Reading International, Inc.

Q2 2026 consolidated revenue was $66.9 million, up $6.5 million year over year. Six-month revenue was $112 million, up $11.5 million year over year. Net income attributable to Reading was $2.3 million versus a $2.7 million loss in Q2 2025; six-month net loss was $5.9 million versus $7.4 million last year. Basic EPS was $0.10 in Q2 versus a basic loss per share of $0.12 a year ago, and six-month basic loss per share improved to $0.26 from $0.33. Q2 global operating income was $7.5 million versus $2.9 million last year, and adjusted EBITDA was $11.3 million versus $6.3 million. For the six months, adjusted EBITDA was $10.4 million, up $1.2 million. On the segment level, global cinema revenue was about $63 million, up 11%, with operating income of $9.2 million, up 68%; Australian cinema revenue rose 31% to $30 million and operating income rose to $5.6 million; New Zealand cinema revenue was $3.5 million, down 2%, with operating income of $387,000; U.S. real estate revenue was $1.9 million, up 11%, and U.S. real estate operating income was $183,000, up 106%. Cash and cash equivalents were $5.7 million as of June 30, 2026, total assets were $429.4 million, and total outstanding borrowings were $183.1 million gross of deferred financing costs. No formal next-quarter or full-year numerical guidance was given, but management said the third and fourth quarters look strong and that 2026 is poised to be the best post-pandemic box office year to date. They also said they expect a new arrangement on the Santander refinancing in the next few months and hope Cinema 1,2,3 sale documentation will be executed shortly, with closing in early Q4.

Ellen Cotter framed the quarter as validation of the company’s two-business, three-country strategy, citing a much stronger movie slate, disciplined execution, and several post-pandemic milestones. She said the company is continuing to monetize select real estate assets to reduce debt and fund cinema upgrades, while still remaining committed to the broader portfolio. Her tone was upbeat and confident, especially on cinema demand, loyalty/F&B initiatives, and the outlook for the remainder of 2026.

Gilbert Avanes emphasized that Q2 and the first six months were both stronger than the prior-year periods, with revenue, operating income, and adjusted EBITDA all improving. He pointed to $66.9 million of Q2 revenue, $2.3 million of net income attributable to Reading, $7.5 million of operating income, and $11.3 million of adjusted EBITDA, while also noting the six-month loss narrowed to $5.9 million. On the balance sheet, he highlighted $5.7 million of cash, $183.1 million of outstanding borrowings, and ongoing lender amendments, including maturity extensions and covenant changes, as the company works through liquidity and debt management.

Management was asked why the Santander Minetta and Orpheum refinancing was not completed by the June 1 maturity; Gilbert said Santander wants to move on from the loan, Reading believes it has a replacement lender, and the deal is in due diligence and administrative steps, with a new arrangement expected in the next few months. On Cinema 1,2,3 proceeds, Ellen said cash would first pay down about $19.7 million of Valley National debt and about $5.4 million of Bank of America/Bank of Hawaii debt, then potentially be used for further debt reduction, select cinema renovations, and other operating accruals. They also addressed the Napier sale pause, saying the buyer requested changes to the purchase agreement and leaseback, and a change in car park ownership prompted further revisions. On Philadelphia, Ellen said the code violation case was settled for a nominal amount, the STB appeal continues in the D.C. Circuit, and the company believes the Viaduct remains a valuable asset.