Cineplex Reports Record Third Quarter 2023 Results

The Company also Reports Net Income of $29.7 Million and Highest Quarterly Adjusted EBITDAaL Ever of $83.1 Million

TORONTO, Nov. 9, 2023 /CNW/ - (TSX: CGX) - Cineplex Inc. ("Cineplex" or the "Company") today released its financial results for the three and nine months ended September 30, 2023. Unless otherwise specified, all amounts are in Canadian dollars.

Third Quarter Highlights:

• All-time quarterly record revenues of $463.6 million and all-time quarterly record adjusted EBITDAaL of $83.1 million on net income of $29.7 million.
• Adjusted EBITDAaL margin of 17.9%, outpacing Q3 2019 by 310 basis points.
• Record third quarter box office revenues of $188.2 million outperforming North American box office by 310 basis points.
• Record per patron results, with record third quarter BPP of $12.00 and CPP of $8.44.
• Continued strong performance of the diversification strategy with the Location-Based Entertainment (LBE) business generating record third quarter revenues of $34.2 million.
• Balance sheet strengthening through combined second and third quarter credit facility repayments of $55.0 million.

"We just closed our best third quarter in Cineplex history, due to a record-breaking box-office and successful results from our diversified businesses," said Ellis Jacob, President and CEO, Cineplex.

"Our content broadening strategy, paired with our premium experiences continue to set us apart as we respond to consumer demand for an immersive and premium theatrical experience. This past quarter, we achieved record box office revenues of $188.2 million and once again outpaced the North American box office by a notable 310 basis points."  

"Over the past two quarters, strong EBITDAaL results have enabled us to repay $55.0 million in bank debt as part of our focus in de-leveraging the balance sheet and strengthening the capital base. Looking ahead, we will maintain our successful strategies that focus on diversification and content, personalized campaigns to maximize attendance and improvement of our liquidity positions and balance sheet," concluded Jacob.

Third Quarter and Year to Date 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)	2023	2022	Change (i)	2023	2022	Change (i)
Total revenues	$463,586	$339,837	36.4 %	$1,227,661	$918,438	33.7 %
Theatre attendance	15,690	11,084	41.6 %	38,263	28,837	32.7 %
Net income (loss) (ii)	$29,746	$30,857	-3.6 %	$176,118	$(10,055)	NM
Net income (loss) as a percentage of sales (ii)	6.4 %	9.1 %	-2.7 %	14.3 %	(1.1) %	NM
Cash provided by operating activities	$44,693	$5,811	669.1 %	$141,047	$47,526	196.8 %
Box office revenues per patron ("BPP") (iii)	$12.00	$11.25	6.7 %	$12.44	$11.83	5.2 %
Concession revenues per patron ("CPP") (iii)	$8.44	$8.35	1.1 %	$8.80	$8.65	1.7 %
Adjusted EBITDA (iii)	$125,869	$63,094	99.5 %	$290,826	$177,508	63.8 %
Adjusted EBITDAaL (iii)	$83,064	$20,430	306.6 %	$163,565	$50,475	224.1 %
Adjusted EBITDAaL margin (iii)	17.9 %	6.0 %	11.9 %	13.3 %	5.5 %	7.8 %
Adjusted free cash flow (iii)	$66,880	$1,568	NM	$108,090	$1,667	NM
Adjusted free cash flow per share (iii)	$1.055	$0.025	NM	$1.706	$0.026	NM
Earnings (loss) per share - basic (ii)	$0.47	$0.49	-4.1 %	$2.78	$(0.16)	NM
Earnings (loss) per share - diluted (ii)	$0.40	$0.43	-7.0 %	$2.14	$(0.16)	NM

(i)	Period over period change calculated based on thousands of dollars except percentage and per share values. Changes in percentage amounts are calculated as 2023 value less 2022 value.
(ii)	2023 includes recovery of approximately $158.4 million related to the recognition of deferred income tax assets recognized during the second quarter and expenses related to the Cineworld transaction and other transactions or litigation outside the normal course of business in the amount of $1.8 million (2022 - $1.2 million) for the third quarter and $2.8 million (2022 - $2.7 million) for the year to date.
(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.

Third Quarter and October Box Office Results

The following table compares 2023 monthly box office revenues to 2019 monthly box office revenues:

Month	2019 Box office (i)	2023 Box office (i)	2023 as a percentage of 2019
July	$76,935	$86,388	112 %
August	$56,537	$67,592	120 %
September	$44,393	$34,253	77 %
Q3 Total	$177,865	$188,233	106 %
October	$54,528	$37,354	69 %
(i) Amounts are in thousands of dollars.

