Cineplex Reports Third Quarter 2025 Results

Announces Appointment of Kevin Johnson to Board of Directors

TORONTO, Nov. 6, 2025 /CNW/ - (TSX: CGX) - Today, Cineplex Inc. ("Cineplex" or the "Company") released its financial results for the three and nine months ended September 30, 2025. Unless otherwise specified, all amounts contained in this news release are in Canadian dollars.

Q3 2025 Highlights:

• Generated Adjusted EBITDAaL of $33.3 million, compared to $47.9 million in the prior year primarily due to an attendance decline of 9.1% as the prior year benefited from the record-breaking performance of Deadpool & Wolverine
• Premium experiences accounted for an impressive 44.7% of total box office revenue
• International film product contributed 13.6% of total box office revenues, marking the highest third quarter share in Cineplex's history
• Cinema Media per Patron increased 16.7% year-over-year
• Renewed Normal Course Issuer Bid ("NCIB") Program

"The consistency of film product and the continued appetite for premium experiences remained evident throughout the third quarter despite not having a title comparable to last year's historic Deadpool & Wolverine," said Ellis Jacob, President and CEO, Cineplex. "Audiences responded enthusiastically to a diverse slate of original and international films, reinforcing the value of our elevated and immersive theatrical offerings.

Cinema media remains a premium platform for advertisers, with sustained year-over-year growth reflecting resilience despite a challenging advertising market. Subsequent to quarter end, we announced the sale of Cineplex Digital Media, which will enhance our financial flexibility, enabling us to reduce leverage, pursue strategic share repurchases within the parameters of our current debt agreements and allocate capital toward broader corporate priorities.

We also saw contributions from our Location-Based Entertainment portfolio, with the addition of three new venues in late 2024, driving incremental revenue over the prior year. Together, these achievements underscore our commitment to delivering consistent cash flow and long-term value for our shareholders.

This past September, we were deeply saddened by the passing of Nadir Mohamed a member of the Board of Directors since 2017. His strategic insight and thoughtful leadership contributed to many impactful decisions that will continue to shape the Company's future. This marks a profound loss for Cineplex and the Canadian entertainment industry."

ANNOUNCES APPOINTMENT OF KEVIN JOHNSON TO BOARD OF DIRECTORS

The Company is pleased to announce the appointment of Kevin Johnson to its Board of Directors, effective immediately. Mr. Johnson is a recognized leader in the Canadian media and advertising industry, currently serving as CEO of WPP Media Canada and President of WPP Canada. Mr. Johnson has more than two decades of experience driving growth and innovation and brings deep expertise in marketing strategy and new business development.

His strategic vision and experience will be invaluable in advancing the Company's strategic priorities in the film entertainment, media and location-based entertainment businesses. 

