.2 million compared to a negative $57.6 million at December 31, 2010. This decrease to our negative working capital is in part attributable to our Australian Credit Facility becoming long-term associated with our new NAB credit facility; offset by our Burwood property no longer being considered held for sale and our $23.2 million (NZ$28.0 million) New Zealand Credit Facility which became a current liability as of March 31, 2011.

Stockholders’ equity was $139.0 million at June 30, 2011 compared to $112.6 million at December 31, 2010, the difference being largely attributable to our net income of $15.0 million for the 2011 Six Months and an increase in the value of the Australian dollar compared to the U.S. dollar since December 31, 2010.

Based upon the current levels of the consolidated operations, further anticipated cost savings and future growth, we believe our cash on hand, our cash flow from operations, together with both the existing and anticipated lines-of-credit and other sources of liquidity, will be adequate to meet our anticipated requirements for interest payments and other debt service obligations, working capital, capital expenditures, and other operating needs.

Subsequent Events

Paydown of NAB Revolver

On August 2, 2011, we paid down our NAB revolver by $9.9 million (AUS$9.0 million) resulting in a zero balance on that date.

About Reading International, Inc.

Reading International (http://www.readingrdi.com) is in the business of owning and operating cinemas and developing, owning and operating real estate assets. Our business consists primarily of:

  • the development, ownership and operation of multiplex cinemas in the United States, Australia and New Zealand; and
  • the development, ownership, and operation of retail and commercial real estate in Australia, New Zealand, and the United States, including entertainment-themed retail centers (“ETRC”) in Australia and New Zealand and live theater assets in Manhattan and Chicago in the United States.

Reading manages its worldwide cinema business under various different brands:

Forward-Looking Statements

Our statements in this press release contain a variety of forward-looking statements as defined by the Securities Litigation Reform Act of 1995. Forward-looking statements reflect only our expectations regarding future events and operating performance and necessarily speak only as of the date the information was prepared. No guarantees can be given that our expectation will in fact be realized, in whole or in part. You can recognize these statements by our use of words such as, by way of example, “may,” “will,” “expect,” “believe,” and “anticipate” or other similar terminology.

These forward-looking statements reflect our expectation after having considered a variety of risks and uncertainties. However, they are necessarily the product of internal discussion and do not necessarily completely reflect the views of individual members of our Board of Directors or of our management team. Individual Board members and individual members of our management team may have different views as to the risks and uncertainties involved, and may have different views as to future events or our operating performance.

Among the factors that could cause actual results to differ materially from those expressed in or underlying our forward-looking statements are the following:

  • With respect to our cinema operations:
    • The number and attractiveness to movie goers of the films released in future periods;
    • The amount of money spent by film distributors to promote their motion pictures;
    • The licensing fees and terms required by film distributors from motion picture exhibitors in order to exhibit their films;
    • The comparative attractiveness of motion pictures as a source of entertainment and willingness and/or ability of consumers (i) to spend their dollars on entertainment and (ii) to spend their entertainment dollars on movies in an outside the home environment; and
    • The extent to which we encounter competition from other cinema exhibitors, from other sources of outside of the home entertainment, and from inside the home entertainment options, such as “home theaters” and competitive film product distribution technology such as, by way of example, cable, satellite broadcast, DVD and VHS rentals and sales, and so called “movies on demand;”
  • With respect to our real estate development and operation activities:
    • The rental rates and capitalization rates applicable to the markets in which we operate and the quality of properties that we own;
    • The extent to which we can obtain on a timely basis the various land use approvals and entitlements needed to develop our properties;
    • the risks and uncertainties associated with real estate development;
    • The availability and cost of labor and materials;
    • Competition for development sites and tenants; and
    • The extent to which our cinemas can continue to serve as an anchor tenant which will, in turn, be influenced by the same factors as will influence generally the results of our cinema operations;
  • With respect to our operations generally as an international company involved in both the development and operation of cinemas and the development and operation of real estate; and previously engaged for many years in the railroad business in the United States:
    • Our ongoing access to borrowed funds and capital and the interest that must be paid on that debt and the returns that must be paid on such capital;
    • The relative values of the currency used in the countries in which we operate;
    • Changes in government regulation, including by way of example, the costs resulting from the implementation of the requirements of Sarbanes-Oxley;
    • Our labor relations and costs of labor (including future government requirements with respect to pension liabilities, disability insurance and health coverage, and vacations and leave);
    • Our exposure from time to time to legal claims and to uninsurable risks such as those related to our historic railroad operations, including potential environmental claims and health related claims relating to alleged exposure to asbestos or other substances now or in the future recognized as being possible causes of cancer or other health-related problems;
    • Changes in future effective tax rates and the results of currently ongoing and future potential audits by taxing authorities having jurisdiction over our various companies; and
    • Changes in applicable accounting policies and practices.

The above list is not necessarily exhaustive, as business is by definition unpredictable and risky, and subject to influence by numerous factors outside of our control such as changes in government regulation or policy, competition, interest rates, supply, technological innovation, changes in consumer taste and fancy, weather, and the extent to which consumers in our markets have the economic wherewithal to spend money on beyond-the-home entertainment.

