What is the revenue and EPS growth rate for The Marcus year over year?

What does The Marcus do and what are its main business segments?

What is The Marcus's latest dividend and current dividend yield?

Did The Marcus beat or miss consensus estimates last quarter?

What guidance did The Marcus's management provide for the next earnings period?

What factors drove the changes in The Marcus's revenue and profit?

What is the market's earnings forecast for The Marcus next quarter?

What is The Marcus's gross profit margin?

- **Theater Division Resilience**: Despite a 15.8% revenue decline, strategic pricing adjustments and renovations maintained 78.4% occupancy rates, signaling operational stability.
- **Share Repurchases Growth**: $26 million in share buybacks highlight capital return focus, balancing M&A opportunities with 2026 film slate improvements.
- **Balance Sheet Strength**: 26% debt-to-capitalization ratio supports long-term growth, with 2026 franchise films expected to drive 12% box office growth.
- **Capital Allocation Discipline**: Reduced CapEx and strategic share repurchases maintain financial flexibility, aligning with 2025 trends of 7.5% RevPAR growth.


**【Management Opening Remarks】**
- The company reported third-quarter net earnings of $16.2 million, down 10.1 million compared to the prior year, reflecting strategic share repurchases and capital allocation adjustments.
- Theater division adjusted EBITDA decreased 33% year-over-year, driven by a less concentrated film slate and pricing changes affecting high-margin rooms.
- Hotel division maintained strong balance sheet health with a debt-to-capitalization ratio of 26%, supporting future growth investments.

**【CEO Commentary】**
- CEO emphasized 2026 film slate improvements, with four major franchise films expected to drive 12% box office growth compared to 2025.
- Share repurchases of $26 million in the last year highlight capital return priorities, balancing M&A opportunities with shareholder value.

**【CFO Financial Commentary】**
- Theater division faced a 15.8% revenue decline, offset by strategic pricing adjustments and renovations, signaling long-term operational efficiency.
- Hotel division maintained stable cash flows, with 78.4% occupancy rates despite mixed film slate performance.

**【Q&A Highlights】**
- Management expects 2026 EBITDA growth from reduced CapEx and share repurchases, aligning with 2025 trends of 7.5% RevPAR growth in owned hotels.
- Regulatory compliance and balance sheet strength position the company for opportunistic M&A, with leverage maintained at 1.7x, supporting future investments.


The Marcus Corporation (MCS) Q3 2025 Earnings Call Transcript

- **Theater Success**: 30% revenue growth driven by blockbuster films, with pricing strategy adjustments (e.g., $7.50/$8.50 Everyday Matinee) poised to boost margins in H2.
- **Hotel Challenges**: 2.9% RevPAR decline due to renovations, but 2026 group bookings up 20% and banquet/catering revenue growing 10.5%.
- **Financial Strength**: 17% revenue growth, 47% adjusted EBITDA increase, and net earnings of $7.3M reflect strong execution across both divisions.
- **Future Growth**: 2026 film slate packed with major franchises, and 2026 hotel group pace up 20% despite economic uncertainty.

**【CFO Opening Remarks】**
- **Theater Division Performance**: Q2 revenue grew 30% YoY to $131.7M, driven by 29.3% increase in comparable theater admission revenue. Adjusted EBITDA rose 76% to $26.5M. Key films like *A Minecraft Movie* and *Sinners* outperformed, but Midwestern market underperformance and pricing strategies (e.g., Everyday Matinee at $7.50/$8.50) limited admission per cap growth.
- **Hotel Division Challenges**: Total revenue before reimbursements increased 1.2% to $64.6M, but RevPAR for owned hotels fell 2.9% due to Hilton Milwaukee renovations. Adjusted EBITDA decreased by $200K, impacted by lower-margin food/beverage revenue.
- **Financial Highlights**: Consolidated revenue up 17% YoY to $206M, adjusted EBITDA up 47% to $32.3M. Net earnings of $7.3M ($0.23/share) vs. prior year loss of $5.2M.

**【CEO Commentary】**
- **Theater Strategy**: Diversified film slate (e.g., *Mission: Impossible*, *How to Train Your Dragon*) drove attendance. Pricing surcharges on blockbusters and Everyday Matinee program adjustments (from $7 to $7.50/$8.50) expected to boost admission per cap in H2. 2026 slate includes major franchises like *Spider-Man: Brand New Day* and *Avatar: Fire and Ash*.
- **Hotel Renovation Progress**: Hilton Milwaukee guest rooms fully reopened in June, with meeting space renovations ongoing. Group bookings for 2026 up 20% YoY, driven by renovated assets and banquet/catering growth.
- **Capital Allocation**: 2025 CapEx guidance of $70M-$85M, with significant projects (e.g., $40M Hilton Milwaukee renovation) winding down. 2026 expected to see lower CapEx, with focus on value-accretive investments or shareholder returns.

**【Q&A Highlights】**
- **Group Pace Breakdown**: 20% increase in 2026 group pace across all 7 hotels, with Milwaukee properties benefiting from convention center expansion. Anecdotal evidence suggests convention center-driven demand, but no specific split provided.
- **Pricing Surcharge Impact**: Blockbuster surcharges implemented on select films in Q2, with $1 delta on certain tickets. Expected to impact a significant but unspecified percentage of tickets, balancing attendance growth with margin improvement.
- **Domestic Box Office Outlook**: Q3 slate includes *Jurassic World: Rebirth* and *The Fantastic Four*, with Q4 featuring *Wicked* and *Avatar: Fire and Ash*. Lapping tough 2024 comparisons, but strong slate and extended fiscal year (including full Christmas/New Year's week) expected to drive growth.
- **Hotel Segment Outlook**: Q3 benefits from Hilton renovations completion, but transient demand and group cancellations remain risks. Banquet/catering growth offsets lower-margin revenue challenges.
- **Capital Allocation Priorities**: Post-2025 reinvestment cycle, focus on theater ROI projects ($20M-$25M/year) and selective hotel refreshes. No immediate new builds or M&A opportunities identified.

