Structural margin compression remains persistent, evidenced by a gross margin of only 2.5% in 2026Q1 and a failure to achieve positive operating income throughout the last ten quarters.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 207.94M | 202.99M | 210.53M | 222.74M | 203.12M | 139.06M | 77.86M | 276.77M | 309.38M | 279.73M | 270.47M | 257.32M | 254.75M | 258.22M | 254.43M | 245.81M | 229.82M | 217.01M | 191.29M | 119.23M | 106.13M | 101.07M | 102.98M | 93.74M | 86.49M | 23.74M | 7.38M | 3.95M | 6M | 5.44M | 4.93M |
| Revenue Growth % | 1.12% | -3.58% | -5.48% | 9.66% | 46.06% | 78.6% | -71.87% | -10.54% | 10.6% | 3.42% | 5.11% | 1.01% | -1.34% | 1.49% | 3.51% | 6.96% | 5.9% | 13.45% | 60.43% | 12.35% | 5% | -1.86% | 9.86% | 8.39% | 264.24% | 221.56% | 86.84% | -34.13% | 10.38% | 10.22% | -8.7% |
| Cost of Goods Sold | 181.27M | 175.79M | 188.62M | 196.18M | 187.72M | 133.01M | 99.64M | 219.5M | 235.69M | 216.88M | 207.57M | 200.96M | 198.21M | 204.04M | 201.67M | 192.63M | 180.77M | 168.06M | 150.51M | 86.08M | 77.51M | 77.81M | 79.8M | 73.57M | 69.54M | 17.84M | 4.18M | 1.05M | 2M | 0 | 0 |
| COGS % of Revenue | - | 86.6% | 89.59% | 88.07% | 92.42% | 95.65% | 127.97% | 79.31% | 76.18% | 77.53% | 76.74% | 78.09% | 77.8% | 79.02% | 79.27% | 78.37% | 78.66% | 77.44% | 78.69% | 72.19% | 73.03% | 76.99% | 77.49% | 78.49% | 80.4% | 75.12% | 56.64% | 26.47% | 33.33% | - | - |
| Gross Profit | 26.67M | 27.2M | 21.91M | 26.56M | 15.4M | 6.05M | -21.78M | 57.27M | 73.69M | 62.85M | 62.91M | 56.37M | 56.54M | 54.19M | 52.76M | 53.17M | 49.04M | 48.96M | 40.77M | 33.16M | 28.62M | 23.26M | 23.18M | 20.16M | 16.95M | 5.91M | 3.2M | 2.91M | 4M | 5.44M | 4.93M |
| Gross Margin % | 12.83% | 13.4% | 10.41% | 11.93% | 7.58% | 4.35% | -27.97% | 20.69% | 23.82% | 22.47% | 23.26% | 21.91% | 22.2% | 20.98% | 20.73% | 21.63% | 21.34% | 22.56% | 21.31% | 27.81% | 26.97% | 23.01% | 22.51% | 21.51% | 19.6% | 24.88% | 43.36% | 73.53% | 66.67% | 100% | 100% |
| Gross Profit Growth % | - | 24.15% | -17.53% | 72.49% | 154.42% | 127.79% | -138.04% | -22.29% | 17.25% | -0.09% | 11.6% | -0.31% | 4.35% | 2.71% | -0.78% | 8.42% | 0.18% | 20.08% | 22.97% | 15.85% | 23.04% | 0.32% | 14.98% | 18.97% | 186.88% | 84.51% | 10.19% | -27.35% | -26.42% | 10.22% | -8.7% |
| Operating Expenses | 28.72M | 32.5M | 35.94M | 38.59M | 43.88M | 47.85M | 39.53M | 48.14M | 49.61M | 42.29M | 42.59M | 33.21M | 34.37M | 33.25M | 32.17M | 34.39M | 33.67M | 31.82M | 45.35M | 28.01M | 26.2M | 29.63M | 29.14M | 25.5M | 22.93M | 9.29M | 4.26M | 1.8M | 2M | 3.66M | 3.62M |
| OpEx % of Revenue | - | 16.01% | 17.07% | 17.33% | 21.61% | 34.41% | 50.77% | 17.39% | 16.04% | 15.12% | 15.75% | 12.91% | 13.49% | 12.88% | 12.64% | 13.99% | 14.65% | 14.66% | 23.71% | 23.49% | 24.69% | 29.32% | 28.29% | 27.21% | 26.51% | 39.13% | 57.65% | 45.67% | 33.33% | 67.26% | 73.42% |