Given the variety and unpredictability of the factors that will ultimately influence our businesses and our results of operation, it naturally follows that no guarantees can be given that any of our forward-looking statements will ultimately prove to be correct. Actual results will undoubtedly vary and there is no guarantee as to how our securities will perform either when considered in isolation or when compared to other securities or investment opportunities.

Finally, please understand that we undertake no obligation to publicly update or to revise any of our forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable law. Accordingly, you should always note the date to which our forward-looking statements speak.

Additionally, certain of the presentations included in this press release may contain “pro forma” information or “non-US GAAP financial measures.” In such case, a reconciliation of this information to our US GAAP financial statements will be made available in connection with such statements.

(1) The Company defines EBITDA as net income (loss) before net interest expense, income tax benefit, depreciation, and amortization. The company defines adjusted EBITDA as EBITDA adjusted for unusual or infrequent events or items that are of a non-cash nature. EBITDA and adjusted EBITDA are presented solely as supplemental disclosures as we believe they are relevant and useful measures to compare operating results among our properties and competitors, as well as measurement tools for the evaluation of operating personnel. EBITDA and adjusted EBITDA are not measures of financial performance under the promulgations of generally accepted accounting principles (“GAAP”). EBITDA and adjusted EBITDA should not be considered in isolation from, or as substitutes for, net loss, operating loss or cash flows from operations determined in accordance with GAAP. Finally, EBITDA and adjusted EBITDA are not calculated in the same manner by all companies and accordingly, may not be appropriate measures for comparing performance among different companies. See the “Supplemental Data” table attached for a reconciliation of EBITDA to net income (loss).

               

Reading International, Inc. and Subsidiaries

Supplemental Data

Reconciliation of EBITDA to Net (Loss) Income

(dollars in thousands, except per share amounts)

 

Statements of Operations

Three Months Ended

June 30,

Six Months Ended

June 30,

2011       2010 2011       2011
 
Revenue $ 67,102 $ 56,980 $ 121,225 $ 115,021
Operating expense
Cinema/real estate 50,755 44,040 94,584 89,538
Depreciation and amortization 4,292 3,857 8,421 7,752
Impairment expense -- 2,239 -- 2,239
General and administrative   4,756     4,617     8,990     8,822  
 
Operating income 7,299 2,227 9,230 6,670
 
Interest expense, net (5,406 ) (4,067 ) (9,337 ) (7,164 )
Other income (loss) 360 137 708 (96 )
Net gain (loss) on sale of assets (68 ) 351 (68 ) 351
Income tax benefit (expense) 13,774 (12,201 ) 13,138 (12,783 )
Income (loss) from discontinued operations, net of tax 1,654 (8 ) 1,695 29
Net income attributable to noncontrolling interest   (181 )   (153 )   (414 )   (368 )
 
Net income (loss) $ 17,432   $ (13,714 ) $ 14,952   $ (13,361 )
 
Basic and diluted earnings (loss) per share $ 0.76   $ (0.60 ) $ 0.65   $ (0.59 )
 
EBITDA* $ 13,356   $ 6,419   $ 19,572   $ 14,355  
 
EBITDA* change $6,937   $5,217  
 
*       EBITDA presented above is net loss adjusted for interest expense (net of interest income), income tax expense, depreciation and amortization expense, and an adjustment for discontinued operations (this includes interest expense and depreciation and amortization for the discontinued operations).
 

Reconciliation of EBITDA to the net loss is presented below:

               

 

Three Months Ended

June 30,

Six Months Ended

June 30,

2011       2010 2011       2010
 
Net income (loss) $ 17,432 $ (13,714 ) $ 14,952 $ (13,361 )
Add: Interest expense, net 5,406 4,067 9,337 7,164
Add: Income tax provision (13,774 ) 12,201 (13,138 ) 12,783
Add: Depreciation and amortization 4,292 3,857 8,421 7,752
Add: EBITDA adjustments for discontinued operations   --     8     --     17  
 
EBITDA $ 13,356   $ 6,419   $ 19,572   $ 14,355  
 
 
               

Reading International, Inc. and Subsidiaries

Condensed Consolidated Statements of Operations (Unaudited)

(U.S. dollars in thousands, except per share amounts)

 
Three Months Ended

June 30,

Six Months Ended

June 30,

        2011       2010           2011       2010
Operating Revenue            
Cinema $ 62,236 $ 52,433 $ 111,710 $ 106,279
Real estate         4,866           4,547               9,515           8,742  
Total operating revenue         67,102           56,980               121,225           115,021  
Operating expense
Cinema 48,234 41,867 89,709 85,162
Real estate 2,521 2,173 4,875 4,376
Depreciation and amortization 4,292 3,857 8,421 7,752
Impairment expense -- 2,239 -- 2,239
General and administrative         4,756           4,617               8,990           8,822  
Total operating expense         59,803           54,753               111,995           108,351  
 