The Marcus Corporation (MCS) Q2 2025 Earnings Call Transcript

- **Revenue Growth**: 7.4% YoY driven by extra days and strong hotel performance despite theater headwinds.
- **Theaters Recovery**: April rebound (+16% YoY) with strong films; 2025 slate poised for growth.
- **Hotels Resilience**: RevPAR +1.1% despite renovation; 2026 group bookings up 20%.
- **Investment Focus**: $70-85M capex for ScreenX, Movie Tavern upgrades, and hotel renovations.
- **Economic Strategy**: Midwest portfolio stability; cautious pricing in softening economy.


**【CFO Financial Summary】**
- **Consolidated Revenue**: $148.8M (+7.4% YoY), driven by 4 extra operating days and growth in both theaters and hotels.
- **Theaters Division**: Revenue $87.4M (+7.5% YoY), attendance up 6.9% on comparable days, but film cost as % of admissions rose 2.4pts.
- **Hotels Division**: Revenue $61.3M (+7.2% YoY), RevPAR +1.1% despite 4% drag from Milwaukee renovation.
- **Adjusted EBITDA**: Loss of $0.3M vs. $2.6M YoY decline, impacted by higher depreciation and renovation costs.
- **Cash Flow**: Used $35.3M (vs. $15.1M YoY), with capex $23M (Hilton Milwaukee renovation dominant).
- **Liquidity**: $192M, debt-to-cap 31%, share buybacks $7.1M.

**【CEO Business Outlook】**
- **Theaters**: April rebound (+16% YoY) with Minecraft, Sinners, Thunderbolts; 2025 slate strong (Mission: Impossible, Avatar: Fire & Ash), 2026 pipeline promising.
- **Hotels**: Group bookings +20% for 2026, Milwaukee renovation nearing completion, targeting rate compression from reduced supply.
- **Investments**: $70-85M capex for 2025, focusing on theaters (ScreenX, Movie Tavern concessions) and hotel renovations.
- **Economic Resilience**: Diversified Midwest portfolio less volatile than coastal markets; teams ready to adapt to macro shifts.

**【Q&A Highlights】**
- **Concessions Pricing**: 0.8% per cap growth from inflation, no meaningful incidence/basket size decline.
- **Labor Costs**: 7% YoY increase in operating hours, room for efficiency improvement.
- **Marcus Movie Club**: Early uptake positive, but minimal impact vs. strong Tuesday promotions.
- **Milwaukee Market**: New convention center to drive group business; renovated Hilton Milwaukee to be prime venue.
- **AI & Technology**: Exploring digital ordering to reduce concession lines, long-term per cap upside.


The Marcus Corporation (MCS)-6 May 25-2025 Q1 Earnings call transcript

- **Theaters Recovery**: Q4 2024 admission revenue +15.4%, attendance +29.1% vs. weaker pricing (+10.6% decline) due to value programs.
- **Hotels Record Year**: RevPAR +6.2% YoY, outperforming industry by 4pts, with group mix rising to 41.9%.
- **2025 Slate Strength**: 115-120 wide releases in 2025, including blockbusters like Thunderbolt and Avatar sequels.
- **Capital Allocation**: $70-85M capex in 2025 for hotel renovations and theater upgrades, with 18% cash return to shareholders in 2024.

**【CFO Financial Summary】**
- **Q4 2024 Revenue**: $188 million (+16% YoY), driven by 23% growth in theaters and 5.4% in hotels.
- **Theaters Performance**: Comparable theater admission revenue +15.4%, attendance +29.1%, despite -10.6% avg ticket price due to promotions.
- **Hotels Performance**: RevPAR +3.6% vs. industry +2.2%, outperforming by 1.4pts. Group business mix rose to 41.9% YoY.
- **Adjusted EBITDA**: $23.7M (theaters) +$7.1M (hotels) = $30.8M total, +42% YoY.
- **Cash Flow**: $52.6M Q4 cash from ops, $104M full year, supporting $70-85M capex in 2025.

**【CEO Business Outlook】**
- **Theaters 2025 Slate**: Strong films like Thunderbolt, Mission: Impossible, Avatar sequels expected to drive attendance.
- **Hotels Growth**: $40M Hilton Milwaukee renovation underway, new short golf course at Grand Geneva to open 2026.
- **Strategic Priorities**: 1) Maintain high-quality assets; 2) Pursue growth opportunities; 3) Return capital to shareholders (18% payout in 2024).

**【Q&A Key Takeaways】**
- **Pricing Strategy**: Focus on attendance via Value Tuesday, $7 Matinee, Marcus Movie Club (30% annual subscriptions).
- **Screen Expansion**: No immediate plans, prioritizing cash flow from existing assets.
- **Concessions Growth**: Digital ordering upselling (e.g., medium to large) and PLF films driving +24% Q4 food/beverage revenue.
- **2025 Outlook**: Low-mid single-digit RevPAR growth in hotels, theater margins improving with 2025 slate.

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