| Selling, General & Admin | 2.19M | 2.59M | 20.16M | 20.17M | 21.42M | 25.1M | 17M | 25.39M | 27.34M | 25.35M | 26.91M | 18.65M | 18.9M | 18.05M | 16.12M | 17.43M | 17.78M | 17.56M | 21.43M | 16.09M | 12.99M | 17.25M | 16.24M | 13.5M | 14.22M | 7.25M | 3.6M | 1.27M | 1.3M | 1.18M | 745K |
| SG&A % of Revenue | - | 1.28% | 9.58% | 9.06% | 10.54% | 18.05% | 21.83% | 9.18% | 8.84% | 9.06% | 9.95% | 7.25% | 7.42% | 6.99% | 6.33% | 7.09% | 7.74% | 8.09% | 11.21% | 13.49% | 12.24% | 17.06% | 15.77% | 14.4% | 16.44% | 30.52% | 48.75% | 32.11% | 21.67% | 21.62% | 15.11% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 2M | 29.91M | 15.78M | 18.42M | 22.47M | 22.75M | 22.53M | 22.75M | -256K | 588K | -1.48M | -440K | 1.65M | 1.88M | -563K | 16.96M | 15.89M | 14.26M | 23.91M | 11.92M | 13.21M | 12.38M | 12.9M | 12M | 8.71M | 2.04M | 657K | 536K | 700K | 2.48M | 2.88M |
| Operating Income | -2.05M | -5.31M | -14.03M | -12.03M | -28.48M | -41.79M | -61.31M | 9.12M | 24.08M | 20.56M | 20.31M | 23.15M | 22.17M | 20.93M | 19.13M | 18.41M | 13.13M | 13.92M | -4.58M | 5.15M | 2.42M | -6.37M | -5.95M | -5.34M | -5.98M | -3.38M | -1.05M | 1.1M | 2M | 1.78M | 1.31M |
| Operating Margin % | -0.98% | -2.61% | -6.67% | -5.4% | -14.02% | -30.05% | -78.75% | 3.3% | 7.78% | 7.35% | 7.51% | 9% | 8.7% | 8.11% | 7.52% | 7.49% | 5.71% | 6.42% | -2.39% | 4.32% | 2.28% | -6.3% | -5.78% | -5.7% | -6.91% | -14.24% | -14.29% | 27.86% | 33.33% | 32.74% | 26.58% |
| Operating Income Growth % | - | 62.18% | -16.64% | 57.76% | 31.85% | 31.84% | -772.07% | -62.11% | 17.11% | 1.23% | -12.28% | 4.42% | 5.91% | 9.45% | 3.89% | 40.22% | -5.7% | 404.24% | -188.87% | 113.21% | 137.9% | -7.06% | -11.46% | 10.66% | -76.73% | -220.57% | -195.82% | -44.95% | 12.36% | 35.77% | 154.56% |
| EBITDA | 16.54M | 9.01M | 3.13M | 8.09M | -5.92M | 4.36M | -37.95M | 32.82M | 47.51M | 37.5M | 37.8M | 37.72M | 37.64M | 36.13M | 35.91M | 36.2M | 29.04M | 29.09M | 17.63M | 17.32M | 15.63M | 6.01M | 6.95M | 6.66M | 2.73M | -1.34M | -398K | 1.64M | 2.7M | 2.13M | 1.71M |
| EBITDA Margin % | 7.95% | 4.44% | 1.49% | 3.63% | -2.92% | 3.13% | -48.74% | 11.86% | 15.36% | 13.41% | 13.97% | 14.66% | 14.78% | 13.99% | 14.11% | 14.73% | 12.64% | 13.4% | 9.22% | 14.53% | 14.73% | 5.95% | 6.75% | 7.11% | 3.15% | -5.64% | -5.39% | 41.42% | 45% | 39.09% | 34.59% |
| EBITDA Growth % | 2490.46% | 187.88% | -61.32% | 236.58% | -235.83% | 111.49% | -215.62% | -30.92% | 26.69% | -0.78% | 0.21% | 0.2% | 4.18% | 0.63% | -0.82% | 24.65% | -0.16% | 64.99% | 1.78% | 10.85% | 159.93% | -13.46% | 4.26% | 144.24% | 303.89% | -236.18% | -124.31% | -39.37% | 27.06% | 24.56% | 82.46% |
| D&A (Non-Cash Add-back) | 18.59M | 14.31M | 17.16M | 20.12M | 22.56M | 46.15M | 23.36M | 23.7M | 23.44M | 16.94M | 17.49M | 14.56M | 15.47M | 15.2M | 16.78M | 17.79M | 15.91M | 15.17M | 22.21M | 12.17M | 13.21M | 12.38M | 12.9M | 12M | 8.71M | 2.04M | 657K | 536K | 700K | 345K | 395K |
