Hollywood strike weighs on Kinepolis’s visitor numbers in the first half of 2024, but the program for the rest of the year is promising
Regulatory clearance
22 August 2024, 7:00 a.m. CET
As expected, Kinepolis had a challenging first half of the year with fewer visitors due to a weak blockbuster offering. The long strike in Hollywood last year prevented a return to the rich film offering before the pandemic, but things are improving. A turnaround has begun since June thanks to the success of “Inside Out 2” and “Deadpool & Wolverine”, among others, and numerous major new releases are planned for the autumn, including the highly anticipated “Joker: Folie à Deux”, “Gladiator II” and “Vaiana 2”.
Revenue, EBITDA, EBITDAL and profit fell in the first half of the year compared to the same period last year due to the decline in visitor numbers. Revenue per visitor, on the other hand, increased slightly. Kinepolis remains an industry leader in terms of financial results and continues to invest in innovations and first-class cinema experiences that lead to higher customer satisfaction and revenue growth per visitor and contribute to the long-term performance of the group.
Key achievements H1 2024
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Opening of 12 new ScreenX cinemas in Europe and North America
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Opening of 6 new Laser ULTRA screens (Belgium, France, USA)
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Further introduction of VIP Seats (USA), Premiere Seats (Canada) and Cosy Seats (Europe)
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Renovation of the acquired cinemas Kinepolis Amnéville and Béziers (FR)
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First edition of the Kinepolis Innovation Lab Summit
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Kinepolis receives the Milestone Award 2024 at CineEurope in Barcelona
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Appointment of Mr Pieter-Jan Sonck as new CFO
Key figures H1 20241
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Total sales amounted to €242.8 million, 14.9% less than in the same period in 2023. Thanks to a slight increase in revenue per visitor (tickets, drinks and snacks), revenue fell less than visitor numbers (-16.7% visitors compared to the first half of 2023).
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EBITDA in the first half of the year was €54.4 million, compared to €82.0 million in 2023, and EBITDA (EBITDA adjusted for rental contracts) was €37.1 million compared to €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.
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Total profit amounted to €0.1 million compared to €20.8 million in 2023.
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Free cash flow amounted to €12.5 million.
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Net financial debt (NFD), excluding lease liabilities, increased by €13.6 million from €378.3 million as of December 31, 2023 to €392.0 million as of June 30, 2024.
Eddy Duquenne, CEO Kinepolis Group, on the first half of the year:
“The strike has further delayed the recovery of Hollywood supply, and we’re seeing the impact of this being felt most in the period up to and including May. Starting in June, major new releases like ‘Inside Out 2’ and ‘Deadpool & Wolverine’ are breaking new box office records and setting the tone for a more crowded fall film calendar.
Our strategic commitment to the customer experience continues to deliver very positive results, including in North America. I am also particularly proud of the successful organization of our first Kinepolis Innovation Lab Summit, which provides new impetus for creativity and innovation from practice.”
Interim financial report attached.
1 Figures from 1 January to 30 June 2024.
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