Hollywood strike weighs on Kinepolis' visitor numbers in first half of 2024, but line-up for the rest of the year is promising
Regulatory release
22 August 2024, 7:00 am CET
Kinepolis had a challenging first half of the year, as expected, with fewer visitors due to a poor blockbuster offering. Last year's long strike in Hollywood prevented a return to the rich film offering from before the pandemic, but improvement is heralded. Since June, a turnaround has begun thanks to the success of 'Inside Out 2' and 'Deadpool & Wolverine', among others, and numerous big releases are planned in the autumn, including the highly anticipated 'Joker: Folie à Deux', 'Gladiator II' and 'Moana 2'.
Revenue, EBITDA, EBITDAL and profit decreased in the first half compared to the same period last year, due to the decline in visitor numbers. In contrast, revenue per visitor increased slightly again. Kinepolis remains an industry leader in terms of financial results and continues to invest in innovation and premium movie experiences that lead to higher customer satisfaction and revenue growth per visitor, and contribute to the Group's long term performance development.
Important achievements H1 2024
- Opening of 12 new ScreenX theatres in Europe and North America
- Opening of 6 new Laser ULTRA screens (Belgium, France, US)
- Further rollout of VIP Seats (US), Premiere Seats (Canada) and Cosy Seats (Europe)
- Renovation of acquired cinemas Kinepolis Amnéville and Béziers (FR)
- First edition Kinepolis Innovation Lab Summit
- Kinepolis receives 2024 Milestone Award at CineEurope in Barcelona
- Appointment of Mr Pieter-Jan Sonck as new CFO
Key figures H1 20241
- Total revenue amounted to € 242.8 million, down 14.9% compared to the same period in 2023. Thanks to a slight increase in sales per visitor (tickets, drinks and snacks), revenue decreased less than visitor numbers (-16.7% visitors compared to the first half of 2023).
- EBITDA in the first half was € 54.4 million, versus € 82.0 million in 2023, and EBITDAL (EBITDA adjusted for leases) was € 37.1 million, versus € 64.3 million in 2023. EBITDAL per visitor decreased from € 3.83 in the first half of 2023 to € 2.65 in the first half of 2024.
- Total profit amounted to € 0.1 million, compared to € 20.8 million in 2023.
- Free cash flow amounted to € 12.5 million.
- Net financial debt (NFD), excluding lease liabilities, increased by € 13.6 million from € 378.3 million as at 31 December 2023 to € 392.0 million as at 30 June 2024.
Eddy Duquenne, CEO Kinepolis Group, on the first half of the year:
"The strike has further delayed the recovery of Hollywood's offerings, and we note that the impact of this is mainly felt in the period up to and including May. As of June, new major releases such as 'Inside Out 2' and 'Deadpool & Wolverine' are breaking new Box Office records, setting the tone for an autumn with a better-filled film calendar.
Our strategic commitment to customer experience continues to deliver very positive results, including in North America. I am also particularly proud of the successful organisation of our first Kinepolis Innovation Lab Summit, which provides a new momentum on creativity and innovation from the floor."
Interim financial report attached.
1 Figures from 1 January to 30 June 2024.
