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Segment Reporting
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Segment Reporting NOTE 4 – SEGMENT REPORTING

We report information about operating segments in accordance with ASC 280-10 Segment Reporting, which requires financial information to be reported based on the way management organizes segments with a company for making operating decisions and evaluating performance. We have organized our business into two reportable segments, being cinema exhibition and real estate.

Our cinema exhibition segment aggregates all our cinemas, both leased and owned, across the United States, Australia and New Zealand. Each of our cinemas earns revenue through the sale of movie tickets, food and beverage, screen advertising, theatre rentals, merchandise, gift card and loyalty membership, and other ancillary sales. The segment also earns revenue through service fees related to online ticket sales. Expenses are incurred through film rent, wages and salaries, food and beverage costs, occupancy costs, utilities, and other ancillary costs. We further organize this segment by geography, as while all our cinemas are engaged in substantially the same business activities, each geography is subject to its own unique regulatory and business conditions.

Our real estate segment aggregates all our retail, commercial and live theatre real estate assets across Australia, New Zealand, and the United States. Our retail and commercial real estate assets earn revenue through the leasing or licensing of space to third party tenants.

Our live theatre assets in the United States earn revenue through leasing or licensing space to third party production companies, an activity we consider sufficiently similar to our broader real estate base to support inclusion in our real estate segment. Our live theatre operations also earn revenue by providing front of house and box office services and through concession sale of food and beverage. All of our real estate assets incur expenses from property maintenance, utilities, taxes, and other costs of maintaining real estate and in some cases third party property management.

Each of these segments has discrete and separate financial information and for which operating results are evaluated regularly by our President, Chief Executive Officer and Vice Chair of the Board of Directors, the chief operating decision-maker (“CODM”) of the Company. The CODM is responsible for the allocation of resources to, and the assessment of the performance of, our operating segments. The CODM determines, among other things:

-the execution, renewal or termination of cinema leases

-the execution, renewal or termination of third-party tenant leases

-significant capital expenditures

-internal resource allocation

-operational budgets.

Segment operating income is a key measure of profit or loss used by the CODM to assess segment performance and allocate resources. Segment operating income includes certain amounts charged by our real estate segment to our cinema exhibition segment where a cinema exhibition is a tenant of the real estate segment. These charges are eliminated for consolidated financial statement purposes in the consolidated income statement, but are presented gross to the CODM.

The tables below summarize the results of operations for each of our business segments, presenting a reconciliation of segment revenue to operating segment income, and the impact of inter-segment transactions.

Quarter Ended

Quarter Ended

Nine Months Ended

Nine Months Ended

September 30, 2025

September 30, 2024

September 30, 2025

September 30, 2024

(Dollars in thousands)

Cinema

Real
‎Estate

Total

Cinema

Real
‎Estate

Total

Cinema

Real
‎Estate

Total

Cinema

Real
‎Estate

Total

Revenue - third party

$

48,555

$

3,615

$

52,170

$

56,357

$

3,733

$

60,090

$

141,740

$

10,976

$

152,716

$

140,570

$

11,381

$

151,951

Inter-segment revenue (1)

—

952

952

—

1,165

1,165

—

3,089

3,089

—

3,463

3,463

Total segment revenue

48,555

4,567

53,122

56,357

4,898

61,255

141,740

14,065

155,805

140,570

14,844

155,414

Operating expense

Operating Expense - Third Party

(42,742)

(1,863)

(44,605)

(49,468)

(2,106)

(51,574)

(126,203)

(5,658)

(131,861)

(132,944)

(6,801)

(139,745)

Inter-Segment Operating Expenses (1)

(952)

—

(952)

(1,165)

—

(1,165)

(3,089)

—

(3,089)

(3,463)

—

(3,463)

Total of services and products (excluding depreciation and amortization)

(43,694)

(1,863)

(45,557)

(50,633)

(2,106)

(52,739)

(129,292)

(5,658)

(134,950)

(136,407)

(6,801)

(143,208)

Depreciation and amortization

(2,045)

(1,115)

(3,160)

(2,608)

(1,210)

(3,818)

(6,358)

(3,341)

(9,699)

(7,753)

(4,084)

(11,837)

General and administrative expense

(1,060)

(202)

(1,262)

(903)

(186)

(1,089)

(3,358)

(605)

(3,963)

(2,973)

(725)

(3,698)

Total operating expense

(46,799)

(3,180)

(49,979)

(54,144)

(3,502)

(57,646)

(139,008)

(9,604)

(148,612)

(147,133)

(11,610)

(158,743)

Segment operating income (loss)

$

1,756

$

1,387

$

3,143

$

2,213

$

1,396

$

3,609

$

2,732

$

4,461

$

7,193

$

(6,563)

$

3,234

$

(3,329)

(1)Inter-segment Revenues and Operating Expense relates to the internal charge between the two segments where the cinema operates within real estate owned within the group.

