National CineMedia last made a dividend payment on Sept. 6, 2022
National CineMedia Inc. entered bankruptcy just under two years ago, as the in-theater advertising company wrestled with the impact of the COVID-19 pandemic. On Thursday the company, which emerged from Chapter 11 in August 2023, announced the reintroduction of its dividend amid a rebound in the cinema industry.
The Centennial, Colo.-based company also plans to accelerate stock buybacks. National CineMedia’s NCMI stock was up 3.2% at 1:18 p.m. Eastern time and is currently up three of the last four days, Dow Jones Market Data show.
The COVID-19 pandemic hit the movie-theater industry hard, prompting National CineMedia to undertake a major financial restructuring that led it to file for Chapter 11 bankruptcy in April 2023. A few months later, the company emerged from bankruptcy and announced the completion of its financial restructuring, which eliminated approximately $1.2 billion of debt.
With bankruptcy behind it, National CineMedia is also benefiting from a much healthier cinema industry in 2024 and 2025. While the lingering impact of the Hollywood strikes was still felt in the industry in early 2024, box office improved dramatically as the year progressed and is expected to continue its rebound in 2025, boosted by a strong slate of upcoming movies.
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