Cinemark Holdings, Inc. - FORM 8-K - EX-99.1 - EARNINGS PRESS RELEASE DATED AUGUST 6, 2012

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Exhibit 99.1

LOGO

CINEMARK HOLDINGS, INC. REPORTS Q2 2012 ADJUSTED EBITDA OF $157.0 MILLION

ON REVENUES OF $649.6 MILLION

Plano, TX, August 6, 2012 – Cinemark Holdings, Inc. (NYSE: CNK), one of the largest motion picture exhibitors in the world, today reported results for the three and six months ended June 30, 2012.

Cinemark Holdings, Inc.’s revenues for the three months ended June 30, 2012 were $649.6 million compared to $620.6 million for the three months ended June 30, 2011. For the three months ended June 30, 2012, admissions revenues were $418.1 million and concession revenues were $201.4 million.

Adjusted EBITDA for the three months ended June 30, 2012 was $157.0 million compared to $149.8 million for the three months ended June 30, 2011. Reconciliations of non-GAAP financial measures are provided in the financial schedules accompanying this press release.

Net income attributable to Cinemark Holdings, Inc. for the three months ended June 30, 2012 was approximately $51.6 million compared to $40.4 million for the three months ended June 30, 2011. Net income for the three months ended June 30, 2011 included a loss on early retirement of debt of approximately $4.9 million, before income taxes.

Cinemark Holdings, Inc.’s revenues for the six months ended June 30, 2012 increased to $1,228.4 million from $1,103.7 million for the six months ended June 30, 2011. During the six months ended June 30, 2012, admissions revenues were $791.9 million and concession revenues were $381.2 million.

Adjusted EBITDA for the six months ended June 30, 2012 was $297.3 million compared to $252.5 million for the six months ended June 30, 2011. Reconciliations of non-GAAP financial measures are provided in the financial schedules accompanying this press release.

Net income attributable to Cinemark Holdings, Inc. for the six months ended June 30, 2012 was $93.7 million compared to $65.4 million for the six months ended June 30, 2011. Net income for the six months ended June 30, 2011 included a loss on early retirement of debt of approximately $4.9 million, before income taxes.

On June 30, 2012, the Company’s aggregate screen count was 5,207. As of June 30, 2012, the Company had signed commitments to open 11 new theatres and 91 screens by the end of 2012 and open 16 new theatres with 167 screens subsequent to 2012.

Conference Call/Webcast – Today at 8:30 AM ET

Telephone: via (800) 374-1346 or (706) 679-3149 (for international callers).

Live Webcast: available live at investors.cinemark.com and archived for a limited time immediately following the call.

About Cinemark Holdings, Inc.

Cinemark is a leading domestic and international motion picture exhibitor, operating 461 theatres with 5,207 screens in 39 U.S. states, Brazil, Mexico and 11 other Latin American countries as of June 30, 2012. For more information go to investors.cinemark.com.

Contacts:

Robert Copple – 972/665-1500 or investors@cinemark.com

Chanda Brashears – 972-665-1671 or cbrashears@cinemark.com

Forward-looking Statements

This press release includes “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” include our current expectations, assumptions, estimates and projections about our business and our industry. They 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. You can identify forward-looking statements by the use of words such as “may,” “should,” “could,” “estimates,” “predicts,” “potential,” “continue,” “anticipates,” “believes,” “plans,” “expects,” “future” and “intends” and similar expressions which are intended to identify 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 and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements. In evaluating forward-looking statements, you should carefully consider the risks and uncertainties described in the “Risk Factors” section or other sections in the Company’s Annual Report on Form 10-K filed February 29, 2012 and quarterly reports on Form 10-Q. All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by these cautionary statements and risk factors. Forward-looking statements contained in this press release reflect our view only as of the date of this press release. 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.

Cinemark Holdings, Inc.

Financial and Operating Summary

(unaudited, in thousands)


	Three months ended June 30,						Six months ended June 30,
	2012			2011			2012			2011
Statement of income data:
Revenues
Admissions	$	418,073		$	405,917		$	791,866		$	717,609
Concession		201,414			189,353			381,234			336,034
Other		30,119			25,323			55,324			50,086

Total revenues		649,606			620,593			1,228,424			1,103,729
Cost of operations
Film rentals and advertising		227,301			222,620			422,716			387,773
Concession supplies		31,787			29,628			60,238			52,910
Facility lease expense		71,614			69,367			140,176			135,793
Other theatre operating expenses		131,923			123,605			256,924			233,511
General and administrative expenses		35,951			31,187			70,015			60,173
Depreciation and amortization		36,341			39,897			73,157			79,037
Impairment of long-lived assets		311			1,594			496			2,609
Loss on sale of assets and other		469			5,694			1,305			6,166

Total cost of operations		535,697			523,592			1,025,027			957,972

Operating income		113,909			97,001			203,397			145,757
Interest expense ⁽¹⁾		(31,375	)		(29,777	)		(63,508	)		(59,067	)
Distributions from NCM		386			1,559			8,417			11,422
Loss on early retirement of debt		—			(4,945	)		—			(4,945	)
Other income		63			443			5,485			5,473

Income before income taxes		82,983			64,281			153,791			98,640
Income taxes		30,844			23,272			58,776			32,309

Net income	$	52,139		$	41,009		$	95,015		$	66,331
Less: Net income attributable to noncontrolling interests		501			598			1,273			957

Net income attributable to Cinemark Holdings, Inc.	$	51,638		$	40,411		$	93,742		$	65,374

Earnings per share attributable to Cinemark Holdings, Inc.’s common stockholders:
Basic	$	0.45		$	0.35		$	0.82		$	0.57

Diluted	$	0.45		$	0.35		$	0.82		$	0.57

Weighted average diluted shares outstanding		113,737			113,209			113,568			113,080

Other financial data:
Adjusted EBITDA ⁽²⁾	$	156,952		$	149,791		$	297,280		$	252,497

⁽¹⁾	Includes amortization of debt issue costs.