Third Quarter Financial Results

Financial highlights	Third Quarter					Year to Date
(in thousands of dollars, except theatre attendance in thousands of patrons and per share and per patron amounts)	2025		2024		Change (i)	2025		2024		Change (i)
			(iv)					(iv)
Total revenues	$	348,938	$	382,280	-8.7 %	$	949,998	$	933,860	1.7 %
Theatre attendance		12,054		13,255	-9.1 %		32,029		31,805	0.7 %
Net income (loss) from continuing operations	$	1,365	$	(22,900)	NM	$	(33,622)	$	(103,531)	-67.5 %
Net income from discontinued operations, including gain on disposition	$	(154)	$	(1,834)	-91.6 %	$	(3,980)	$	62,518	NM
Net income (loss) (ii)	$	1,211	$	(24,734)	NM	$	(37,602)	$	(41,013)	-8.3 %
Cash provided by continuing operating activities	$	26,760	$	17,845	50.0 %	$	45,471	$	49,191	-7.6 %
Box office revenues per patron ("BPP") (iii)	$	13.23	$	13.19	0.3 %	$	13.11	$	13.03	0.6 %
Concession revenues per patron ("CPP") (iii)	$	9.65	$	9.85	-2.0 %	$	9.66	$	9.49	1.8 %
Adjusted EBITDA (iii)	$	73,048	$	88,105	-17.1 %	$	177,578	$	174,358	1.8 %
Adjusted EBITDAaL (iii)	$	33,332	$	47,914	-30.4 %	$	56,508	$	54,187	4.3 %
Adjusted EBITDAaL from discontinued operations (iii)	$	471	$	(432)	NM	$	(87)	$	(687)	-87.3 %
Adjusted EBITDAaL including discontinued operations (iii)	$	33,803	$	47,482	-30.4 %	$	56,421	$	53,500	5.5 %
Adjusted EBITDAaL margin from continuing operations (iii)		9.6 %		12.5 %	-2.9 %		5.9 %		5.8 %	0.1 %
Adjusted free cash flow (iii)	$	15,504	$	(7,666)	NM	$	6,780	$	(26,130)	NM
Adjusted free cash flow per share (iii)	$	0.244	$	(0.120)	NM	$	0.107	$	(0.410)	NM
Earnings (loss) per share from continuing operations - basic (ii)	$	0.02	$	(0.36)	NM	$	(0.53)	$	(1.62)	-67.3 %
Earnings per share from discontinued operations - basic	$	--	$	(0.03)	NM	$	(0.06)	$	0.98	NM
Earnings (loss) per share - basic (ii)	$	0.02	$	(0.39)	NM	$	(0.59)	$	(0.64)	-7.8 %
Earnings (loss) per share from continuing operations - diluted (ii)	$	0.02	$	(0.36)	NM	$	(0.53)	$	(1.62)	-67.3 %
Earnings per share from discontinued operations - diluted	$	--	$	(0.03)	NM	$	(0.06)	$	0.98	NM
Earnings (loss) per share - diluted (ii)	$	0.02	$	(0.39)	NM	$	(0.59)	$	(0.64)	-7.8 %

(i) Period over period change calculated based on thousands of dollars except percentage and per share values. Changes in percentage amounts are calculated as
2025 value less 2024 value.

(ii) 2025 includes expenses related to other transactions or litigation outside the normal course of business in the amount of $0.4 million (2024 - $0.1 million) for
the third quarter and $0.9 million (2024 - $2.5 million) for year to date. The third quarter of 2024 includes the loss on the 2024 Refinancing of $nil and $56.0 million
for year to date, and includes the $39.2 million provision for the Competition Tribunal's administrative monetary policy.

(iii) Adjusted EBITDA, adjusted EBITDAaL, adjusted EBITDAaL margin, adjusted free cash flow per common share of Cineplex, BPP and CPP are measures that
do not have a standardized meaning under generally accepted accounting principles ("GAAP").  These measures as well as other Non-GAAP other financial
measures reported by Cineplex are defined in the 'Non-GAAP and Other Financial Measures' section at the end of this news release.

(iv)  The results of discontinued operations from CDM and P1AG have been excluded from prior period figures as applicable per IFRS 5 to conform to the
current period presentation. All amounts are from continuing operations unless otherwise noted.

 Third Quarter and July Box Office Results

The following table compares 2025 monthly box office revenues to 2024 monthly box office revenues:

Month	2024 Box office (i)	2025 Box office (i)	2025 as a percentage of 2024
July	$72,468	$72,722	100 %
August	$67,198	$49,087	73 %
September	$35,218	$37,669	107 %
Q3 Total	$174,884	$159,477	91 %
October	$34,031	$29,886	88 %
(i) Amounts are in thousands of dollars.

KEY DEVELOPMENTS IN THE THIRD QUARTER OF 2025

The following describes certain key business initiatives undertaken and results achieved during 2025 in each of Cineplex's core business areas:

FILM ENTERTAINMENT AND CONTENT

Theatre Exhibition

• Reported third quarter box office revenues of $159.5 million, a decrease of $15.4 million or 8.8% from $174.9 million in the prior year. The decrease is due to a 9.1% decrease in theatre attendance, driven by a stronger film slate in the prior year, which included Deadpool & Wolverine.
• Reported a third quarter record BPP of $13.23, an increase of $0.04 or 0.3% compared to the prior year of $13.19.
• During the Labour Day weekend, Cineplex offered general admission movie tickets and a small bag of popcorn for $5 each, plus tax, in order to drive incremental attendance.