KEY DEVELOPMENTS IN THE THIRD QUARTER OF 2023

The following describes certain key business initiatives undertaken and results achieved during 2023 in each of Cineplex's core business areas:

FILM ENTERTAINMENT AND CONTENT

Theatre Exhibition

• Reported third quarter record box office revenues of $188.2 million, an increase of $63.5 million or 50.9% from $124.7 million due to a 41.6% increase in theatre attendance as a result of a strong film slate during the quarter, including Barbie, Oppenheimer, and Mission Impossible: Dead Reckoning.
• Reported a third quarter record BPP of $12.00, $0.75 or 6.7% higher than the $11.25 reported during the prior year.
• Welcomed nearly 700,000 guests on August 27, 2023, in celebration of National Cinema Day, marking the second busiest day in Cineplex history.
• Launched the new Cineplex Mobile App, providing guests with an improved experience while browsing for movies and theatres, purchasing movie tickets, discovering exciting events at The Rec Room and Junxion and using CineClub discounts and Scene+ rewards.
• Continued to enhance the theatre circuit at SilverCity St. Vital Cinemas in Winnipeg, Manitoba with a retrofit of all recliner seating at three auditoriums, with one auditorium also enhanced with an UltraAVX screen and another auditorium also enhanced with D-BOX seating.

Theatre Food Service

• Reported all time quarterly record theatre food service revenues of $132.4 million, an increase of $39.8 million or 43.1% compared to the prior year primarily due to a 41.6% increase in theatre attendance.
• Reported third quarter CPP of $8.44, an increase of $0.09 or 1.1% compared to the prior year, primarily due to an increase in average spend.

Alternative Programming and Distribution

• As part of the theatrical distribution partnership with Lionsgate, Cineplex's distribution business (Cineplex Pictures) distributed The Expendables 4 and Saw X during the third quarter.
• Recognized the third highest pre-sales of all time for TAYLOR SWIFT | THE ERAS TOUR, with over 240,000 tickets sold up to September 30, 2023.
• Cineplex represented 77% and 69%, respectively of the total North American box office market share for successful international films, Carry on Jatta 3 (Punjabi) and Mastaney (Punjabi).
• Event Cinema presented an assortment of big-screen programs, including the live concert presentation of Metallica's 'M72 World Tour Live from Texas', 'André Rieu's 2023 Maastricht Concert: Love is All Around' as well as the anime hit 'The First Slam Dunk' and the moving and dramatic stage adaptation of 'The Hiding Place'.

Digital Commerce

• Total registered users for Cineplex Store increased 4.1% compared to the prior year, reaching approximately 2.4 million registered users.
• Curated a Cineplex Store collection in honour of National Day for Truth and Reconciliation to highlight diverse Indigenous experiences, cultures and artistic expressions.

MEDIA

• Reported third quarter media revenues of $29.0 million, an increase of $3.7 million or 14.8% compared to the prior year.

Cinema Media

• Reported third quarter cinema media revenues of $19.5 million, an increase of $4.4 million or 28.9% over the prior year.

Digital Place-Based Media

• Reported third quarter revenues of $9.5 million, a decrease of $0.6 million or 6.3% over the prior year.

AMUSEMENT SOLUTIONS (P1AG) AND LOCATION-BASED ENTERTAINMENT (LBE)

• Reported third quarter record revenues of $75.2 million, an increase of $5.6 million or 8.0% compared to the prior year.

Player One Amusement Group

• Reported third quarter record revenues of $49.0 million, an increase of $3.5 million or 7.7% compared to the prior year. Reported third quarter adjusted EBITDAaL of $8.5 million, a decrease of $0.6 million or 6.1% compared to the prior year.

Location-based Entertainment

• Reported third quarter record revenues of $34.2 million, an increase of $3.2 million or 10.2% compared to the prior year.
• Reported a third quarter record adjusted store level EBITDAaL of $9.9 million, an increase of $0.3 million or 2.8% compared to the prior year.

LOYALTY

• Membership in the Scene+ loyalty program increased to over 14 million members as at September 30, 2023.

CORPORATE 

• Commemorated National Day for Truth and Reconciliation on September 30, 2023 by raising awareness and honouring Indigenous communities through Pre-Show content and donations to Tipi of Hope.