A reconciliation of cinema exhibition segment revenue to segment operating income for the quarter and nine months ended September 30, 2025 and September 30, 2024, is as follows:

Quarter Ended

Nine Months Ended

(Dollars in thousands)

September 30, 2025

September 30, 2024

September 30, 2025

September 30, 2024

REVENUE

United States

Admissions revenue

$

13,784 

$

15,445 

$

40,128 

$

39,368 

Concessions revenue

9,276 

9,824 

26,659 

24,237 

Advertising and other revenue

2,062 

2,547 

6,889 

6,996 

$

25,122 

$

27,816 

$

73,676 

$

70,601 

Australia

Admissions revenue

$

12,396 

$

14,445 

$

36,301 

$

35,559 

Concessions revenue

6,459 

8,691 

18,528 

20,805 

Advertising and other revenue

1,657 

1,609 

4,274 

4,248 

$

20,512 

$

24,745 

$

59,103 

$

60,612 

New Zealand

Admissions revenue

$

1,836 

$

2,215 

$

5,718 

$

5,559 

Concessions revenue

906 

1,339 

2,807 

3,262 

Advertising and other revenue

179 

242 

436 

536 

$

2,921 

$

3,796 

$

8,961 

$

9,357 

Total revenue

$

48,555 

$

56,357 

$

141,740 

$

140,570 

OPERATING EXPENSE

United States

Film rent and advertising cost

$

(7,557)

$

(8,783)

$

(21,723)

$

(21,192)

Food & beverage cost

(2,344)

(2,632)

(6,858)

(6,550)

Occupancy expense

(4,112)

(5,198)

(12,499)

(17,530)

Labor cost

(4,184)

(4,657)

(12,477)

(12,807)

Utilities

(1,657)

(1,957)

(4,207)

(4,602)

Cleaning and maintenance

(1,751)

(1,914)

(5,046)

(4,998)

Other operating expenses

(1,872)

(1,860)

(6,339)

(6,078)

$

(23,477)

$

(27,001)

$

(69,149)

$

(73,757)

Australia

Film rent and advertising cost

$

(5,484)

$

(6,775)

$

(16,026)

$

(16,170)

Food & beverage cost

(1,328)

(1,922)

(3,934)

(4,631)

Occupancy expense

(4,415)

(4,673)

(13,221)

(13,612)

Labor cost

(3,377)

(3,794)

(10,108)

(10,510)

Utilities

(815)

(719)

(2,308)

(2,171)

Cleaning and maintenance

(1,163)

(1,352)

(3,466)

(3,728)

Other operating expenses

(903)

(966)

(2,477)

(2,747)

$

(17,485)

$

(20,201)

$

(51,540)

$

(53,569)

New Zealand

Film rent and advertising cost

$

(803)

$

(1,048)

$

(2,592)

$

(2,482)

Food & beverage cost

(159)

(273)

(575)

(703)

Occupancy expense

(746)

(804)

(2,216)

(2,347)

Labor cost

(504)

(631)

(1,617)

(1,786)

Utilities

(173)

(114)

(407)

(311)

Cleaning and maintenance

(182)

(256)

(572)

(650)

Other operating expenses

(165)

(305)

(624)

(802)

$

(2,732)

$

(3,431)

$

(8,603)

$

(9,081)

Total operating expense

$

(43,694)

$

(50,633)

$

(129,292)

$

(136,407)

DEPRECIATION, AMORTIZATION, GENERAL AND ADMINISTRATIVE EXPENSE

United States

Depreciation and amortization

$

(1,043)

$

(1,259)

$

(3,321)

$

(3,784)

General and administrative expense

(674)

(513)

(2,130)

(1,885)

$

(1,717)

$

(1,772)

$

(5,451)

$

(5,669)

Australia

Depreciation and amortization

$

(895)

$

(1,237)

$

(2,714)

$

(3,619)

General and administrative expense

(314)

(389)

(1,086)

(1,087)

$

(1,209)

$

(1,626)

$

(3,800)

$

(4,706)

New Zealand

Depreciation and amortization

$

(107)

$

(112)

$

(323)

$

(350)

General and administrative expense

(72)

(1)

(142)

(1)

$

(179)

$

(113)

$

(465)

$

(351)

Total depreciation, amortization, general and administrative expense

$

(3,105)

$

(3,511)

$

(9,716)

$

(10,726)

OPERATING INCOME (LOSS) - CINEMA

United States

$

(72)

$

(957)

$

(924)

$

(8,825)

Australia

1,818 

2,918 

3,763 

2,337 

New Zealand

10 

252 

(107)

(75)

Total Cinema operating income (loss)

$

1,756 

$

2,213 

$

2,732 

$

(6,563)

A reconciliation of real estate segment revenue to segment operating income for the quarter and nine months ended September 30, 2025 and September 30, 2024, is as follows:

Quarter Ended

Nine Months Ended

(Dollars in thousands)

