Reading International (RDI) AI Stock Analysis

• Market Cap: $47.53M
• Dividend Yield: N/A
• Average Volume (3M): 26.93K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.17
• Revenue Growth: 7.59%
• EPS Growth: 61.22%
• Country: US
• Employees: 2,025
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): -0.12
• Shares Outstanding: 21,036,670
• 10 Day Avg. Volume: 14,228
• 30 Day Avg. Volume: 26,925
• PEG Ratio: -0.06
• Price to Book (P/B): -6.78
• Price to Sales (P/S): 0.14
• P/FCF Ratio: -3.16
• Enterprise Value/Market Cap: 7.94
• Enterprise Value/Revenue: 1.72
• Enterprise Value/Gross Profit: 13.44
• Enterprise Value/Ebitda: 23.62
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: $1.50 ▲(8.70% Upside)

Reading International's overall stock score reflects significant financial challenges, including negative profitability and high leverage. While the earnings call showed improvements in revenue and debt reduction, ongoing net losses and weak technical indicators weigh heavily on the stock's outlook.

Reading International Business Overview & Revenue Model

Company Description

Reading International, Inc. (RDI) is a diverse entertainment and real estate company that operates in two primary sectors: theatrical exhibition and real estate development. The company owns and operates a portfolio of cinemas, primarily under the landmark brand, as well as various properties in the United States and Australia. RDI's core offerings include movie screenings, special events, and real estate leasing, aiming to provide high-quality entertainment experiences and innovative real estate solutions.

How the Company Makes Money

Reading International generates revenue through multiple streams, primarily from its cinema operations and real estate activities. The company's theatrical exhibition segment earns money from ticket sales, concessions, and advertising revenue within its theaters. Additionally, RDI's real estate development initiatives contribute to its revenue through leasing commercial properties and developing real estate projects. The company may also engage in partnerships with film distributors and local businesses, enhancing its market reach and promotional efforts. Factors such as the popularity of films, consumer spending trends, and effective management of its real estate portfolio significantly influence its earnings.

Reading International Financial Statement Overview

Summary

Reading International's financial performance is weak, with significant challenges in profitability and financial stability. The income statement shows revenue growth but negative margins, while the balance sheet reveals high leverage and negative equity. Cash flow management is also a concern, with negative operating cash flow.

Income Statement

Reading International's income statement shows a mixed performance. The company has experienced a revenue growth rate of 6.6% in the TTM, indicating some recovery. However, profitability remains a challenge with negative net profit and EBIT margins, reflecting ongoing operational difficulties. The gross profit margin is low at 8.8%, suggesting limited pricing power or high cost of goods sold. Overall, the income statement reflects a company struggling to achieve profitability despite revenue growth.

Balance Sheet

The balance sheet of Reading International highlights significant financial leverage, with a debt-to-equity ratio of -45.6 in the TTM due to negative equity. This indicates a high level of financial risk. The return on equity is also negative, reflecting the company's inability to generate profits from shareholders' equity. The equity ratio is negative, further emphasizing the company's precarious financial position. Overall, the balance sheet suggests a need for financial restructuring to improve stability.

Cash Flow

Cash flow analysis reveals challenges in cash generation, with a negative operating cash flow to net income ratio in the TTM. Free cash flow has grown by -183.7%, indicating a significant decline. However, the free cash flow to net income ratio is relatively strong at 0.74, suggesting some ability to convert earnings into cash. Overall, cash flow management remains a concern, with a need for improved operational efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	219.21M	210.53M	222.74M	203.12M	139.06M	77.86M
Gross Profit	28.07M	21.91M	26.56M	15.40M	6.05M	-21.78M
EBITDA	15.98M	2.90M	8.94M	1.40M	100.34M	-17.80M
Net Income	-20.26M	-35.30M	-30.67M	-36.18M	31.92M	-65.86M
Balance Sheet
Total Assets	438.07M	471.01M	533.05M	587.05M	687.70M	690.17M
Cash, Cash Equivalents and Short-Term Investments	9.09M	12.36M	12.92M	29.96M	83.25M	26.85M
Total Debt	359.68M	390.22M	418.78M	443.61M	481.09M	524.14M
Total Liabilities	446.50M	475.80M	500.06M	523.78M	582.64M	609.00M
Stockholders Equity	-7.68M	-4.36M	33.09M	62.86M	104.07M	77.77M
Cash Flow
Free Cash Flow	-825.00K	-9.37M	-15.08M	-35.74M	-29.05M	-48.73M
Operating Cash Flow	3.17M	-3.83M	-9.73M	-26.35M	-13.50M	-30.20M
Investing Cash Flow	34.37M	3.96M	-2.70M	-9.49M	129.61M	-18.77M
Financing Cash Flow	-35.67M	337.00K	-6.67M	-16.56M	-50.28M	59.33M

Reading International Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.38
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RDI, the sentiment is Negative. The current price of 1.38 is below the 20-day moving average (MA) of 1.41, below the 50-day MA of 1.48, and below the 200-day MA of 1.40, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 39.18 is Neutral, neither overbought nor oversold. The STOCH value of 18.14 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RDI.

Reading International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CNK	66 Neutral	$3.08B	14.68	70.99%	0.90%	13.80%	109.00%
CNVS	62 Neutral	$53.93M	21.04	9.22%	―	77.07%	―
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
MCS	57 Neutral	$438.22M	62.13	1.68%	1.99%	6.28%	―
AMCX	49 Neutral	$321.04M	-1.69	-17.26%	―	-7.25%	-395.48%
AMC	48 Neutral	$1.29B	-2.82	―	―	9.42%	39.83%
RDI	46 Neutral	$47.53M	-1.83	―	―	7.59%	61.22%

Reading International Corporate Events

Reading International’s Earnings Call: Growth Amid Challenges

Reading International’s recent earnings call painted a picture of both progress and challenges. The company reported significant improvements in operating income and revenue growth, alongside a commendable reduction in debt. However, it continues to face hurdles in real estate revenue and net loss positions, influenced by asset sales and currency exchange rates.

Reading International Reports Strong Q2 2025 Results

Reading International, Inc. is an internationally diversified cinema and real estate company operating in the United States, Australia, and New Zealand, known for its cinema brands and real estate developments.