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National CineMedia Swings To 1Q Profit

The Associated Press

CENTENNIAL, Colo. (AP) — National CineMedia Inc., which sells advertising in AMC, Regal and Cinemark movie theaters, said Tuesday it turned a profit in the first quarter as sales picked up and the company curbed costs.

National Cinemedia reported a profit of $1.2 million, or 3 cents per share, for the quarter ended April 2. A year ago, the company lost $400,000, or a penny per share.

Even amid the weak economy, advertising revenue and meeting and event revenue both improved, driving total sales up 17 percent to $73.5 million from $62.7 million.

Analysts expected a profit of 3 cents per share and $71.3 million in revenue, according to a Thomson Reuters poll.

National Cinemedia said advertising revenue increased 12 percent to $60.1 million, and revenue from meetings and events grew 49 percent to $13.4 million.

The company maintained its 2009 forecasts, but set second-quarter goals below analyst expectations. In aftermarket trading, its shares fell 23 cents to $14.50, after closing earlier at $14.73.