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

Non-GAAP financial measures are defined in 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 RATIO

A non-GAAP ratio is defined by 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 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, the equity income of CDCP, and impairment, depreciation, amortization, interest and taxes of Cineplex's other joint ventures and associates. 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 Credit Facilities. 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 as reported by other entities.

Reconciliation of reported net income (loss) to adjusted EBITDAaL 

	Three months ended September 30,			Nine months ended September 30,
(in thousands of Canadian dollars)	2023	2022		2023	2022
Net income (loss) (iv)	$                29,746	$                30,857		$               176,118	$               (10,055)
Depreciation and amortization - other	24,478	26,079		75,373	79,622
Depreciation - right-of-use assets	22,512	23,277		67,361	72,026
Interest expense - lease obligations	16,771	15,946		49,592	45,389
Interest expense - other	21,016	16,303		62,752	40,198
Interest income	(248)	(84)		(741)	(152)
Current income tax (recovery) expense	(203)	—		1,681	(724)
Deferred income tax expense	11,443	—		(144,690)	—
EBITDA	$               125,515	$               112,378		$               287,446	$               226,304
(Gain) loss on disposal of assets	—	(49,848)		970	(54,341)
Loss on financial instruments recorded at fair value	580	1,630		1,870	7,230
CDCP equity loss (income) (i)	—	30		—	(492)
Foreign exchange gain	(427)	(1,239)		(4)	(1,628)
Depreciation and amortization - joint ventures and associates (ii)	201	130		530	394
Taxes and interest of joint ventures and associates (ii)	—	13		14	41
Adjusted EBITDA	$               125,869	$                63,094		$               290,826	$               177,508
Cash rent paid/payable related to lease obligations	(42,408)	(42,275)		(127,667)	(127,419)
Cash rent paid not pertaining to current period	(397)	(389)		406	386
Adjusted EBITDAaL (iii)	$                83,064	$                20,430		$               163,565	$                50,475

(i)	CDCP equity income is not included in adjusted EBITDA as CDCP was a limited-life financing vehicle that is funded by virtual print fees collected from distributors. On December 16, 2022, Cineplex divested its investment in CDCP.
(ii)	Includes the joint ventures with the exception of CDCP (see (i) above).
(iii)	See Non-GAAP and other financial measures section of this news release.
(iv)	2023 includes recovery of approximately $158.4 million related to the recognition of deferred income tax assets recognized during the second quarter and expenses related to the Cineworld transaction and other transactions or litigation outside the normal course of business in the amount of $1.8 million (2022 - $1.2 million) for the third quarter and $2.8 million (2022 - $2.7 million) for the year to date.

Adjusted Free Cash Flow

Free cash flow is a non-GAAP measure generally used by Canadian corporations as an indicator of financial performance and it should not be viewed as a measure of liquidity or a substitute for comparable metrics prepared in accordance with GAAP. Standardized free cash flow adjusts the amount of cash from operating activities to deduct capital expenditures net of proceeds on sale of assets in ordinary business operations. Standardized free cash flow is a non-GAAP measure recommended by the CICA in its 2008 interpretive release, Improved Communication with Non-GAAP Financial Measures: General Principles and Guidance for Reporting EBITDA and Free Cash Flow, and is designed to enhance comparability. Adjusted free cash flow is also a non-GAAP measure used by Cineplex to modify standardized free cash flow to exclude certain cash flow activities and to measure the amount available for activities such as repayment of debt, dividends to owners and investments in future growth through acquisitions. Adjusted free cash flow includes repayments of lease obligations that represented the principal portion of rent expenses that were included in net income calculation prior to the adoption of accounting standard IFRS 16, Leases, by Cineplex. Given that the materiality of the principal portion of the rent expenses and comparability of adjusted free cash flow disclosure for comparative periods, adjusted free cash flow also adjusts standard free cash flow to deduct principal amount of repayment of lease obligation.

Cineplex presents standardized free cash flow and adjusted free cash flow per share because they are key measures used by investors to value and assess Cineplex. Cineplex's management defines adjusted free cash flow as standardized free cash flow adjusted for certain items, and considers adjusted free cash flow the amount available for distribution to shareholders. Standardized free cash flow is defined by the CICA as cash from operating activities as reported in the GAAP financial statements, less total capital expenditures minus proceeds from the disposition of capital assets, as reported in the GAAP financial statements; and dividends, when stipulated, unless deducted in arriving at cash flows from operating activities. The standardized free cash flow calculation excludes common dividends and others that are declared at the Board's discretion.

