SEGMENTS - HOLDINGS

12 Months Ended

Dec. 31, 2024

Segment Reporting [Abstract]

Segments - Holdings

21.SEGMENTS - HOLDINGS

The international market and U.S. market are managed as separate reportable segments, with the international segment consisting of operations in Brazil, Argentina, Chile, Colombia, Peru, Honduras, El Salvador, Nicaragua, Costa Rica, Panama, Guatemala, Bolivia and Paraguay. The Company closed its one theater in Curacao in January 2023 and sold its Ecuador subsidiary in September 2023. See Note 7 for a discussion of the sale of our Ecuador subsidiary. Each segment’s revenue is derived from admissions and concession sales and other ancillary revenue. Holdings 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’s chief operating decision makers are the chief executive officer and the chief financial officer (together, the “CODM”). The CODM uses Adjusted EBITDA for each segment in the annual budget and forecasting process. The CODM considers budget-to-actual and forecast-to-actual variances for actual Adjusted EBITDA with comparisons to budget, forecast and trends when making decisions about the allocation of operating and capital resources to each segment. The CODM also uses Adjusted EBITDA to assess the performance of each segment and

in determining the incentive compensation under its long-term incentive plan and evaluating performance metrics for certain equity awards.

The Company does not report total assets by segment because that information is not used to evaluate the performance or allocate resources between segments.

The following tables set forth a breakdown of selected financial information by reportable segment for Holdings for the periods presented, and include a reconciliation to Adjusted EBITDA:

	Year Ended December 31, 2024
	U.S. Reportable Segment			International Reportable Segment			Consolidated
Revenue	$	2,448.1		$	612.7		$	3,060.8
Elimination of intersegment revenue		(11.3	)		—			(11.3	)
Total Revenue		2,436.8			612.7			3,049.5
Less: (1)
Film rentals and advertising		714.4			145.2			859.6
Concession supplies		174.5			50.9			225.4
Salaries and wages		335.6			66.2			401.8
Facility lease expense		245.8			79.5			325.3
Utilities and other (2)		356.5			102.9			459.4
General and administrative		172.2			45.9			218.1
Other segment items (3)		(28.8	)		(1.5	)		(30.3	)
Adjusted EBITDA (4)	$	466.6		$	123.6		$	590.2

	Year Ended December 31, 2023
	U.S. Reportable Segment			International Reportable Segment		Consolidated
Revenue	$	2,428.1		$	651.4	$	3,079.5
Elimination of intersegment revenue		(12.8	)		—		(12.8	)
Total Revenue		2,415.3			651.4		3,066.7
Less: (1)
Film rentals and advertising		703.6			162.1		865.7
Concession supplies		169.1			52.2		221.3
Salaries and wages		333.8			69.3		403.1
Facility lease expense		246.6			83.1		329.7
Utilities and other (2)		355.4			111.4		466.8
General and administrative		155.7			43.1		198.8
Other segment items (3)		(12.8	)		—		(12.8	)
Adjusted EBITDA (4)	$	463.9		$	130.2	$	594.1

	Year Ended December 31, 2022
	U.S. Reportable Segment			International Reportable Segment			Consolidated
Revenue	$	1,977.9		$	484.5		$	2,462.4
Elimination of intersegment revenue		(7.7	)		—			(7.7	)
Total Revenue	$	1,970.2		$	484.5		$	2,454.7
Less: (1)
Film rentals and advertising		584.4			120.0			704.4
Concession supplies		130.5			38.8			169.3
Salaries and wages		314.7			58.0			372.7
Facility lease expense		250.1			58.2			308.3
Utilities and other (2)		313.7			93.5			407.2
General and administrative		141.9			35.7			177.6
Other segment items (3)		(20.8	)		(0.5	)		(21.3	)
Adjusted EBITDA (4)	$	255.7		$	80.8		$	336.5

(1)The significant expense categories and amounts presented align with the segment-level information that is regularly provided to the CODM.

(2)Utilities and other for the International reportable segment is shown net of intersegment expenses of $11.3, $12.8, and $7.7 for the years ended December 31, 2024, 2023 and 2022, respectively.

(3)Other segment items for each reportable segment includes non-cash rent, share-based compensation expense and cash distributions from equity investees (reported entirely within the U.S. reportable segment).

(4)See the table below for a reconciliation of net (loss) income to Adjusted EBITDA.

The following table sets forth a reconciliation of net (loss) income to Adjusted EBITDA for Holdings for the periods presented:

	Year Ended December 31,
	2022			2023			2024
Net (loss) income	$	(268.0	)	$	191.5		$	312.9
Add (deduct):
Income tax (benefit) expense		3.0			29.9			(60.1	)
Interest expense (1)		155.3			150.4			144.0
Other expense (income), net (2)		23.6			(19.6	)		(44.4	)
Cash distributions from equity investees (3)		6.9			5.7			9.3
Depreciation and amortization		238.2			209.5			197.5
Impairment of long-lived and other assets		174.1			16.6			1.5
Restructuring costs		(0.5	)		—			—
(Gain) loss on disposal of assets and other		(6.8	)		(7.7	)		1.6
Loss on debt amendments and extinguishments		—			10.7			6.9
Non-cash rent expense		(10.8	)		(17.9	)		(12.5	)
Share-based awards compensation expense		21.5			25.0			33.5
Adjusted EBITDA	$	336.5		$	594.1		$	590.2

(1)Includes amortization of debt issuance costs, amortization of original issue discount, and amortization of accumulated (gains) losses for amended swap agreements.

(2)Includes interest income, foreign currency exchange and other related loss, interest expense – NCM, equity in income (loss) of affiliates and net gain on investment in NCMI. Excludes distributions from DCIP.

(3)Reflects cash distributions received from equity investees that were recorded as a reduction of the respective investment balances (see Note 9). These distributions are reported entirely within the U.S. reportable segment.

Holdings capital expenditures by reportable segment

The following table is a breakdown of capital expenditures by reportable segment for Holdings for the periods presented:

	Year Ended December 31,
	2022		2023		2024
Capital expenditures
U.S.	$	87.2	$	111.5	$	109.1
International		23.5		38.0		41.7
Total capital expenditures	$	110.7	$	149.5	$	150.8

Financial Information About Geographic Area

The following table sets forth a breakdown of select financial information for Holdings by geographic area for the periods presented:

	Year Ended December 31,
	2022	2023	2024
Revenue
U.S.	$1,977.9	$2,428.1	$2,448.1
Brazil	179.0	233.4	243.8
Other international countries	305.5	418.0	368.9
Eliminations	(7.7)	(12.8)	(11.3)
Total	$2,454.7	$3,066.7	$3,049.5

	As of December 31,
	2023	2024
Theater properties and equipment, net
U.S.	$1,002.1	$996.1
Brazil	54.7	47.2
Other international countries	104.9	101.8
Total	$1,161.7	$1,145.1