Cinemark Theatres CFO: $15 Minimum Wage Would Increase Moviegoing Prices

Necessary cost offset could come “over time,” Sean Gamble says

Last Updated: May 10, 2016 @ 2:58 PM

If the federal minimum wage is raised to $15 per hour, your movie ticket and concessions prices will follow suit.

Cinemark CFO Sean Gamble told media analysts Tuesday morning that increased company costs would be passed on to the consumer — at least, to some extent.

“We would look to offset that with price over time, where we could,” he stated.

But, of course, Cinemark will also “continue to look for ways to increase our productivity through more efficient operations, where possible,” Gamble added.

Such a huge hike from the current $7.25 basement wouldn’t be all doom-and-gloom for exhibitors like Cinemark, however. Generally, more Americans with more disposable income should help increase general theater attendance and spending, Gamble explained.

Cinemark unveiled strong first-quarter 2016 financials earlier on Tuesday morning, showing a profit jump of 37.6 percent year over year. The beginning to this year’s box office was boosted by “Deadpool,” “Batman v Superman,” “Zootopia” and a “Star Wars: The Force Awakens” layover.

Read all about the company’s Q1 earnings here.