| EBIT | 1.17M | 4.13M | -14.26M | -11.18M | -21.45M | 54.45M | -61.47M | 10.24M | 24.3M | 40.69M | 19.61M | 34.28M | 24.51M | 23.16M | 19.51M | 20.98M | 14.43M | 23.77M | -288K | 5.17M | 2.65M | -6.37M | -6.32M | -5.84M | -5.98M | -3.38M | -1.05M | 1.1M | 1.99M | 1.69M | 1.99M |
| Net Interest Income | -17.41M | -17.93M | -21.15M | -19.42M | -14.39M | -13.69M | -9.35M | -7.9M | -6.84M | -6.19M | -6.78M | -7.3M | -9M | -10.04M | -16.43M | -21.04M | -12.29M | -14.57M | -15.74M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 86K | 1.27M | 662K | 407K | 800K | 1.48M | 1.35M | 1.15M | 1.01M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 17.41M | 17.93M | 21.15M | 19.42M | 14.39M | 13.69M | 9.35M | 7.9M | 6.84M | 6.19M | 6.87M | 8.57M | 9.66M | 10.44M | 17.23M | 22.52M | 13.64M | 15.73M | 16.75M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -14.61M | -8.49M | -21.38M | -18.56M | -7.36M | 82.55M | -9.51M | -6.79M | -6.16M | 13.79M | -6.87M | 4.48M | -7.33M | -8.22M | -16.84M | -20.18M | -12.34M | -5.82M | -12.46M | -7.78M | 4.21M | 579K | -2.31M | 622K | -1.97M | -982K | -2.87M | 13.7M | -1.08M | -205K | 5.12M |
| Pretax Income | -16.66M | -13.8M | -35.42M | -30.59M | -35.84M | 40.76M | -70.82M | 2.33M | 16.94M | 33.53M | 12.44M | 26.43M | 14.84M | 12.72M | 2.28M | -1.54M | 853K | 8.05M | -19.38M | -2.61M | 6.86M | -11.4M | -9.1M | -5.22M | -7.95M | -4.36M | -3.92M | 14.8M | 900K | 1.57M | 6.43M |
| Pretax Margin % | -8.01% | -6.8% | -16.82% | -13.74% | -17.65% | 29.31% | -90.96% | 0.84% | 5.48% | 11.99% | 4.6% | 10.27% | 5.83% | 4.93% | 0.9% | -0.63% | 0.37% | 3.71% | -10.13% | -2.19% | 6.47% | -11.28% | -8.83% | -5.57% | -9.19% | -18.38% | -53.14% | 374.39% | 15% | 28.97% | 130.29% |
| Income Tax | 1.18M | 853K | 481K | 590K | 819K | 5.94M | -4.97M | 28.84M | 3.42M | 3.34M | 4.02M | 4.94M | -9.79M | 4.94M | 4.9M | -12.33M | 14.23M | 1.95M | 2.1M | 2.04M | 2.27M | 1.21M | 1.05M | 711K | 6K | 208K | 2.49M | 5.31M | -4.8M | 45K | 0 |
| Effective Tax Rate % | -7.09% | -6.18% | -1.36% | -1.93% | -2.29% | 14.58% | 7.01% | 1235.52% | 20.18% | 9.95% | 32.32% | 18.7% | -65.92% | 38.86% | 214.9% | 801.69% | 1668.46% | 24.25% | -10.83% | -78.08% | 33.08% | -10.6% | -11.5% | -13.63% | -0.08% | -4.77% | -63.38% | 35.88% | -533.33% | 2.86% | 0% |
| Net Income | -17.54M | -14.14M | -35.3M | -30.67M | -36.18M | 31.92M | -65.2M | -26.43M | 14.37M | 31M | 9.4M | 22.77M | 25.7M | 9.04M | -914K | 9.96M | -12.65M | 6.09M | -18.54M | -2.1M | 3.86M | 989K | -8.46M | -5.93M | -7.95M | -4.57M | -3.54M | 9.49M | 5.7M | 1.53M | 6.43M |
| Net Margin % | -8.43% | -6.97% | -16.77% | -13.77% | -17.81% | 22.95% | -83.74% | -9.55% | 4.64% | 11.08% | 3.48% | 8.85% | 10.09% | 3.5% | -0.36% | 4.05% | -5.5% | 2.81% | -9.69% | -1.76% | 3.63% | 0.98% | -8.22% | -6.32% | -9.2% | -19.26% | -47.97% | 240.06% | 95% | 28.15% | 130.29% |
