After a disappointing first-quarter, Regal Entertainment Group’s second-quarter is looking much improved thanks to a string of blockbusters like “Iron Man 3,” “Star Trek: Into Darkness,” “The Great Gatsby” and others.
Summer ticket sales are up sharply from a year ago — about 14 percent, according to a report by The Wall Street Journal’s Marketwatch web site.
And when admissions are up that means the Knoxville-based theater operator is selling more popcorn, soda, candy and other high-margin concessions.
Regal reported a first-quarter profit of $22.5 million, a 51 percent drop from the 2012 1Q.
The 2013 second-quarter should be much improved.
“As measured from the first weekend of May through July 1, the 2013 year-to-date summer movie season has generated more than $2.4 billion in gross box-office receipts according to data compiled by Boxofficemojo.com. That’s up nearly 14% from 2012’s result and is the first double-digit year-over-year gain since 2002. And the season isn’t out of steam yet, with upcoming titles like “The Wolverine,” “Elysium” and “Pacific Rim,” Marketwatch reported.
Click here for the Marketwatch report comparing Regal and competitor Cinemark.
Movie theater attendance was down last year and 2012 expectations are uncertain. Even so, a writer for the investment website Investopedia says today it’s a good time to own Regal Entertainment Group stock.
Taking a less rosy outlook on the Knoxville-based movie theater operator are a pair of financial research firms that on Tuesday downgraded Regal stock and lowered their price estimates.