Kinepolis : achieved 13% higher revenue and 13% more current profit with 11% more visitors

 

27 August 2015, 07.00 a.m.

- An 11% rise in visitor numbers compared with the previous year, to 9.8 million, due to the expansion.

- A 13.1% increase in total revenue, to € 130.2 million, due to the rise in visitor numbers, increased sales per visitor and more revenue from business-to-business (B2B) and real estate activities.

- A 16% increase in current  EBITDA  (REBITDA) to € 35.8 million and a 4.6% rise in REBITDA per visitor, due to further improvements to operational efficiency and higher sales per visitor.

- A 13.1% rise in current profit to € 15.1 million.

- A € 1.5 million rise in net finance expenses.

 

The number of visitors rose by 11% in the first half of the year, essentially due to the acquired cinemas in Spain and the Netherlands. The first six months were characterised by a weak local film offer compared with 2014, but this was offset by a strong international offer, which included 'Fifty Shades of Grey', 'Fast & Furious 7', 'Jurassic World' and 'Avengers: Age of Ultron'. Visitor numbers in Belgium and France were down somewhat compared with the same period last year, but the decrease remained limited taking into account the particularly strong local content in 2014, including 'FC De Kampioenen' in Belgium and 'Qu'est-ce qu'on a fait au bon dieu' in France. Spain achieved organic growth in the first half of the year, next to growth through expansion. The Netherlands also experienced a strong first six months.

 

Total revenue grew by 13.1%, increasing faster than visitor numbers, due, among other things, to increased sales per visitor in all countries. Box Office (BO) revenue per visitor rose, partly due to new premium propositions such as Laser Ultra and Cosy Seating. In-theatre sales (ITS) revenue rose due to more commercial films and less local content in France and Belgium compared with the same period last year. The changed country mix, with the addition of the Netherlands, where the average consumption per visitor is higher, also had a positive impact on the overall average sales per visitor.

 

B2B revenue contributed to the growth in revenue due to the increased sale of cinema vouchers to companies and more events, in spite of the decrease of revenue from screen advertising. 

 

Real estate revenue rose by almost a quarter due to the expansion, the addition of rental income from the building in 'Le Toison d'Or' and more income from own concessions.

 

Revenue from film distribution (Kinepolis Film Distribution, KFD) decreased in the first half of 2015 due to fewer local film releases and the impact of 'The Wolf of Wall Street' last year. 

 

Eddy Duquenne, CEO Kinepolis Group, about the first half year: "We have had a very good first six months: the integration of the acquired cinemas is going well and the commercial and operational efficiency of the existing activities are further improving. The expansion of the Group remains a priority. We are working on several new-build projects and we expect to be able to complete the acquisition of Utopia SA in the second half of the year."

 

Semestrial financial report 2015 attached.