Theatre Food Service

• Reported third quarter theatre food service revenues of $116.3 million, a decrease of $14.3 million or 10.9% compared to the prior year, primarily due to a 9.1% decrease in theatre attendance. 
• Reported a third quarter CPP of $9.65, a decrease of $0.20 or 2.0% compared to the prior year, primarily due to a decrease in average transaction spend from the Labour Day weekend promotion.

Alternative Programming and Distribution

• Cineplex Pictures (Cineplex's distribution business) distributed The Long Walk, The Strangers - Chapter 2, and Shin Godzilla 4K during the third quarter.
• Continued its leadership position in alternative programming, with international films accounting for 13.6% of third quarter box office revenues, compared to an 8.4% share across North America. Strong performing titles included Chal Mera Putt 4 (Punjabi) and Sadaar Ji 3 (Punjabi), each representing over 70% of the North American box office for their respective releases, along with Demon Slayer: Kimetsu No Yaiba Infinity Castle (Japanese) of which became the highest-grossing foreign-language film of all time at both the box office and in Cineplex history.
• Event Cinema programming featured a variety of successful initiatives including the sing-along event of the hit movie KPop Demon Hunters, the anime screening of JUJUTSU KAISEN: Hidden Inventory / Premature Death - The Movie, and Andre Rieu's Waltz the Night Away!, which continued to attract fans to theatres with an annual Maastricht concert.

CINEMA MEDIA

• Reported third quarter cinema media revenues of $19.2 million, an increase of $1.1 million or 6.1% from the prior year despite the challenging overall advertising market.
• Continued to leverage expertise in data and analytics to drive revenues.

LOCATION-BASED ENTERTAINMENT

• Reported third quarter revenues and a third quarter record of $34.6 million, an increase of $3.5 million or 11.3% compared to the prior year due to three additional locations that opened in the fourth quarter of 2024. 
• Reported third quarter adjusted store level EBITDAaL of $5.8 million, a decrease of $1.8 million or 23.7% compared to the prior year, primarily due to an increase in operating expenses due to three new locations.

LOYALTY

• Membership in the Scene+ loyalty program was over 15 million members as at September 30, 2025.

CORPORATE 

• On October 16, 2025, Cineplex Entertainment Limited Partnership announced that it had entered into a definitive purchase agreement to sell 100% of the issued and outstanding shares of DDC Group International Inc., which operated the digital place-based media division through its wholly owned subsidiary (CDM), for cash proceeds of $70.0 million, subject to customary post-closing adjustments.  
• Cineplex renewed its NCIB on August 26, 2025, authorizing the repurchase and cancellation of up to 6.3 million common shares (the "Common Shares"), representing 10% of its public float outstanding as of August 14, 2025. 
• Commemorated National Day for Truth and Reconciliation on September 30, 2025, by raising awareness, honouring Indigenous communities through Pre-Show content.
• During the quarter, Cineplex was deeply saddened by the passing of Nadir Mohamed, a valued member of Cineplex's board of directors since 2017. Nadir's strategic guidance and contributions made a meaningful and lasting impact on Cineplex.

NON-GAAP AND OTHER FINANCIAL MEASURES

National Instrument 52-112, Non-GAAP and Other Financial Measures Disclosure ("NI 52-112") imposes obligations regarding disclosure of non-GAAP financial measures, non-GAAP ratios, and other financial measures. Cineplex reports on certain non-GAAP measures, non-GAAP ratios, supplementary financial measures and total segment measures that are used by management to evaluate Cineplex's performance. The following measures included in this news release do not have a standardized meaning under GAAP and may not be comparable to similar measures provided by other issuers. Cineplex includes these measures because management believes that they assist investors in assessing financial performance. These non-GAAP and other financial measures are used throughout this news release and are defined below.

NON-GAAP FINANCIAL MEASURES

A non-GAAP financial measure is defined in NI 52-112 as a financial measure disclosed that (a) depicts the historical or expected future financial performance, financial position or cash flow of an entity, (b) with respect to its composition, excludes an amount that is included in, or includes an amount that is excluded from, the composition of the most directly comparable financial measure disclosed in the primary financial statements of the entity, (c) is not disclosed in the financial statements of the entity, and (d) is not a ratio, fraction, percentage or similar representation.

NON-GAAP RATIOS

A non-GAAP ratio is defined in NI 52-112 as a financial measure disclosed that (a) is in the form of a ratio, fraction, percentage or similar representation, (b) has a non-GAAP financial measure as one or more of its components, and (c) is not disclosed in the financial statements.

Below are non-GAAP financial measures or non-GAAP ratios for continuing operations that are reported by Cineplex.

EBITDA, ADJUSTED EBITDA AND ADJUSTED EBITDAaL

Management defines EBITDA as earnings before interest income and expense, income taxes and depreciation and amortization expense. Adjusted EBITDA excludes the change in fair value of financial instrument, loss (gain) on disposal of assets, foreign exchange, and impairment, depreciation, amortization, interest and taxes of Cineplex's other joint ventures and associates, and other items that do not in management's view represent a factor relevant to the ongoing performance of the business such as the Competition Tribunal's administrative monetary penalty. Adjusted EBITDAaL modifies adjusted EBITDA to deduct current period cash rent paid or payable related to lease obligations.

Subsequent to the adoption of IFRS 16, Leases, by Cineplex effective January 1, 2019, the calculation of EBITDA no longer includes a charge for amounts paid or payable with respect to leased property and equipment. Given the majority of Cineplex's businesses are carried on in leased premises, Cineplex introduced the measure of adjusted EBITDAaL which includes a deduction for cash rent paid/payable related to lease obligations. Cineplex's management believes that adjusted EBITDAaL is an important supplemental measure of Cineplex's profitability at an operational level and provides analysts and investors with comparability in evaluating and valuing Cineplex's performance period over period. EBITDA, adjusted for various unusual items, is also used to define certain financial covenants in Cineplex's 2024 Credit Facility. Management calculates adjusted EBITDAaL margin by dividing adjusted EBITDAaL by total revenues.

EBITDA, adjusted EBITDA and adjusted EBITDAaL are non-GAAP measures generally used as an indicator of financial performance and they should not be seen as a measure of liquidity or a substitute for comparable metrics prepared in accordance with GAAP. Cineplex's EBITDA, adjusted EBITDA and adjusted EBITDAaL may differ from similar calculations as reported by other entities and accordingly may not be comparable to EBITDA, adjusted EBITDA or adjusted EBITDAaL reported by other entities.

Adjusted Store Level EBITDAaL Metrics
Cineplex reviews and reports adjusted EBITDAaL at the location level for LBE which is calculated as total LBE revenues from all locations less total LBE operating expenses, which excludes pre-opening costs and overhead relating to the management of LBE.

Adjusted Store Level EBITDAaL Margin
Calculated as adjusted store level EBITDAaL divided by total revenues for LBE for the period.

SUPPLEMENTARY FINANCIAL MEASURES

Supplementary financial measures are financial measures that are not (a) presented in the financial statements and (b) are, or are intended to be, disclosed periodically to depict the historical or expected future financial performance, financial position or cash flow, that is not a non-GAAP financial measure or a non-GAAP ratio as defined in the instrument. Below are supplementary financial measures that Cineplex uses to depict its financial performance, financial position or cash flows.

Earnings (loss) per Share Metrics

Cineplex has presented basic and diluted earnings (loss) per share net of this item to provide a more comparable loss per share metric between the current periods and prior year periods. In the non-GAAP and other financial measures, earnings is defined as net income or net loss attributable to Cineplex excluding the change in fair value of financial instruments.

