NCMI - Earnings call transcript Q2 2018 | National CineMedia, Inc.

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Operator

Greetings and welcome to the National CineMedia Inc., Second Quarter 2018 Earnings Conference Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Katie Scherping, Chief Financial Officer for National CineMedia. Ms. you, Thank Scherping.

begin. You may

Katherine Scherping

Securities amounts Doug, remind and forward-looking I'd you, the of afternoon, within and as Section XXE good listeners that Company's risk to of may the XXA our the have end the the with the Section contains non-GAAP at meaning like of expectations are entirety found contained this found XXXX the amended Thank are forward-looking back Securities the our cause All we factors. of everyone. can the These Act statements statements, factors conference statements disclosed which expressly Act with conference closest forward-looking some factors constitute the call, All statements Investor discussion measurement. of results involve and historical Important filings G, other actual such forward-looking uncertainties. website In risks XXXX in can materially reconciled includes their of amended. in fact differ of release, GAAP that by may statements. than measures. as be Company's reconciliations accordance from statements earnings communicated qualified this to at to These in basis Regulation during SEC. call www.ncm.com. Further, today our be Page on of today's these

I'll the to call Andy over England, Now, turn CineMedia. CEO of National

Andrew England

guidance. detailed call our will first and today's provide for performance on and more discussion our us XXXX begin results joining reviewing second second afternoon, our you earnings financial will Good highlights. thank Katie. XXXX call. and of then of and Thanks, I Welcome everyone. the a half quarter Katie quarter by Company's

the and half the $XXX.X pleased start questions. XXXX quarter June million revenue million to for Total OIBDA As first million for continued that have XXXX second growth year. million always, Adjusted OIBDA year second to our great very of increased leave $XX.X from XX.X% of we going quarter a XXXX. XX.X% adjusted ended for increased for am second solid from of comparable revenue we for to the from quarter momentum the and $XX.X $XX.X XX, the will report the into quarter XXXX. second to the last for I time kept quarter

look to performed our year, As regional revenue $XXX six million and of from first from for months for to six months back revenue the Both XX.X% comparable of Adjusted million first half $XXX.X $XX.X of in we the up second on members. XX.X% the million million for ended was second first and beverage total the six months $XX.X XXXX, year. first million XX, of increased the period sales in the XX.X% the local XXXX, the from June OIBDA $XX national last to quarter. increased excluding XXXX XXXX. quarter of quarter founding advertising XXXX $XX.X versus second for teams well the National the in revenue million

network We XX.X% And CPMs, As their advertising to dates. are in X.X% beverage. in increase by closer up on office thanks in was excluding towards $XX.X was spending advertisers driven this scatter, as much to attendance campaign million first trending largely money the quarter, more air increase highest QX, sold increase national a record. saw in box XX.X% quarterly and the impressions a

and brought quarter for from pharmaceuticals, XXXX to and games, communications, also categories Internet beverages. alcoholic groups] media, video the our in clients [cash We new QX growth several apparel screen big included top the national and and oil including

million XXXX. XXXX, compared national period to was our June first of the the For revenue to ending six XX% comparable months $XX.X half ad or for up million in for the million $XXX.X $XXX.X year, full the XX,

and in we the ways country newest on we we brands currently primarily in the best connect to contracted to the with them with and the their show XXXX/XXXX have and participate marketplace, continuing the across that movie second meetings hit dollars to audiences. As upfront presentations client are agency our the will upfront year, valuable NCM aggressively noted the XXXX call, half our last of

decrease On buyers. regional regional the to sales sales, and National digital and reap side, Spot benefits responsibilities of total with to the contracts, XX.X% XXXX as prior Mediaocean in $XX.X million to $X.X volume the multi-market match local is such million those accountability specific team interact QX and which where the sales began of the to regional dollar local contracts resulting in or sales larger, X.X% XXXX. compared of and that with of in in All QX in types, of local a in and we revenue advertising revenue we $XX.X and sales better operations value a we an realigning increase STRATA, media million had year, local XX.X% regional streamline had and local increase sales, from

revenue With off in for a of same ending year. last six or the months the XX, XXXX, from first local million this regional million coming the increased of group half $XX.X from period June XXXX, up for quarter, to still the million the and first transitional first year, X.X% team $X.X $XX.X

XXX% are seeing from of XXXX. and in the buying STRATA strategy, We with Mediaocean also from systems traction revenue Spot first National our the up half

in inventory both Noovie positive have months, investment pre-show ecosystem interactive since big fun, use getting by strategy player the groundbreaking new our moviegoers Noovie XXX,XXX grown launch will executing the in augmented reality Movie CPMs, like digital included inventory front, a to continues by digital are response In On XXXX, enjoyed is by although a Emoji Cinevaders are on revenue, promote movie and our Noovie tenfold the it measured first-party Escape ARcade of XX.X% small our take product ad our our complementary revenue, on-screen to sold digital And core playing digital brands business second part be and begin on our April, to, our in and audiences. overall growth believe six we to we a things be and since or digital games key from quarter the advertisers in we to have our new, and last we own our in in remains future. validated augmenting the note. part beginning products. Over profitability League impressions the achieved increase not and marketing increasing app that Fantasy integrated capabilities, the and screen of already of data, meaningful ranks inventory our the digital

Google, League, Speaking to digital new both advertising of Ad sales of our I'd will be leading products, President and leader of to digital Noovie thought of and across Jerry like veteran growing ARcade, efforts suite noovie.com. coming Cinema industry Canning welcome Vice Fantasy our A and Sales, the a team. Digital NCM's Movie including which, soon, digital Jerry Facebook Accelerator,

for As was was certainly it quarter a were can significant other results well. notable, eventful on you fronts very second a quarter see, financial as it our several NCM, for while us and

First, a Committee Compensation Director board. take NCM. to the and service to on that P. thank serve Madison, on appoint we to on replaced and us to them June independent for of Williams up two largest a to Glaze, Paula He four to the like General, I X, July and Governance first directors reached an agreement stockholder, with years Paula who moment our new would allows our Andrew her being will since Committee XXXX, joined and X, of the Standard board, nominating

led future. that Board February Board the in pleased future I network new the we largest wish focus our N. In will the Schneider, other are with Director lead plan as of value, as for board the since Scott our the XXXX. XX, served success Chairman currently Chair the him XXXX, during related time yet Board as We all on Chairman working and a news, had XXXX. as with majority on as Board, America. to to a retired is him as best July January since NCM, He for of extraordinary continue XX, of Andrew on announce position welcome director to July National determined. and execute Inc. and date a served be and Scott advertising in an has and cinema time growth to at the disclosed as in the unique The building Scott strategic the service driving to future Director thank CineMedia of his of board, NCM's as announcement replace of independent

Carmike agreement Second quarter Department the Cinemas National of transaction also in of in a remaining to acquisition ownership owned AMC's connection stock NCM LLC, July AMC its decree Group, its CineMedia The with AMC's of with plc. for change Cineworld the AMC in saw Justice to the the consent under Holdings, Entertainment brought in the closed units Inc. National CineMedia acquire and announced U.S. interest LLC sell Inc. clearing when fulfills by requirement and early Cinemark overhang of Inc. Holdings and

investment needs closely agreement, on our work has exhibitor our to future cinema to our which with growth strategic the However, more to asset service strategies, members. us with founding Cineworld remaining. a deepen while importantly, further our AMC it years in Cinemark by opportunity other and also and continuing under collaboration It their the gives two business signals approximately plans advertising service XX

our network, and will While approximately representing in great other XX current the U.S, many an important longer exhibitor still for AMC's of attendance along AMC no cinema network NCM AMC’s be ownership LLC, come. our interest years with U.S. of has the it its XX% fit largest partners advertising to part

loan the everyone and and to that, secured vision too including more continuing It estimates. into Finally, on year first QX operating be half work in an June, and XXXX I'll in audiences. more our provide to credit facility, you on between us the of details to with look flexibility, will movie about toward term exciting our NCM credit our over and Katie to debt now and go connector maturity to we've which and Katie? call our brands allowing I financial guidance and refinanced together our facility turn is extend been forward additional give our senior team And Katie to our revolving far, detail performance board shortly. XXXX with

Katherine Scherping

walk open supplemental I'll Andy our questions. Investor further Andy. the our our call through before the and the ncm.com. the results rest of discuss section Relations I'll in of Then your the you quarter that on highlighted to outlook get year. refer to on detail numbers, presentation Thanks, we’ll thoughts the I and But into our for

adjusted and professional quarter, with OIBDA million legal access the year, the versus OIBDA our from office, $XXX.X almost by million increase and driven in from $XX.X out increased $X or QX box to fees XXXX XX.X% XX% and million quarter $XX.X or or $X beverage related revenue. million of of to in revenue advertising the of our XXXX. second XXXX non-recurring in local the QX and to OIBDA digital in the Standard million XX.X% $X.X million regional Total a continued quarter in to It's in a increase and $XX generated million increase in increased XX% and QX or million pointing the adjusted XX.X% growth worth that XX.X% XX.X% million includes or $XX.X margin QX increased in XX.X% adjusted this $XX.X or fees ecosystem. the second increase $X.X our XXXX, a revenue investment total related million in Noovie record For $XX.X theater settlement General to million advertising second impact revenue national

Adjusted In million first six six six high Theatres total QX to XXXX to to Carmike advertising $XX.X months QX million we the an the million million $XX.X increases XXXX. from and in and quarter, increase other $X.X Rave XXXX. million recorded million or encumbered to compared increased due revenue from adjusted a driven by the AMC months significantly scatter million from and of from $XXX first market last and increased XX% of year-to-date months of year. to OIBDA Cinemark versus payments and Theatres with or integration XXXX. are revenue versus $XXX.X $X.X associated stronger the theater in margin margin of months increased XXXX, second national XXXX, in the $XX.X in The million six of XX.X% first XX.X% $XX.X in XX.X% OIBDA For

and As adjusted net as intangible partnership encumbered the theater a balance these are reported recorded on and to added are reduction distribution revenue reminder, as payments to included note adjusted purposes in are or that sheet. that assets a OIBDA they debt compliance OIBDA integration cash not other for

these of $XX to expect $XX our members during approximately We founding record million million to payments XXXX. from

was in increase in in increased revenue impressions ad XXX.X% by XXXX QX sold to XXXX XX.X% sold attendance, driven revenue QX beverage and advertising mix by a and decrease a CPMs. in driven local XX.X% XXXX national, offset and utilization national increase was QX XX% was in Our in was by a that partially XXXX. X% a respectively. QX network increase XX%, increase XX.X% QX versus from XX% and versus XX% X% The impressions XXX.X% inventory X.X%

six first of versus months X.X% driven an increase XXXX, XX% months XX% six X.X% of XX.X% national utilization attendance the in an increase to XXXX. the network by in ad first For increased revenue CPMs increased from that and on

end total revenue of an contract second driven in value, was quarter at the million quarter our QX due or X.X% offset revenue $X.X XXXX. good] million in number XX.X% ad end a an Finally, the versus [make average increase partially was $X.X $X.X by million regional by in of contracts. QX at versus increased balance of end to XXXX local the the increase in and XX.X% QX XXXX, and decrease

XXXX, QX X.X% or contract driven was increase revenue in increase value, by For million increase and offset founding by revenue a the driven regional XXXX. in six by half the in a months an first versus average CPM. X.X% of increased million or member of ad advertising XX.X% versus volume. $X.X XXXX first X.X% QX beverage and in increased attendance local beverage The revenue contract decrease XX.X% $X increase partially in

XXXX, CPMs. was first and in increased X.X% driven of $XXX,XXX founding attendance For six X.X% versus in member an XXXX of increase the the a revenue beverage six by beverage months increase first or months

GAAP the diluted Looking briefly XXXX. $X.XX of second reported we per earnings share EPS in for QX EPS versus at quarter, $X.XX of diluted

share. lease As adjusted early of and quarter net diluted for transition would the second and XXXX CEO expense, income remained have termination costs same for XXXX the per

we six EPS months for XXXX, GAAP of the reported the of versus diluted XXXX. months $X.XX For six first first EPS $X.XX of of

that of outstanding the our CEO Inc., in six year-to-date by additional XXXX. six for of transition lease include of weighted Inc., and the and of second to to and for our average half months expense, NCM first would $X.XX EPS diluted Note $X.XX adjusted termination quarter shares sold for have the NCM exclude of income remained first net costs XXXX the the As attributable early AMC related EPS XXXX. shares versus months

first XXXX million million the of months digital For driven by months $X expenditures a $X.X the capital were $X.X in million six investment six of for XXXX ecosystem. our versus first

be million or million approximately full-year in $XX range to revenue, that of $XX XXXX estimating are We $X million capital expenditures to including X% will the million investment. $X of digital

to date $XXX term to new sheet. quarter, our secured on of In extend moving facility. to loan senior million revolving our The new term agreement loan credit a our refinanced million balance and second XXXX. $XXX term agreement us maturity revolver a consists and the and revolving June million to secured allows the the with facility, $XXX senior we million that XXXX credit of loan Now the June $XXX credit

plus is X.XX ratio rate base XXXX. covenants on majority under times there is notes net interest NCM the or secured times include exceed to term ranging from rate on not not X.XX% LLC's loan The LIBOR or our ratio, the X.XX% prior of consolidated to or The revolver is The and and senior X% to XX, of due the revolver. net XXXX under LIBOR upon to the base a at a plus senior our when total to credit a the plus X% consolidated X.XX% secured rate both plus X.X cases, terms leverage the balance for the an to in October the contingent equating from a margin, applicable outstanding range is quarterly. option of net rate on Although, new amortization a exceed leverage $XXX,XXX X.XX%, facility consolidated principles facility the payable also depending contains ratio. new annual leverage X% refinancing

NCM previous available from LLC’s below flexibility LLC $XXX effect to secured will basket NCM investment addition, payment cash to X.X giving million as In in senior additional including restricted which after invest any the the business $XX if to such payments, with permitted allow its owners, to to increased We is our times. us distributions million, consolidated leverage, needed. is net make

the XXXX. at at $XXX at QX end NCM outstanding of LLC QX debt total versus million the $XXX XXXX million end Our of was

Our was the compared debt the refinancing at quarter the revolver million XXXX balance at $XX in the of second for $X the XXXX. the $XX which to at end the fees for included payment about million, of end drawn down of QX of end our million quarter

Our facility on debt, rate approximately of our debt bank credit approximately end QX, term rate was floating-rate million had of the interest the loan $XXX average X.X% a at X.X%. including all that revolving

Excluding XX% of end total of a QX outstanding interest XXXX our debt revolver rate. had balances, the fixed at

of below versus total X.XX four-quarter NCM XXXX of end QX the four trailing leverage X.X covenant net times leverage maintenance consolidated was well XXXX, approximately in our of as times. LLC Our at net OIBDA is total which QX adjusted times

was net X.X X.X covenant times Our leverage times. consolidated secured ratio versus the senior of

XXXX dividends Directors the time at a $X.XX be flexibility. to Board share of to and flow. Our discretion pay and general today by $XX increased Inc. The million business the investment with declaration, plan common our invest intend any relevant. to dividend the be of of on considers based timing of available payment, portion the determined current end payable QX the the the years, of sole cash, consider paid providing while at We over amount on consolidated and of future level announced of stock. dividend and will factors the cash the future few condition, financial Company's We was of The who dividend economic per will authorized to free Directors NCM substantial to XX, from and of cash for of The next $XX Board quarterly stockholders intention quarterly on other the this any regular August over of our of discretion the dividend of August balance Board condition, cash our approximately Board will Directors in at XXXX record needs foreseeable XX, the XXXX. market million advertising Company's balances cash Directors financial of $XX have consistent regular that distribute QX XXXX anticipated million as that a with

yield dividend price annual X% Our of $X.XX. share is on closing based today’s currently

guidance XXXX. our for full-year to the turning Now

noted still guidance. weaker strong a XXXX, had As earlier, and half we half tougher year. a a first the Andy slate we our the though we are second increasing modestly of comparison face into in account, this Taking film

We $XXX be million to X% million XXXX is to of million flat range adjusted range revenue expecting to up and $XXX of a are expected or million. be $XXX X.X% between up in OIBDA a to versus total to and or $XXX in X.X%

for guidance Turning payments and now $XX integration from OIBDA to available following our available million, the two, cash. payments $X.X to of with million to add as the One, million of to $XXX XXXX, build cash cash a adjusted of $XXX $XX you'll calculation our starting note million, receivable million. Fathom

end of three capital non-cash reimbursed million; And stock $X.X on the cash to These Cinemark, allow for $X As the of million. Inc, to subtract of will the will you ownership improvement XXXX, of Cineworld, LLC available three, components paid the allowances. $X available is approximately a comp projection and which million expenditures to for million based you amortization net at partnership, their for million; quarter. approximately $X.X $XX Inc. million NCM in the tenant be cash of of quarterly One, a of interest million, that members arrive to debt expense NCM to employees $XX $XX $XX cash, to at four, principal at reduction to following. are the million

our headquarters from XX,XXX would company like values be I our into square is of to millennial quarter. retain. feet our successful downsized and will move open more desired accessible celebrate Finally, of culture more our for light and to remarks, second professionals and collaboration. modern and Denver of to the Operator? XX,XXX our new, we appeals as prepared to attract reflective line to more now the accountability We square and It during which feet questions. concludes That rail,

Operator

MKM you. Thank the Please Partners. first comes [Operator Handler from Our question. proceed of Eric with line Instructions] your with question

Eric Handler

taking question. for thanks Yes, my afternoon. Good

in dig side, utilization national basis, down bit revenue, on wondering up went to on the Just on but year-over-year a if CPM XX.X%. you little could your a shot particularly

quarters. a had double-digit haven’t six We quarter in about

just particular excess of strong? in that versus I’m balanced curious had made there so that – sort a impressions so lot what And you is scatter CPMs sell to anything you and how of

Andrew England

not QX thanks It U.S. quarter. a a mentioned, but the for Well, was of any – record. thoughts, office for I A for actually a question just box a couple for the Eric. record was second box quarter, as was office,

And that driven was so by attendance. partly obviously

up XX%. you if over So across network, slightly our attendance the was at look it

there, right your why by see, and XX% very and down had you'll to over piece driven XX% quarter. a So was scatter fundamentally, was point just we just little successful that’s up grew bit. we scatter much CPM when The over very a exact utilization revenue attendance is

to economy. advertisers think we late. feel the good good I who is I – about increasingly advertising wish pay buy economy. have are willing who more What we that the to about say will We feel

buyers much good are interesting to upfront, come we we is in much placed our feel savings who do scatter with about we continue them we've keen about So placed upfront, the at booking as dollars to efforts place, CPMs the not and see and concerned earlier. but by later, the getting seen what's push that

think. So that's context, I overall kind of the

Eric Handler

pretty was a there of throughout one – advertise drive maybe this were any was or you advertisers what couple quarter? that the fluid it Was help seeing up

Andrew England

was it churn. high you relatively – fairly a fluid, as medium, then clearly as know, we and think have we’re I

came We been didn't who in not in having We while. have cases, and some came had return. in, who advertisers with us advertisers a for

of a churn. – we a even relatively have I high we So, level though think, have

of We also a interest. level have high

who people in with if of certainly Gusto looking point important just healthy it’s mentioned in a think found us. and difficult who advertisers, I are was one like to to Telco as movement similar But you are like. advertiser we reach [indiscernible] to millennials any particular came that So there level

Eric Handler

Okay. that said question. flowed rest little And the know of XQ you mean, Last guys I'm off quarter, start, last to bit commentary can give very especially, obviously, quarter. the about curious through that see a as us one then to start become how a to I comparisons – what curious XQ, good just and to you was or more difficult?

Andrew England

Yes.

So we here's I'd if Eric. raised mean, into certainly what then be has reasonable say, guidance been, has or been year. I would the an the I be expectations as as what our the feel progress remains factored effort know we further, say, momentum is we today to expect for strong where And throughout it conservative, somewhat the But raising this it in to comfortable be guidance as year. today. to would guidance business

Eric Handler

you Thank much. it. Got very

Andrew England

you, Thank Eric. welcome. You’re

Operator

Research. the from Barrington of Goss with Please your comes question Jim proceed next Our question. with line

James Goss

you’re the yourself about somewhat. A questions Thanks. couple of way branding

would note from You – or that thrust how that is broadcasting, that read your general. shift is language you're meant of we to the there aside network, can biggest be millennial used in should to – network, go? in it bigger which than anything change Is the biggest business this or be into the

Andrew England

answer not an impact intent I question, To think, to of Jim, downsize story. it's your certainly that the

who attempt to really But advertisers we as focus looking very largest. position no, our focus. an with with are certainly on be us it's intended the to much very at of do another we millennials, are and just well in think, important so millennials, to filter order not it's that's how more I

without are word we millennial that think, largest I attached. the

James Goss

related a And in Okay. maybe vein.

of it on that shown, it's games bit the play that to of at and would pre-show the or might rest the audience stream. You so to audience? might to thing the of go apps the something not I even efforts But so does when intended to ads yet. play you be the rest first of focus mentioned a anxious does the quite all the new sort make be before of would it? earlier with affected that be some think the Have difference been do the a the

Andrew England

Here's tell about what it, you I'll Jim.

firstly, first because is idea think, I love to for millennials huge related a question, us think we gaming your gaming.

so, you feedback it. very a tell fertile for very that And have on we territory us, and it's think we I would positive

We – had we most example, at because for do once intention, it reason it's used is – point, we that in we don't that we for that's feedback also to But also inventory the To available and pretty where a show, get things. the it, very our sponsorships, frankly, have we to such potentially feedback is positive. as games, that be in for people much part, push later in the is show. now those the would appreciate least your we while, have overwhelmingly right I say put early but the

to the show. later move going can't the the is, which saw happen in it's we Noovie an tell you opportunity first who sponsorship of it, happen fourth we to quarter, but in sell So obviously, our ARcade, the to sponsorship it of us give advertiser I

learn. our be from is We interpretation and this overall, the consumers, feedback thing of time would whole think, direct we positive certainly we'll the feedback. So get very

James Goss

or I the where any including Okay. of relevance in are been. And your lesser hasn't is out that last ad question. is, used know that it revenues? beverage the it than national think be and broken just greater to Is PSA you I and not actually way

Andrew England

for your sell silence referring it cell important. considerable of that I do our think, we of get it's and just think phones included a included, to just the That’s amount in national money. sponsored. That's you're We revenue. certainly We

it, and many offering. being an of are our bundled who sponsor international. important advertisers I as too it think part there see we is But it

James Goss

Thank you. Okay.

Andrew England

Thank you, Jim.

Operator

with from comes question Please the of proceed question. Hickey your The Mike next Benchmark Our line with Company.

Michael Hickey

Ted. Katie, Andy, Hey

Andrew England

Hi Mike.

Katherine Scherping

Mike. Hi

Michael Hickey

the first Thanks the assuming you're $XX I year. prior of for on in it the a and looks taking to million it. bit, half in like one, little you $XX million guess hit EBITDA up sales it my questions. Appreciate year, compared but the first

curious the attracting its the So content deeper half at maybe the is your second towards more upfront it visibility and year among the I'm just were weighted look partner money how guide, half sounds second like year. a of the for just [indiscernible] because of

national question So on sounds it And obviously, the scatter, since our it’s box [indiscernible] guidance And side, success with guess the to money [indiscernible]. the of of – – [indiscernible] local scatter less reliant I to form continued the more or successful not QX? office? – sort in impactful first for of the were it business, curious you half, seemed strong like restructuring doesn’t those the growth mentioned necessarily last player drive second you potentially being scatter strong like tied kind foreign in strong then on a but half

Andrew England

lot want your there we of and Mike you half, breaking a guidance. it, some last to year, a – little I can’t well ahead you are too first up bit. of miss ended point, To I is There into wouldn’t really our and frankly we the read much

about quite guidance, a the don't previous ourselves conservatism. ourselves guidance that been followed to having get couple on the hence have in of us years, point know, ahead and plan for a of while, of You'll we've we ahead

I think you mentioned attendance.

and mentioned the booking a there think, to so, half we also, later, it. expectations different trying and understand literally out are numbers, second at are. different because later we're a But that. book tends few I around partly analyst scattered I what attendance understand are And, looking reports advertisers to have substantially are trying There the QX. think the particularly be who quite to I that – of

of the previous the I those we quarters came booking concerns in. So, at the concerned found found ourselves and think, as being beginning allayed later in quarter

feel we the which of great market, means humans, of make instead to Cinemark be we well and don't medium, stay the place to excited the in main we a by a slight investors are where very offering and our really TV all that sure conservative. we The think we good We cinema that about are think place box about a appropriately great is way. where want to just digital So, you mislead as is guys a struggling. XXXX

Michael Hickey

a evolving, some that on subscription greater regards some is looks that and see that business so But pricing here. to subscriber have of, pickup other starting is we'll perhaps, adoption to of Obviously, you plans next guess to several see very I you. a the models things. curious, new lot among of of question just the thank plan move attendance years. drive traction your over are of in expect attendance the of Okay, to, which get intended how successful the sort sort AMC last obviously, we

Andrew England

box about be We we care attendance. to office, to Well, don’t affiliates as about successful. want other is care because care mean office. we I But we you and add know box to circuits have about attendance. we care about what fundamentally

is way a thing. plans the the look are so subscription at it good I And

I idea. good the like think, has greater the that if the idea. people price the We movie It pass program. the proved but anything, can people drive to it's loyalty like really business model debate proved any seems and certainly, usage, like

their interested with was how in see plan to delighted and Cinemark's as AMC encouraged are aggressive certainly, are we we But well. plan. So

So it the us. a as a positive overall, positive and we industry certainly, for for being see

Michael Hickey

That’s guys. Okay, enough. thanks

Andrew England

Mike. Thank Q&A of you, End

Operator

no are call further back There for hand questions closing in to a Instructions] queue. [Operator like I’d comments. to management the

Andrew England

our facility. and AMC facility, and very strong our and our I'll and at It to Thank great to productive the half XXXX. focus We overhang, to successfully senior our strategy choice first advertisers revenue QX, Thank reaching developing been ecosystem, new allocating people continue Noovie’s. credit while returning for and resources and has new and of refinancing Doug. headquarters an and Adjusted with This QX corporate OIBDA great first moving us digital to our our Noovie Noovie ARcade, see customers, eliminating to Standard agreement in cinema the you a you, to all of growing modern on call, business, participating strategy. enables capabilities the the you launching secured being new and earnings continued a achieved stock XXXX a to growth our General, attract for

Operator

Ladies gentlemen, does participation. this you your and Thank for today’s teleconference. conclude

a may wonderful this and day. time, lines You disconnect your have at

National CineMedia (NCMI) 6 Aug 182018 Q2 Earnings call transcript