⁽²⁾	Adjusted EBITDA is a non-GAAP financial measure. A reconciliation of Adjusted EBITDA to net income is provided in the financial schedules accompanying this press release.


	As of		As of
	June 30,		December 31,
	2012		2011
Balance sheet data:
Cash and cash equivalents	$	524,282	$	521,408
Theatre properties and equipment, net	$	1,242,695	$	1,238,850
Total assets	$	3,542,360	$	3,522,408
Long-term debt, including current portion	$	1,566,396	$	1,572,221
Equity	$	1,058,136	$	1,023,639


	Three months ended June 30,				Six months ended June 30,
	2012		2011		2012		2011
Other operating data:
Attendance (patrons):

Domestic		42,013		43,915		81,843		77,304
International		26,782		22,245		48,500		42,627

Worldwide		68,795		66,160		130,343		119,931

Average ticket price (in dollars):
Domestic	$	6.84	$	6.64	$	6.77	$	6.53
International	$	4.88	$	5.16	$	4.91	$	4.99
Worldwide	$	6.08	$	6.14	$	6.08	$	5.98

Concession revenues per patron (in dollars):
Domestic	$	3.38	$	3.19	$	3.34	$	3.17
International	$	2.23	$	2.23	$	2.23	$	2.14
Worldwide	$	2.93	$	2.86	$	2.93	$	2.80

Average screen count (month end average):
Domestic		3,911		3,835		3,901		3,829
International		1,284		1,132		1,280		1,126

Worldwide		5,195		4,967		5,181		4,955

Segment Information

(unaudited, in thousands)


	Three months ended June 30,						Six months ended June 30,
	2012			2011			2012			2011
Revenues
U.S.	$	443,765		$	444,479		$	854,990		$	775,345
International		208,372			178,720			378,247			333,191
Eliminations		(2,531	)		(2,606	)		(4,813	)		(4,807	)

Total revenues	$	649,606		$	620,593		$	1,228,424		$	1,103,729

Adjusted EBITDA ⁽¹⁾
U.S.	$	103,391		$	110,015		$	207,684		$	178,806
International		53,561			39,776			89,596			73,691

Total Adjusted EBITDA	$	156,952		$	149,791		$	297,280		$	252,497

Capital expenditures
U.S.	$	27,109		$	27,977		$	46,803		$	39,445
International		19,494			21,556			46,784			45,857

Total capital expenditures	$	46,603		$	49,533		$	93,587		$	85,302

Reconciliation of Adjusted EBITDA

(unaudited, in thousands)


	Three months ended						Six months ended
	June 30,						June 30,
	2012			2011			2012			2011
Net income	$	52,139		$	41,009		$	95,015		$	66,331
Income taxes		30,844			23,272			58,776			32,309
Interest expense		31,375			29,777			63,508			59,067
Loss on early retirement of debt		—			4,945			—			4,945
Other income		(63	)		(443	)		(5,485	)		(5,473	)
Depreciation and amortization		36,341			39,897			73,157			79,037
Impairment of long-lived assets		311			1,594			496			2,609
Loss on sale of assets and other		469			5,694			1,305			6,166
Deferred lease expenses—theatres ⁽²⁾		197			243			317			539
Deferred lease expenses – DCIP equipment ⁽³⁾		1,010			627			2,013			1,111
Amortization of long-term prepaid rents ⁽²⁾		776			617			1,310			1,284
Share based awards compensation expense ⁽⁴⁾		3,553			2,559			6,868			4,572

Adjusted EBITDA ⁽¹⁾	$	156,952		$	149,791		$	297,280		$	252,497

⁽¹⁾

Adjusted EBITDA as calculated in the chart above represents net income before income taxes, interest expense, loss on early retirement of debt, other income, depreciation and amortization, impairment of long-lived assets, loss on sale of assets and other, changes in deferred lease expense, amortization of long-term prepaid rents and share based awards compensation expense. Adjusted EBITDA is a non-GAAP financial measure commonly used in our industry and should not be construed as an alternative to net income as an indicator of operating performance or as an alternative to cash flow provided by operating activities as a measure of liquidity (as determined in accordance with GAAP). Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies. We have included Adjusted EBITDA because we believe it provides management and investors with additional information to measure our performance and liquidity, estimate our value and evaluate our ability to service debt. In addition, we use Adjusted EBITDA for incentive compensation purposes.

⁽²⁾	Non-cash expense included in facility lease expense.

⁽³⁾	Non-cash expense included in other theatre operating expenses.

⁽⁴⁾	Non-cash expense included in general and administrative expenses.

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