| Net Income Growth % | 42.32% | 59.94% | -15.09% | 15.23% | -213.35% | 148.96% | -146.7% | -283.97% | -53.66% | 229.67% | -58.71% | -11.39% | 184.27% | 1089.17% | -109.18% | 178.7% | -307.58% | 132.88% | -781.36% | -154.54% | 289.89% | 111.69% | -42.76% | 25.47% | -73.97% | -29.08% | -137.34% | 66.44% | 272.55% | -76.19% | 359.66% |
| Net Income (Continuing) | -17.84M | -14.65M | -35.9M | -31.18M | -36.66M | 34.81M | -65.86M | -26.5M | 14.17M | 30.88M | 9.42M | 23.03M | 24.63M | 9.14M | -1M | 10.79M | -13.38M | 7.99M | -21.42M | -4M | -8.46M | -12.04M | -9.56M | -5.64M | -7.95M | -4.57M | -3.54M | 9.49M | 5.7M | 1.53M | 6.43M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1.78M | 5K | 0 | 562K | 351K | 0 | 793K | -469K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 158K | 141K | -426K | -91K | 423K | 986K | 3.4M | 4.27M | 4.34M | 4.33M | 4.42M | 4.33M | 4.61M | 4.61M | 4.1M | 1.24M | 852K | 1.37M | 1.82M | 2.83M | 2.6M | 3.08M | 3.47M | 4.49M | 4.94M | 4.77M | 54K | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.77 | -0.62 | -1.58 | -1.38 | -1.64 | 1.42 | -3.00 | -1.17 | 0.62 | 1.33 | 0.40 | 0.97 | 1.08 | 0.38 | -0.04 | 0.43 | -0.56 | 0.27 | -0.82 | -0.09 | 0.17 | 0.04 | -0.39 | -0.27 | -0.36 | -0.46 | -0.47 | 1.42 | 0.85 | 0.24 | 0.80 |
| EPS Growth % | 42.11% | 60.76% | -14.49% | 15.85% | -215.49% | 147.33% | -156.41% | -288.71% | -53.38% | 232.5% | -58.76% | -10.19% | 184.21% | 1057.18% | -109.23% | 176.79% | -307.41% | 132.93% | -776.07% | -155.06% | 325% | 110.26% | -44.44% | 25% | 21.74% | 2.13% | -133.1% | 67.06% | 254.17% | -70% | 400% |
| EPS (Basic) | - | -0.62 | -1.58 | -1.38 | -1.64 | 1.46 | -3.00 | -1.17 | 0.62 | 1.35 | 0.40 | 0.98 | 1.10 | 0.39 | -0.04 | 0.44 | -0.56 | 0.27 | -0.82 | -0.09 | 0.17 | 0.04 | -0.39 | -0.27 | -0.36 | -0.46 | -0.47 | 1.42 | 0.85 | 0.24 | 1.04 |
| Diluted Shares Outstanding | 22.72M | 22.72M | 22.4M | 22.22M | 22.02M | 22.41M | 21.75M | 22.63M | 23.21M | 23.25M | 23.52M | 23.5M | 23.75M | 23.52M | 23.03M | 22.99M | 22.78M | 22.77M | 22.48M | 22.48M | 22.67M | 22.25M | 21.95M | 21.86M | 22.09M | 9.98M | 7.54M | 6.68M | 6.71M | 6.38M | 6.03M |
| Basic Shares Outstanding | 22.72M | 22.72M | 22.4M | 22.22M | 22.02M | 21.8M | 21.75M | 22.63M | 22.99M | 23.04M | 23.32M | 23.29M | 23.43M | 23.35M | 23.03M | 22.76M | 22.78M | 22.58M | 22.48M | 22.48M | 22.43M | 22.25M | 21.95M | 21.86M | 22.09M | 9.95M | 7.54M | 6.68M | 6.71M | 6.38M | 6.03M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Liquidity and operational insolvency
According to the provided quarterly financial data, RDI's revenue growth has exhibited significant volatility, oscillating between a 29.3% expansion in 2024Q4 and a 14.2% contraction in 2025Q4, suggesting that the company's top-line performance remains highly sensitive to the timing of film releases and seasonal real estate activity.
The erratic revenue trajectory indicates a lack of consistent organic growth drivers, likely exacerbated by the company's reliance on a lumpy film slate and project-based real estate income. Investors should monitor whether the recent 12.3% growth in 2026Q1 represents a sustainable recovery or merely a temporary fluctuation in a broader, more challenging demand environment.
