| Segments |
The Company manages its international market and its U.S. market as separate reportable operating segments, with the international segment consisting of operations in Brazil, Argentina, Chile, Colombia, Peru, Ecuador, Honduras, El Salvador, Nicaragua, Costa Rica, Panama, Guatemala, Bolivia, Curacao and Paraguay. Each segment’s revenue is derived from admissions and concession sales and other ancillary revenues. The Company uses Adjusted EBITDA, as shown in the reconciliation table below, as the primary measure of segment profit and loss to evaluate performance and allocate its resources. The Company does not report total assets by segment because that information is not used to evaluate the performance of or allocate resources between segments.
Below is a breakdown of selected financial information by reportable operating segment:
|
|
|
Three Months Ended |
|
|
Nine Months Ended |
|
|
|
|
September 30, |
|
|
September 30, |
|
|
|
|
2020 |
|
|
2019 |
|
|
2020 |
|
|
2019 |
|
|
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. |
|
$ |
34,639 |
|
|
$ |
636,628 |
|
|
$ |
472,096 |
|
|
$ |
1,941,545 |
|
|
International |
|
|
1,069 |
|
|
|
188,772 |
|
|
|
118,061 |
|
|
|
563,509 |
|
|
Eliminations |
|
|
(230 |
) |
|
|
(3,583 |
) |
|
|
(2,089 |
) |
|
|
(10,758 |
) |
|
Total revenues |
|
$ |
35,478 |
|
|
$ |
821,817 |
|
|
$ |
588,068 |
|
|
$ |
2,494,296 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. |
|
$ |
(105,767 |
) |
|
$ |
132,347 |
|
|
$ |
(145,947 |
) |
|
$ |
453,404 |
|
|
International |
|
|
(22,232 |
) |
|
|
37,411 |
|
|
|
(33,459 |
) |
|
|
113,346 |
|
|
Total Adjusted EBITDA |
|
$ |
(127,999 |
) |
|
$ |
169,758 |
|
|
$ |
(179,406 |
) |
|
$ |
566,750 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital expenditures |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. |
|
$ |
17,903 |
|
|
$ |
50,679 |
|
|
$ |
54,604 |
|
|
$ |
148,609 |
|
|
International |
|
|
2,756 |
|
|
|
20,664 |
|
|
|
13,014 |
|
|
|
37,903 |
|
|
Total capital expenditures |
|
$ |
20,659 |
|
|
$ |
71,343 |
|
|
$ |
67,618 |
|
|
$ |
186,512 |
|
The following table sets forth a reconciliation of net income (loss) to Adjusted EBITDA:
|
|
|
Three Months Ended |
|
|
Nine Months Ended |
|
|
|
|
September 30, |
|
|
September 30, |
|
|
|
|
2020 |
|
|
2019 |
|
|
2020 |
|
|
2019 |
|
|
Net income (loss) |
|
$ |
(148,036 |
) |
|
$ |
31,955 |
|
|
$ |
(378,274 |
) |
|
$ |
167,009 |
|
|
Add (deduct): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income taxes |
|
|
(121,145 |
) |
|
|
14,053 |
|
|
|
(222,398 |
) |
|
|
64,152 |
|
|
Interest expense (1) |
|
|
36,577 |
|
|
|
24,967 |
|
|
|
92,284 |
|
|
|
75,037 |
|
|
Other (income) expense, net (2) |
|
|
22,881 |
|
|
|
(9,970 |
) |
|
|
47,385 |
|
|
|
(25,079 |
) |
|
Cash distributions from DCIP (3) |
|
|
— |
|
|
|
2,694 |
|
|
|
10,383 |
|
|
|
7,912 |
|
|
Cash distributions from other equity investees (4) |
|
|
2,146 |
|
|
|
5,804 |
|
|
|
15,047 |
|
|
|
20,251 |
|
|
Depreciation and amortization |
|
|
62,543 |
|
|
|
67,760 |
|
|
|
191,380 |
|
|
|
196,795 |
|
|
Impairment of long-lived assets |
|
|
24,595 |
|
|
|
27,304 |
|
|
|
41,214 |
|
|
|
45,382 |
|
|
Restructuring costs |
|
|
524 |
|
|
|
— |
|
|
|
20,062 |
|
|
|
— |
|
|
(Gain) loss on disposal of assets and other |
|
|
(13,327 |
) |
|
|
2,453 |
|
|
|
(10,997 |
) |
|
|
8,057 |
|
|
Non-cash rent expense |
|
|
816 |
|
|
|
(1,102 |
) |
|
|
1,649 |
|
|
|
(3,252 |
) |
|
Share based awards compensation expense |
|
|
4,427 |
|
|
|
3,840 |
|
|
|
12,859 |
|
|
|
10,486 |
|
|
Adjusted EBITDA |
|
$ |
(127,999 |
) |
|
$ |
169,758 |
|
|
$ |
(179,406 |
) |
|
$ |
566,750 |
|
|
|
(1) |
Includes amortization of debt issue costs and amortization of accumulated losses for amended swap agreements. |
|
|
(2) |
Includes interest income, foreign currency exchange gain (loss), equity in income of affiliates and interest expense - NCM and excludes distributions from NCM. |
|
|
(3) |
See discussion of cash distributions from DCIP, which were recorded as a reduction of the Company’s investment in DCIP, at Note 10. These distributions are reported entirely within the U.S. operating segment. |
|
|
(4) |
Includes cash distributions received from equity investees, other than those from DCIP noted above, that were recorded as a reduction of the respective investment balances (see Notes 9 and 10). These distributions are reported entirely within the U.S. operating segment. |
Financial Information About Geographic Areas
Below is a breakdown of selected financial information by geographic area:
|
|
|
Three Months Ended |
|
|
Nine Months Ended |
|
|
|
|
September 30, |
|
|
September 30, |
|
|
Revenues |
|
2020 |
|
|
2019 |
|
|
2020 |
|
|
2019 |
|
|
U.S. |
|
$ |
34,639 |
|
|
$ |
636,628 |
|
|
$ |
472,096 |
|
|
$ |
1,941,545 |
|
|
Brazil |
|
|
513 |
|
|
|
79,776 |
|
|
|
53,829 |
|
|
|
240,263 |
|
|
Other international countries |
|
|
556 |
|
|
|
108,996 |
|
|
|
64,232 |
|
|
|
323,246 |
|
|
Eliminations |
|
|
(230 |
) |
|
|
(3,583 |
) |
|
|
(2,089 |
) |
|
|
(10,758 |
) |
|
Total |
|
$ |
35,478 |
|
|
$ |
821,817 |
|
|
$ |
588,068 |
|
|
$ |
2,494,296 |
|
|
|
|
As of |
|
|
As of |
|
|
Theatre Properties and Equipment-net |
|
September 30, 2020 |
|
|
December 31, 2019 |
|
|
U.S. |
|
$ |
1,324,924 |
|
|
$ |
1,436,275 |
|
|
Brazil |
|
|
71,338 |
|
|
|
118,367 |
|
|
Other international countries |
|
|
149,561 |
|
|
|
180,605 |
|
|
Total |
|
$ |
1,545,823 |
|
|
$ |
1,735,247 |
|
|