September 30, 2025

September 30, 2024

September 30, 2025

September 30, 2024

REVENUE

United States

Live theatre rental and ancillary income

$

902 

$

391 

$

2,075 

$

1,220 

Property rental income

1,050 

1,053 

3,164 

3,192 

1,952 

1,444 

5,239 

4,412 

Australia

Property rental income

2,394 

3,082 

8,150 

9,342 

New Zealand

Property rental income

221 

372 

676 

1,090 

Total revenue

$

4,567 

$

4,898 

$

14,065 

$

14,844 

OPERATING EXPENSE

United States

Live theatre cost

$

(304)

$

(196)

$

(796)

$

(706)

Occupancy expense

(207)

(167)

(559)

(521)

Utilities

(22)

(9)

(50)

(88)

Cleaning and maintenance

(52)

(37)

(158)

(115)

Other operating expenses

(288)

(245)

(718)

(865)

$

(873)

$

(654)

$

(2,281)

$

(2,295)

Australia

Occupancy expense

$

(421)

$

(509)

$

(1,389)

$

(1,477)

Labor cost

(42)

(69)

(161)

(182)

Utilities

(67)

(22)

(101)

(55)

Cleaning and maintenance

(198)

(232)

(634)

(726)

Other operating expenses

(191)

(165)

(648)

(697)

$

(919)

$

(997)

$

(2,933)

$

(3,137)

New Zealand

Occupancy expense

$

(6)

$

(129)

$

(95)

$

(350)

Labor cost

—

(6)

(2)

(17)

Utilities

—

(13)

(5)

(49)

Cleaning and maintenance

—

(15)

(4)

(33)

Other operating expenses

(65)

(292)

(338)

(920)

$

(71)

$

(455)

$

(444)

$

(1,369)

Total operating expense

$

(1,863)

$

(2,106)

$

(5,658)

$

(6,801)

DEPRECIATION, AMORTIZATION, GENERAL AND ADMINISTRATIVE EXPENSE

United States

Depreciation and amortization

$

(658)

$

(673)

$

(1,991)

$

(2,089)

General and administrative expense

(168)

(193)

(483)

(673)

(826)

(866)

(2,474)

(2,762)

Australia

Depreciation and amortization

$

(397)

$

(490)

$

(1,173)

$

(1,632)

General and administrative expense

(34)

7 

(121)

(52)

(431)

(483)

(1,294)

(1,684)

New Zealand

Depreciation and amortization

(60)

(47)

(177)

(363)

General and administrative expense

—

—

(1)

—

(60)

(47)

(178)

(363)

Total depreciation, amortization, general and administrative expense

$

(1,317)

$

(1,396)

$

(3,946)

$

(4,809)

OPERATING INCOME (LOSS) - REAL ESTATE

United States

$

253 

$

(76)

$

484 

$

(645)

Australia

1,044 

1,602 

3,923 

4,521 

New Zealand

90 

(130)

54 

(642)

Total real estate operating income (loss)

$

1,387 

$

1,396 

$

4,461 

$

3,234 

A reconciliation of segment operating income to income before income taxes is as follows:

Quarter Ended

Nine Months Ended

(Dollars in thousands)

September 30, 2025

September 30, 2024

September 30, 2025

September 30, 2024

Segment operating income (loss)

$

3,143

$

3,609

$

7,193

$

(3,329)

Unallocated corporate expense:

Depreciation and amortization expense

(75)

(106)

(293)

(305)

General and administrative expense

(3,397)

(3,846)

(11,231)

(11,928)

Interest expense, net

(4,174)

(5,245)

(13,270)

(15,907)

Equity earnings (loss) of unconsolidated joint ventures

121

71

428

164

Gain (loss) on sale of assets

(66)

(208)

8,332

(1,324)

Other (expense) income

462

(714)

(2,145)

(593)

Income (loss) before income taxes

$

(3,986)

$

(6,439)

$

(10,986)

$

(33,222)

Assuming cash and cash equivalents are accounted for as corporate assets, total assets by business segment and by country are presented as follows:

September 30,

December 31,

(Dollars in thousands)

2025

2024

By segment:

Cinema

$

184,983

$

191,008

Real estate

176,407

207,044

Corporate (1)

73,796

72,959

Total assets

$

435,186

$

471,011

By country:

United States

$

248,690

$

264,284

Australia

162,505

167,667

New Zealand

23,991

39,060

Total assets

$

435,186

$

471,011


‎(1) Corporate Assets includes cash and cash equivalents of $10.5 million and $7.0 million as of September 30, 2025 and December 31, 2024, respectively.

The following table sets forth our operating properties by country:

September 30,

December 31,

(Dollars in thousands)

2025

2024

United States

$

141,696

$

146,531

Australia

59,804

59,081

New Zealand

9,025

9,082

Total operating property

$

210,525

$

214,694

The table below summarizes capital expenditures for the nine months ended September 30, 2025

Nine Months Ended

(Dollars in thousands)

September 30, 2025

September 30, 2024

Segment capital expenditures

$

1,411

$

2,028

Corporate capital expenditures

—

—

Total capital expenditures

$

1,411

$

2,028