(BFM Bourse) – The group listed in Brussels benefited from the recovery in attendance at its cinemas in the first half, returning to a positive net result. In June, the large posters even allowed it to exceed its activity for the same month of 2019.
Kinepolis recovered in the first six months of 2022. After financial years 2020 and 2021 marked by the seal of the pandemic, the Belgian cinema operator is taking advantage of the return of moviegoers to dark rooms.
From January to June, Kinepolis welcomed 13.7 million visitors, more than five times more than in the first half of 2021.
“While in the first quarter the Covid measures were still in force in most countries and the Dutch cinemas, as well as part of the Canadian cinemas, remained closed until the end of January, the measures were lifted in the second quarter for all complexes,” the company explained.
In the second quarter, attendance thus represented 87% of that of the same period of 2019, the last financial year spared by the health crisis, against 77.2% for the whole of the first half.
Top Gun and Jurassic World as locomotives
The gradual recovery in activity was driven by blockbusters. Kinepolis mentions in particular “Top Gun: Maverick”, “Jurassic World: The World After” and “Elvis”, which allowed attendance to exceed its 2019 level in June.
“Blockbusters play an important role in the recovery of cinema attendance, and we expect mid-size and local films to reach their full potential in the months to come,” said Eddy Duquenne, CEO of Kinepolis, quoted in a press release.
Kinepolis, which operates 110 complexes including 14 in France, has therefore seen all of its financial indicators jump. Its revenues reached 228 million euros, more than five times more than in the first half of 2021, representing 93.5% of those in the same period of 2019.
Back in the green
Operating profit stood at 27.9 million compared to a loss of 48 million euros over the same period of 2022. Kinepolis also returned to a net profit of 9 million euros, despite having accused a net loss of 45.8 million euros a year earlier.
“I am proud of the company’s financial recovery and of our newfound financial capacity, which will allow us to continue our internal and external expansion”, rejoiced Eddy Duquenne.
Investors initially appreciated these figures, the title Kinepolis gaining more than 5.5% on the Brussels Stock Exchange at the start of the session, before taking their gains. In the middle of the afternoon, the share yielded 0.4% on the Brussels Stock Exchange where the company has been listed since 1998. Since the beginning of the year, the stock has fallen by 12.6%.
However, this stock market performance remains enviable compared to that of Cineworld. The British cinema operator plunged nearly 60% on Wednesday on the London Stock Exchange, after warning that its attendance was disappointing and that it was considering “various options” to recapitalize. This Thursday, the Cineworld share price recovered a little less than 20%, thus limiting its decline to around 70% since January 1st.
By Julien Marion
Jean-Louis Dell’Oro – ©2022 BFM Bourse
Are you following this action?
Receive all information about KINEPOLIS GROUP in real time: