Marcus Posts Lower Profit In Q1 - Update

(RTTNews) - Marcus Corp. (MCS), an operator of theaters and resorts, Thursday reported a decline in the first-quarter profit, as operating income from theaters fell due to lower number of summer blockbusters and family-oriented movies. Quarterly revenues rose about 2 percent. Earnings per share missed analysts' estimates, while revenue topped view.

For the first quarter ended August 28, 2014, net earnings attributable to the company declined to $12.43 million or $0.45 per share from $13.43 million or $0.50 per share a year earlier.

On average, four analysts polled by Thomson-Reuters were looking for earnings of $0.50. Analysts' estimates typically exclude one-time items.

Quarterly revenues rose 2.1 percent to $131.77 million from $129.03 million last year, and came above analysts' estimate of $129.27 million.

"We are pleased to report record first quarter revenues for the Marcus Corporation and for Marcus Hotels & Resorts. Marcus Theatres' admissions revenues continued to outperform the industry, in spite of a weaker summer movie slate," said Gregory Marcus, president and chief executive officer of the company.

Total revenues for Marcus Theatres increased slightly in the first quarter, while operating income was down 12.2 percent from last year.

In the hotels and resorts division, the company recorded a 6.5 percent growth in revenue per available room, or RevPAR, for comparable company-owned hotels.

"Occupancy is at historic highs and the average daily rate continues to increase," said Marcus.

MCS is currently trading $17.19, down 2.66 percent.