HOLLYWOOD — Robust box office helped Philip Anschutz’s Regal Entertainment post a second-quarter profit of $38.7 million, compared with a year-earlier loss of $1.2 million at the circuits the entertainment entrepreneur has merged since then.
A $28.2 million loss on the redemption of preferred stock lowered net income in the latest quarter to $10.5 million.
Revenue rose 25% to $607.3 million on a pro-forma basis, adjusting for changes in the company’s various operations since a year ago.
Regal Entertainment, which went public in May, is the nation’s No. 1 movie chain, with 5,788 screens in 548 theaters. Company, which maintains corporate offices in both Knoxville, Tenn., and Denver, was formed by combining Regal Cinemas, United Artists Theaters Circuit and Edwards Theater Circuit.
Bullish on B.O.
“Second-quarter box office success was instrumental in driving our record revenue,” CEO Mike Campbell said.
An 87% jump in pro-forma operating cash flow was particularly satisfying, Campbell added. “Our ability to convert top-line results to increase cash flow best summarizes the success of our second-quarter results.” In an earnings conference call, Campbell said he expects B.O. to be flattish to slightly up for the balance of the year. To date, 2002 has seen a roughly 16% improvement over the same portion of last year.
Regal shares closed down 44¢, or 2.18%, at $19.77 Wednesday.