Reading International Inc (RDI)
NASDAQ:RDI
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Reading International
(NASDAQ:RDI)
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Rating:41Neutral
Price Target:
$1.00
▼(-9.09% Downside)
Action:ReiteratedDate:04/07/26
The score is held down primarily by weak financial performance (declining revenues, persistent losses, negative operating/free cash flow) and a strained balance sheet (high leverage and negative equity). The earnings call adds some support due to improving full-year trends and upbeat 2026 commentary, but near-term liquidity/refinancing risk remains significant; technicals and valuation provide limited additional support.
Positive Factors
Diversified Cinema + Real Estate Model
Reading's dual model (cinema exhibition plus owned real estate) provides durable revenue and asset diversification. Cinemas drive box office and high‑margin F&B while property ownership offers leasing income and optional monetization to support liquidity or debt reduction over the medium term.
Negative Factors
Consistent Negative Operating Cash Flow
Multi‑year negative operating and free cash flow indicate the underlying business is not yet self‑funding. Persistent cash deficits force reliance on asset sales or external financing for liquidity, constraining reinvestment capacity and increasing medium‑term balance‑sheet risk.
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Positive Factors
Negative Factors
Diversified Cinema + Real Estate Model
Reading's dual model (cinema exhibition plus owned real estate) provides durable revenue and asset diversification. Cinemas drive box office and high‑margin F&B while property ownership offers leasing income and optional monetization to support liquidity or debt reduction over the medium term.
Read all positive factors
Reading International (RDI) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$39.82M
Dividend YieldN/A
Average Volume (3M)323.30K
Price to Earnings (P/E)―
Beta (1Y)0.30
Revenue Growth7.11%
EPS Growth69.85%
CountryUS
Employees2,025
SectorCommunication Services
Sector Strength97
IndustryEntertainment
Share Statistics
EPS (TTM)-0.11
Shares Outstanding21,036,670
10 Day Avg. Volume903,282
30 Day Avg. Volume323,299
Financial Highlights & Ratios
PEG Ratio0.03
Price to Book (P/B)-1.31
Price to Sales (P/S)0.12
P/FCF Ratio-15.12
Enterprise Value/Market Cap9.79
Enterprise Value/Revenue1.92
Enterprise Value/Gross Profit14.34
Enterprise Value/Ebitda21.14
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)-0.19
Revenue Forecast (FY)$233.65M
Reading International Business Overview & Revenue Model
Company Description
Reading International, Inc., together with its subsidiaries, focuses on the ownership, development, and operation of entertainment and real property assets in the United States, Australia, and New Zealand. The company operates in two segments, Cin...
How the Company Makes Money
RDI generates revenue mainly from (1) cinema exhibition and (2) real estate. In cinema exhibition, it earns money from box office ticket sales (a portion of which is shared with film distributors), and from higher-margin ancillary sales such as co...
Reading International Earnings Call Summary
Earnings Call Date:Mar 31, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 18, 2026
Earnings Call Sentiment Neutral
The call presented a mixed but cautiously constructive picture: the company delivered substantial full-year improvements (notably a large adjusted EBITDA increase, meaningful debt reduction, lower interest expense, strong F&B and membership momentum, and early 2026 box-office strength), while reporting a weak Q4 driven by a softer film slate, FX headwinds, theater closures and concentrated near-term debt maturities that require further asset monetization or refinancing. Management has taken clear steps (asset sales, lender amendments, cost discipline, and operational initiatives) to address liquidity and position the business for a stronger 2026, but material execution and refinancing risks remain.Positive Updates
Full-Year Profitability Improvement
Net loss attributable to Reading improved by $21.2M year-over-year from a loss of $35.3M in 2024 to a loss of $14.1M in 2025; basic loss per share improved by $0.96 to a loss of $0.62 (from $1.58).
Negative Updates
Disappointing Q4 Revenue and Quarterly Declines
Q4 2025 consolidated revenue decreased by $8.3M quarter-over-quarter to $50.3M; consolidated revenue for full year 2025 was $203M, down 4% year-over-year. Q4 global cinema revenue fell 14% to $46.9M.
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Q4-2025 Updates
Positive
Negative
Full-Year Profitability Improvement
Net loss attributable to Reading improved by $21.2M year-over-year from a loss of $35.3M in 2024 to a loss of $14.1M in 2025; basic loss per share improved by $0.96 to a loss of $0.62 (from $1.58).