As reported in financial statements, RDI's gross margins have struggled to maintain stability, frequently dipping into the low single digits, such as the 2.5% margin recorded in 2026Q1, which highlights the company's inability to effectively absorb fixed theater operating costs during periods of lower attendance.
The thin gross margin profile suggests that the company lacks the pricing power necessary to offset rising labor and occupancy expenses. This structural weakness implies that even minor shifts in theater attendance or concession spending can lead to significant bottom-line deterioration, leaving little buffer for operational inefficiencies.
Based on the income statement history, RDI's operating income has remained consistently negative, with the company failing to achieve positive operating leverage even during quarters of higher revenue, as evidenced by the -8.0% operating margin reported in 2026Q1 despite a double-digit increase in top-line growth.
The inability to scale operating income faster than gross profit suggests that corporate overhead and fixed costs are disproportionately high relative to the current revenue base. This dynamic indicates that the company's current operating model may be fundamentally misaligned with its scale, necessitating a potential restructuring of its cost base to achieve profitability.
Data from recent filings indicates that RDI has consistently reported negative net income over the last ten quarters, with net margins reaching as low as -29.4% in 2024Q1, raising serious questions regarding the long-term viability of the current business model without significant asset monetization or capital infusion.
Short-sellers would likely focus on the persistent cash burn and the company's reliance on non-recurring items to support its balance sheet. The combination of negative net margins and a limited cash position warrants further investigation into whether the company can sustain its current operations without resorting to dilutive financing or fire-sale asset liquidations.
Quick answers to the most common questions about buying RDI stock.
For fiscal year 2025, Reading International, Inc. (RDI) reported total revenue of $203.0M. This represents a 4015.7% increase compared to $4.9M in 1996.
Reading International, Inc. (RDI) reported a net loss of $14.1M for the fiscal year ending 2025.
Reading International, Inc. (RDI) reported an operating income of $-5.3M, resulting in an operating profit margin of -2.6%. This margin reflects the operational efficiency of the business before interest and taxes.
Reading International, Inc. (RDI) generated $27.2M in gross profit for the year, representing a gross profit margin of 13.4%. This demonstrates the company's core pricing power and production efficiency.