Per Patron Revenue Metrics
Cineplex reviews per patron metrics as they relate to box office revenue, theatre food service revenue and cinema media revenue such as BPP, CPP, BPP excluding premium priced product, concession margin per patron, and CMPP, as these are key measures used by investors to value and assess Cineplex's performance, and are widely used in the theatre exhibition industry.  Cineplex's management defines these metrics as follows:

Theatre attendance: Theatre attendance is calculated as the total number of paying patrons that frequent Cineplex's theatres during the period.

BPP: Calculated as total box office revenues divided by total paid theatre attendance for the period.

BPP excluding premium priced product: Calculated as total box office revenues for the period, less box office revenues from 3D, 4DX, UltraAVX, VIP, ScreenX and IMAX product; divided by total paid theatre attendance for the period, less paid theatre attendance for 3D, 4DX, UltraAVX, VIP, ScreenX and IMAX product.

CPP: Calculated as total theatre food service revenues divided by total paid theatre attendance for the period.

CMPP: Calculated as total cinema media revenues divided by total paid theatre attendance for the period.

Premium priced product: Defined as 3D, 4DX, UltraAVX, IMAX, ScreenX and VIP film product.

Theatre concession margin per patron: Calculated as total theatre food service revenues less total theatre food service cost, divided by theatre attendance for the period.

Same Theatre Analysis
Cineplex reviews and reports same theatre metrics relating to box office revenues, theatre food service revenues, theatre rent expense and theatre payroll expense, as these measures are widely used in the theatre exhibition industry as well as other retail industries.

Same theatre metrics are calculated by removing the results for all theatres that have been opened, acquired, closed or otherwise disposed of subsequent to the start of the prior year comparative period. For the three months ended September 30, 2025 the impact of one location that was opened or acquired and two locations that were closed or otherwise disposed of have been excluded, resulting in 154 theatres being included in the same theatre metrics. For the nine months ended September 30, 2025 the impact of one location that was opened or acquired and four locations that were closed or otherwise disposed of have been excluded, resulting in 154 theatres being included in the same theatre metrics.

Same LBE Analysis
Cineplex reviews and reports same store LBE metrics relating to food service revenues, amusement revenues, media and other revenues, as these measures are widely used by comparable businesses in the industry.

Same store LBE metrics are calculated by removing the results for all LBE venues that have been opened, acquired, closed or otherwise disposed of subsequent to the start of the prior year comparative period. For the three months ended September 30, 2025 the impact of three locations that was opened or acquired have been excluded, resulting in 13 LBE venues being included in the same LBE metrics. For the nine months ended September 30, 2025 the impact of three locations that was opened or acquired have been excluded, resulting in 13 LBE venues being included in the same theatre metrics.

Cost of sales percentages
Cineplex reviews and reports cost of sales percentages for its two largest revenue sources; box office revenues and food service revenues, as these measures are widely used in the theatre exhibition industry. These measures are reported as film cost percentage and concession cost percentage, respectively, and are calculated as follows:

Film cost percentage: Calculated as total film cost expense divided by total box office revenues for the period.

Theatre concession cost percentage: Calculated as total theatre food service costs divided by total theatre food service revenues for the period.

LBE food cost percentage: Calculated as total LBE food costs divided by total LBE food service revenues for the period.

Certain information included in this news release contains forward-looking statements within the meaning of applicable securities laws. These forward-looking statements include, among others, statements with respect to Cineplex's objectives and goals, and the strategies to achieve those objectives and goals, as well as statements with respect to Cineplex's beliefs, plans, objectives, expectations, anticipations, estimates and intentions. The words "may", "will", "could", "should", "would", "suspect", "outlook", "believe", "plan", "anticipate", "estimate", "expect", "intend", "forecast", "objective" and "continue" (or the negative thereof), and words and expressions of similar import, are intended to identify forward-looking statements.