Read all positive updates
Company Guidance
Management’s 2026 guidance is upbeat: on a flash basis global cinemas are trading ahead by over 11% (Jan 1–Apr 1) and the company expects 2026 to be the best post‑pandemic box‑office year, supported by a strong release slate and continued F&B and loyalty momentum (Reading Rewards >430,000 members, +18% QoQ; paid memberships 22,139, +27% QoQ; Angelika ~183,000 members, +7% QoQ; record F&B spend per person). To address liquidity they plan to monetize key assets (listing Cinema 1–3, Napier under contract for NZD 2.5M, Newbury Yard held for sale) and intend to use proceeds to retire specific loans (Valley National ~$19.7M and Bank of America ~$6M), aiming to monetize before the end of Q3; they are also negotiating refinancings/extensions for 44 Union Square, Santander/Minetta/Orpheum and others. Key balance‑sheet and operating metrics to monitor: cash $10.5M, total assets $434.9M, outstanding borrowings $185.1M (down from $202.7M, ~10% YoY) despite adding $13.6M Sutton Hill debt (4.75% due 9/30/2035); 2025 results underpinning the plan include consolidated Q4 revenue $50.3M (Q4 adj. EBITDA $5.1M, -25% YoY), FY revenue $203M (-4% YoY) and FY adj. EBITDA $17.8M (+744% YoY), Q4 net loss attributable $2.6M (EPS -$0.11) and FY net loss $14.1M (EPS -$0.62, improved), net cash used in operations $1.6M, cash provided by investing $37.1M, cash used in financing $37.9M, interest expense down $3.2M (15% YoY) and G&A $19.3M (75% corporate); planned 2026 CapEx includes recliners and premium PLF/TITAN LUXE screens.Reading International Financial Statement Overview
Summary
Income Statement
28
Negative
Balance Sheet
18
Very Negative
Cash Flow
16
Very Negative
| Breakdown | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 202.99M | 210.53M | 222.74M | 203.12M | 139.06M |
| Gross Profit | 27.20M | 21.91M | 26.56M | 15.40M | 6.05M |
| EBITDA | 18.44M | 2.90M | 8.94M | 1.11M | 100.34M |
| Net Income | -14.14M | -35.30M | -30.67M | -36.18M | 31.92M |
Balance Sheet | |||||
| Total Assets | 434.93M | 471.01M | 533.05M | 641.72M | 687.70M |
| Cash, Cash Equivalents and Short-Term Investments | 10.53M | 12.36M | 12.92M | 35.00M | 83.25M |
| Total Debt | 360.97M | 390.22M | 418.78M | 443.60M | 487.06M |
| Total Liabilities | 453.03M | 475.80M | 500.06M | 578.44M | 582.64M |
| Stockholders Equity | -18.24M | -4.36M | 33.09M | 62.86M | 104.07M |
Cash Flow | |||||
| Free Cash Flow | -1.58M | -9.37M | -15.08M | -35.74M | -26.97M |
| Operating Cash Flow | -1.58M | -3.83M | -10.60M | -26.35M | -11.41M |
| Investing Cash Flow | 37.11M | 3.96M | -2.70M | -9.49M | 129.61M |
| Financing Cash Flow | -37.89M | 337.00K | -5.80M | -16.56M | -52.37M |
Reading International Technical Analysis
Negative
1.10
Price Trends
1.08
Negative
1.12
Negative
1.26
Negative
Market Momentum
<0.01
Positive
46.17
Neutral
32.00
Neutral
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 1.1 is below the 20-day moving average (MA) of 1.12, above the 50-day MA of 1.08, and below the 200-day MA of 1.26, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 46.17 is Neutral, neither overbought nor oversold. The STOCH value of 32.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RDI.
Reading International Risk Analysis
Reading International disclosed 9 risk factors in its most recent earnings report. Reading International reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Reading International Peers Comparison
UnderperformOutperform
Sector (60)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
61 Neutral | $3.43B | 19.44 | 25.84% | 1.45% | 9.70% | -31.62% | |
60 Neutral | $48.67B | 4.58 | -11.27% | 4.14% | 2.83% | -41.78% | |
60 Neutral | $578.10M | 20.03 | 2.82% | 1.97% | 6.28% | ― | |
55 Neutral | $51.53M | -10.97 | -24.20% | ― | 77.29% | 97.98% | |
50 Neutral | $321.21M | -1.88 | 9.18% | ― | -7.38% | -483.59% | |
45 Neutral | $786.78M | -1.27 | 35.45% | ― | 9.74% | 12.29% | |
41 Neutral | $39.82M | -1.69 | 100.56% | ― | 7.11% | 69.85% |
* Communication Services Sector Average
RDI
Reading International
1.13
-0.06
-5.04%
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CNVS
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MCS
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22.66%
AMC
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-53.77%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.