Operating income 7,299 2,227 9,230 6,670
 
Interest income 409 364 841 646
Interest expense (5,815 ) (4,431 ) (10,178 ) (7,810 )
Net gain (loss) on sale of assets (68 ) 351 (68 ) 351
Other income (expense)         91           (129 )             75           (713 )
Income (loss) before income tax benefit (expense), equity earnings of unconsolidated joint ventures and entities, and discontinued operations 1,916 (1,618 ) (100 ) (856 )
Income tax benefit (expense)         13,774           (12,201 )             13,138           (12,783 )
Income (loss) before equity earnings of unconsolidated joint ventures and entities, and discontinued operations

15,690

(13,819

)

13,038

(13,639

)

Equity earnings of unconsolidated joint ventures and entities         269           266               633           617  
Income (loss) before discontinued operations 15,959 (13,553 ) 13,671 (13,022 )
Income (loss) from discontinued operations, net of tax (2 ) (8 ) 39 29
Gain on sale of discontinued operation         1,656           --               1,656           --  
Net income (loss) $ 17,613 $ (13,561 ) $ 15,366 $ (12,993 )
Net income attributable to noncontrolling interests         (181 )         (153 )             (414 )         (368 )
Net income (loss) attributable to Reading International, Inc. common shareholders       $ 17,432         $ (13,714 )           $ 14,952         $ (13,361 )
Earnings (loss) per common share attributable to Reading International, Inc. common shareholders – basic and diluted:
Earnings (loss) from continuing operations $ 0.69 $ (0.60 ) $ 0.58 $ (0.59 )
Earnings (loss) from discontinued operations, net         0.07           --               0.07           --  
Basic and diluted earnings (loss) per share attributable to Reading International, Inc. common shareholders       $ 0.76         $ (0.60 )           $ 0.65         $ (0.59 )
Weighted average number of shares outstanding – basic 22,789,718 22,797,534 22,749,202 22,754,599
Weighted average number of shares outstanding – diluted         22,958,508           22,797,534               22,917,993           22,754,599  
 
 
                               

Reading International, Inc. and Subsidiaries

Condensed Consolidated Balance Sheets (Unaudited)

(U.S. dollars in thousands)

 
                 

June 30,
2011

               

December 31,
2010

ASSETS
Current Assets:
Cash and cash equivalents $ 38,234 $ 34,568
Receivables 6,620 5,470
Inventory 917 989
Investment in marketable securities 3,142 2,985
Restricted cash 2,410 2,159
Deferred tax asset, net 2,257 --
Prepaid and other current assets 5,788 3,536
Assets held for sale                   4,531                     55,210  
Total current assets 63,899 104,917
 
Property held for and under development 92,744 35,702
Property & equipment, net 225,642 220,250
Investment in unconsolidated joint ventures and entities 11,391 10,415
Investment in Reading International Trust I 838 838
Goodwill 22,541 21,535
Intangible assets, net 18,976 20,156
Deferred tax asset, net 12,321 --
Other assets                   11,645                     16,536  
Total assets                 $ 459,997                   $ 430,349  
 
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Accounts payable and accrued liabilities $ 15,700 $ 15,930
Film rent payable 6,773 5,757
Notes payable – current portion 35,548 108,124
Taxes payable 24,861 23,872
Deferred current revenue 8,008 8,727
Other current liabilities                   204                     141  
Total current liabilities 91,094 162,551
Notes payable – long-term portion 157,092 83,784
Notes payable to related party – long-term 9,000 9,000
Subordinated debt 27,913 27,913
Noncurrent tax liabilities 2,267 2,267
Other liabilities                   33,660                     32,195  
Total liabilities                   321,026                     317,710  
Commitments and contingencies (Note 13)
Stockholders’ equity:
Class A non-voting common stock, par value $0.01, 100,000,000 shares authorized, 31,675,518 issued and 21,461,348 outstanding at June 30, 2011 and 31,500,693 issued and 21,308,823 outstanding at December 31, 2010 218 216
Class B voting common stock, par value $0.01, 20,000,000 shares authorized and 1,495,490 issued and outstanding at June 30, 2011 and at December 31, 2010 15 15
Nonvoting preferred stock, par value $0.01, 12,000 shares authorized and no issued or outstanding shares at June 30, 2011 and at December 31, 2010 -- --
Additional paid-in capital 134,328 134,236
Accumulated deficit (61,083 ) (76,035 )
Treasury shares (3,876 ) (3,765 )
Accumulated other comprehensive income                   68,781                     57,120  
Total Reading International, Inc. stockholders’ equity 138,383 111,787
Noncontrolling interests                   588                     852  
Total stockholders’ equity                   138,971                     112,639  
Total liabilities and stockholders’ equity                 $ 459,997                   $ 430,349  

Contacts

Reading International, Inc.
Andrzej Matyczynski, Chief Financial Officer
(213) 235-2240

Release Summary

Reading International announces record quarterly revenue.

Sharing

Contacts

Reading International, Inc.
Andrzej Matyczynski, Chief Financial Officer
(213) 235-2240