Marcus (NYSE:MCS) Releases Earnings Results, Misses Expectations By $0.13 EPS

Marcus (NYSE:MCS) posted its quarterly earnings data on Thursday. The company reported ($0.06) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.07 by ($0.13), Zacks reports. Marcus had a return on equity of 1.71% and a net margin of 1.02%.The firm had revenue of $193.50 million for the quarter, compared to the consensus estimate of $185.19 million.

Here are the key takeaways from Marcus’ conference call:

• Consolidated Q4 revenue was $193.5M (+2.8%) with Adjusted EBITDA of $26.8M (+3.6%), but operating income was reduced by a $5.2M non‑cash theater impairment and full‑year Adjusted EBITDA declined 3.1% to $99.3M; an ~$7.6M historic tax credit boosted EPS but is excluded from Adjusted EBITDA.
• Theatres outperformed the U.S. box office by ~7.6 percentage points in Q4, driven by a favorable family film mix, a 12.7% increase in average ticket price and +7.2% concession per‑cap growth, while rollout of digital and point‑of‑sale initiatives (new queuing, QR ordering, revamped app/site) targets further per‑cap gains.
• Hotels delivered a record revenue and Adjusted EBITDA year — Q4 RevPAR rose 3.5% and ADR grew 5.6% as renovated properties captured higher leisure demand and outperformed competitive sets by ~2.7–5.5 percentage points.
• Balance sheet and capital allocation are conservative with >$230M liquidity, 26% debt‑to‑capital and 1.5x net leverage; management expects 2026 capex to step down to $50–55M, boosting free cash flow for opportunistic M&A and continued dividends/share repurchases.

Marcus Trading Up 2.7%

Shares of NYSE:MCS traded up $0.44 during midday trading on Friday, hitting $16.86. 228,195 shares of the stock were exchanged, compared to its average volume of 157,326. The stock has a market capitalization of $517.74 million, a price-to-earnings ratio of 70.25, a P/E/G ratio of 2.28 and a beta of 0.61. Marcus has a 12 month low of $12.85 and a 12 month high of $18.80. The business’s 50-day moving average price is $15.59 and its 200 day moving average price is $15.26. The company has a debt-to-equity ratio of 0.38, a quick ratio of 0.35 and a current ratio of 0.35.

Marcus Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, March 16th. Stockholders of record on Wednesday, February 25th will be paid a $0.08 dividend. The ex-dividend date is Wednesday, February 25th. This represents a $0.32 annualized dividend and a dividend yield of 1.9%. Marcus’s dividend payout ratio (DPR) is presently 133.33%.

More Marcus News

Here are the key news stories impacting Marcus this week:

• Positive Sentiment: Revenue beat and box-office momentum — Marcus reported Q4 revenue above Street estimates and said Marcus Theatres led the industry in box office growth driven by price-optimization and a favorable film slate, supporting near-term top-line momentum. Marcus Corp (MCS) Q4 2025 Earnings Call Highlights
• Positive Sentiment: Hotels division strength — Management said Marcus Hotels & Resorts delivered strong Q4 results and capped a record year for the division, which helps diversify revenue and cash generation beyond theatres. Marcus Corporation Reports Fourth Quarter and Full Year Fiscal 2025 Results
• Positive Sentiment: Disciplined 2026 capex plan — The company outlined a $50M–$55M capex plan for 2026 focused on strategic investments and maximizing free cash flow, which signals capital discipline and may reassure income-focused investors. Marcus Corporation outlines $50M–$55M capital spending plan for 2026
• Neutral Sentiment: Full earnings call available — Management commentary and transcript provide more color on pricing, film mix, and cost trends; useful for investors digging into guidance and margin drivers. Q4 2025 Earnings Call Transcript
• Negative Sentiment: EPS miss and weak profitability — The company reported a loss of $0.06/sh vs. a consensus $0.07 expectation and EPS declined vs. prior year; net margin (≈1.0%) and ROE remain low, which could temper enthusiasm despite revenue strength. Marcus Q4 results and press release

Marcus declared that its Board of Directors has approved a stock buyback plan on Friday, October 31st that authorizes the company to repurchase 4,000,000 shares. This repurchase authorization authorizes the company to buy shares of its stock through open market purchases. Shares repurchase plans are generally an indication that the company’s board of directors believes its shares are undervalued.

Hedge Funds Weigh In On Marcus

A number of institutional investors have recently modified their holdings of the company. Russell Investments Group Ltd. increased its holdings in Marcus by 550.6% during the 3rd quarter. Russell Investments Group Ltd. now owns 2,264 shares of the company’s stock worth $35,000 after purchasing an additional 1,916 shares in the last quarter. Tower Research Capital LLC TRC lifted its stake in Marcus by 60.2% in the second quarter. Tower Research Capital LLC TRC now owns 2,494 shares of the company’s stock valued at $42,000 after purchasing an additional 937 shares during the last quarter. Meeder Asset Management Inc. increased its holdings in Marcus by 67.6% in the 4th quarter. Meeder Asset Management Inc. now owns 10,109 shares of the company’s stock worth $157,000 after acquiring an additional 4,076 shares during the last quarter. HRT Financial LP bought a new stake in Marcus during the 4th quarter valued at $168,000. Finally, Balyasny Asset Management L.P. purchased a new stake in shares of Marcus in the fourth quarter worth about $170,000. 81.57% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

MCS has been the topic of a number of research reports. Barrington Research lowered their price objective on Marcus from $25.00 to $24.00 and set an “outperform” rating on the stock in a research report on Monday, January 26th. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Marcus in a report on Monday, December 29th. Finally, Zacks Research lowered shares of Marcus from a “hold” rating to a “strong sell” rating in a research report on Friday, January 23rd. One research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, Marcus currently has an average rating of “Moderate Buy” and a consensus target price of $23.50.

About Marcus

The Marcus Corporation, together with its subsidiaries, owns and operates movie theatres, and hotels and resorts in the United States. It operates a family entertainment center and multiscreen motion picture theatres under the Big Screen Bistro, Big Screen Bistro Express, BistroPlex, and Movie Tavern by Marcus brand names. The company also owns and operates full-service hotels and resorts, as well as manages full-service hotels, resorts, and other properties. In addition, it provides hospitality management services, including check-in, housekeeping, and maintenance for a vacation ownership development; and manages condominium hotels under long-term management contracts.