By their very nature, forward-looking statements involve inherent risks and uncertainties, including those described in Cineplex's Annual Information Form ("AIF"), Cineplex's management's discussion and analysis for the year ended December 31, 2024 ("Annual MD&A") and in this news release, which is incorporated herein by reference and available on SEDAR+ (www.sedarplus.ca). These risks and uncertainties, both general and specific, give rise to the possibility that predictions, forecasts, projections and other forward-looking statements will not be achieved. Certain material factors or assumptions are applied in making forward-looking statements and actual results may differ materially from those expressed or implied in such statements. Cineplex cautions readers not to place undue reliance on these statements as a number of important factors, many of which are beyond Cineplex's control, could cause actual results to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates and intentions expressed in such forward-looking statements. These factors include, but are not limited to, Cineplex's expectations with respect to liquidity and capital expenditures, including its ability to meet its ongoing capital, operating and other obligations, and anticipated needs for, and sources of, funds; Cineplex's ability to execute cost-cutting and revenue enhancement initiatives in response to adverse economic conditions; competition from alternative forms of entertainment and content delivery via streaming and other formats; the impacts of any pandemic, epidemic, natural disaster, governmental restrictions, strikes or the inability to procure materials and supplies; information concerning future purchases of Common Shares under Cineplex's normal course issuer bid ("NCIB"); the outcome of the litigation with respect to Cineplex's online booking fee (described in further detail in the Annual MD&A); and risks generally encountered in the relevant industry, competition, customer, legal, taxation and accounting matters.

The foregoing list of factors that may affect future results is not exhaustive. When reviewing Cineplex's forward-looking statements, readers should carefully consider the foregoing factors and other uncertainties and potential events. Additional information about factors that may cause actual results to differ materially from expectations and about material factors or assumptions applied in making forward-looking statements may be found in the "Risks and Uncertainties" section of Cineplex's Annual MD&A.

Cineplex does not undertake to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable Canadian securities law. Additionally, Cineplex undertakes no obligation to comment on analyses, expectations or statements made by third parties in respect of Cineplex, its financial or operating results or its securities. All forward-looking statements in this news release are made as of the date hereof and are qualified by these cautionary statements. Additional information, including Cineplex's AIF and Annual MD&A, can be found on SEDAR+ at www.sedarplus.ca.

You are cordially invited to participate in a conference call with the management of Cineplex (TSX: CGX) to review our third quarter results. Ellis Jacob, President and Chief Executive Officer and Gord Nelson, Chief Financial Officer, will host the call scheduled for:

Cineplex Inc. Q3 2025 Earnings Webcast:

Date:	Thursday, November 6, 2025
Time:	10:00 a.m. Eastern Time
Audio Webcast:	Audience URL https://events.q4inc.com/attendee/615118169
	Pre-registration available.
	An archive of the webcast will be available at https://corp.cineplex.com/investors after the webcast for a limited time.

All attendees should join the event 5-10 minutes prior to the scheduled start time. Media are welcome to join the call in listen-only mode.

About Cineplex

Cineplex (TSX:CGX) is a top-tier Canadian brand that operates in the Film Entertainment and Content, Amusement and Leisure, and Media sectors. Cineplex offers a unique escape from the everyday to millions of guests through its circuit of 171 movie theatres and location-based entertainment venues. In addition to being Canada's largest and most innovative film exhibitor, the company operates Canada's favourite destination for 'Eats & Entertainment' (The Rec Room), complexes specially designed for teens and families (Playdium), and an entertainment concept that brings movies, amusement gaming, dining, and live performances together under one roof (Cineplex Junxion). It also operates successful businesses in cinema media (Cineplex Media), digital place-based media (Cineplex Digital Media or CDM), alternative programming (Cineplex Events) and motion picture distribution (Cineplex Pictures). Providing even more value for its guests, Cineplex is a partner in Scene+, Canada's largest entertainment and lifestyle loyalty program.

Proudly recognized as having one of the country's Most Admired Corporate Cultures, Cineplex employs over 10,000 people in its offices and venues across Canada. To learn more, visit Cineplex.com.

SOURCE Cineplex

For further information: Investor Relations contact: Rayhan Azmat, Vice President, Investor Relations, Corporate Development & Financial Planning and Analysis, [email protected]; Media Relations contact: Michelle Saba, Vice President, Communications, [email protected]