Reconciliation of reported cash provided by operating activities to adjusted free cash flow per share

	Three months ended September 30,			Nine months ended September 30,
(in thousands of Canadian dollars)	2023	2022		2023	2022
Cash provided by operating activities	$                44,693	$                  5,811		$               141,047	$                47,526
Less: Total capital expenditures net of proceeds on sale of assets	(9,059)	(14,466)		(42,113)	(34,936)
Standardized free cash flow	35,634	(8,655)		98,934	12,590
Add/(Less):
Changes in operating assets and liabilities (i)	52,843	25,815		61,789	42,012
Changes in operating assets and liabilities of joint ventures and associates (i)	229	1,892		568	1,960
Repayments of lease obligations - principal	(25,754)	(26,330)		(79,190)	(83,025)
Principal portion of cash rent paid not pertaining to current period	(397)	(381)		406	381
Growth capital expenditures and other (ii)	4,801	9,727		27,705	22,859
Share of income of joint ventures and associates, net of non-cash depreciation	(476)	(500)		(2,122)	(428)
Net cash received from CDCP (iii)	—	—		—	5,318
Adjusted free cash flow	$                66,880	$                  1,568		$               108,090	$                  1,667
Average number of shares outstanding	63,376,721	63,362,713		63,376,083	63,356,694
Adjusted free cash flow per share	$                  1.055	$                  0.025		$                  1.706	$                  0.026

(i)	Changes in operating assets and liabilities are not considered a source or use of adjusted free cash flow. Refer to Note 25 of Cineplex's 2022 Annual Consolidated Financial Statements for further details.
(ii)	Growth capital expenditures and other represent expenditures on Board approved projects, exclude maintenance capital expenditures and are net of proceeds on asset sales. The Revolving Facility is available to Cineplex to fund Board approved projects.
(iii)	Excludes the share of income or loss of CDCP, as CDCP was a limited-life financing vehicle funded by virtual print fees collected from  distributors. Cash invested into CDCP, as well as distributions received from CDCP, were considered to be uses and sources of adjusted free cash flow. CDCP was wound up in 2022.

SUPPLEMENTARY FINANCIAL MEASURES
Supplementary financial measures are financial measures that are not (a) presented in the financial statements and (b) is, or is 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 measure, 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 and theatre food service revenue such as BPP, CPP, BPP excluding premium priced product, and concession margin per patron, as these are key measures used by investors to value and assess Cineplex's performance, and are widely used in the theatre exhibition industry. Management of Cineplex 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 total 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, 2023 the impact of two locations that has been opened or acquired and three locations that have been closed or otherwise disposed of have been excluded, resulting in 153 theatres being included in the same theatre metrics. For the nine months ended September 30, 2023 the impact of two locations that has been opened or acquired and four locations that have been closed or otherwise disposed of have been excluded, resulting in 152 theatres 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"), and the management's discussion and analysis for the year ended December 31, 2022 ("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, including: Cineplex's expectations with respect to liquidity and capital expenditures; 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; 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, 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. Ellis Jacob, President and Chief Executive Officer and Gord Nelson, Chief Financial Officer, will host the call scheduled for:

Cineplex Inc. Q3 2023 Earnings Webcast:

Date:	Thursday, November 9, 2023
Time:	10:00 a.m. Eastern Daylight Time
Audio Webcast:	Audience URL https://events.q4inc.com/attendee/314153553
	Pre-registration available.
	An archive of the webcast will be available at https://corp.cineplex.com/investors after the webcast for a limited time.

Please note, analysts who cover the Company, should use the dial-in option to participate in the live question period: 1-226-828-7575 (Local) or 1-833-950-0062 (Canada Toll-free), access code 501465.

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 over 170 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 a newly launched entertainment concept that brings movies, amusement gaming, dining, and live performances together under one roof (Cineplex Junxion). It also operates successful businesses in digital commerce (CineplexStore.com), alternative programming (Cineplex Events), motion picture distribution (Cineplex Pictures), cinema media (Cineplex Media), digital place-based media (Cineplex Digital Media) and amusement solutions (Player One Amusement Group). 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 and the United States. To learn more, visit Cineplex.com.

SOURCE Cineplex

Investor Relations contact: Mahsa Rejali, Vice President, Corporate Development & Investor Relations, [email protected]; Media Relations contact: Michelle Saba, Vice President, Communications, [email protected]