Beijing News reported on March 25, March 24, according to the data of cats eye professional edition, as of March 23, 528 theaters across the country were back to work, an increase of 5 over the previous day, with a nationwide return rate of 4.65%, and a nationwide box office of 20800, compared with 13800, 31000 and 40000 in the previous three days, showing a gradual upward trend.
Beijing News reporter learned from Wanda film, Dadi film investment, poly cinema, contemporary Oriental, Broadway and other leading cinema companies that at present, no business news has been reported from Beijing cinema under the above-mentioned cinemas.
Novel coronavirus pneumonia epidemic prevention and control work in Beijing on February 27th afternoon, Chen Bei, Deputy Secretary General of the Beijing municipal government, said that Beijing film industry still did not have the conditions for opening. Chen Bei said that at present, there is no requirement to allow the film industry to open, and he especially hopes that you can understand and support it. The formulation of guidelines and norms for the resumption of work and epidemic prevention is to lay a solid foundation for the smooth operation of the company in the next step under the conditions permitted by the epidemic prevention and control situation.
At present, we havent received the notice from the competent authority, and the notice from each district hasnt been given. Whats the film even if its open? A hospital management told the new Beijing news that now everyone is afraid to be careless. In case of a cluster infection in the cinema, no one can bear the responsibility, or focus on the overall situation and epidemic prevention.
From January 23, Dadi, Jinyi, Lumiere, Oscar, CGv, Boehner and other cinema (or film investment) companies announced that the Spring Festival was closed for two full months. Analysts believe that closed theater environment, crowded crowd and the dilemma of no new film release all contribute to the poor return to work box office.
After the novel coronavirus pneumonia epidemic, the movie fans desire to observe or will rise with the anti elasticity. From a technical point of view, the quarterly box office curve for several consecutive years is almost the same, that is, the market energy curve is almost the same. There is no burst of energy in the Spring Festival, it will burst out in the next few months. Simply put, novel coronavirus pneumonia is a long way to stay at home, and the movie will become the main entertainment and consumption channel, so there will be a rebound. The Spring Festival films have been removed from the archives, which ushered in social praise. In the future, the audience will return to the films. Lan Fang, an expert in film publicity and development and chairman of Lan team, told the reporter of Beijing News.
Tens of thousands of cinemas are affected. Do small and medium-sized cinemas expect subsidies?
Embarrassed by the novel coronavirus pneumonia in January 23rd, all the popular films such as Chinatown detective 3, embarrassing mother and winning the title were all removed. Then, the companies of the earth, Jin Yi, Lumei, Oscar, CGV, Bona and other cinemas also announced the suspension of the Spring Festival. In the past, the Spring Festival was the busiest time for movie theater people. They had to work overtime this week to earn about 20% of their annual income.
According to Ian data, the box office revenue of Spring Festival in 2019, 2018 and 2017 was 5.83 billion yuan, 5.72 billion yuan and 3.8 billion yuan, respectively. The total box office revenue of domestic films in the above three years was 41.17 billion yuan, 37.89 billion yuan and 30.1 billion yuan, respectively (because the proportion of foreign film box office in the cinema is uncertain, only domestic film box office was selected). The box office revenue of Spring Festival was in the total box office revenue of domestic films 14.2%, 15.1% and 12.7% respectively. In addition, the sales revenue of the Spring Festival archives is relatively high, so the Spring Festival archives are indeed the most important part of the annual income of the cinema.
It is understood that in the domestic cinema industry, there are three types of commercial entities: shadow casting, cinema and cinema. Generally speaking, theaters can be divided into 7% of the box office revenue after tax removal, 50% of theaters, 57% of movie projectors, and theaters also need to pay certain management fees to theaters.
There is no huge loss in the cinema, and the cinema and the film investment company will suffer heavy losses. The opening of theaters still needs to wait for the theaters to return to normal. Now the theaters are still not allowed to open, said the management of the above-mentioned theaters.
According to a cinema manager, every high box office cinema is attached to a golden area and a huge operation team. The rent of cinema stores in hot areas in Beijing can reach millions of yuan a month.
Especially for the cinemas in the fourth and fifth tier cities, which rely heavily on the Spring Festival archives, its really a shock. I think the management department may give some subsidies in the film fund and other aspects to help the cinemas get through the difficulties. Film publicity industry experts, Lan team Chairman Lan Fang told the new Beijing News reporter.
By the end of 2019, there were 12408 cinemas in China. In particular, in the three or four tier cities in the past 2 years has just been completed, the operation of the cinema, has not yet formed a stable cash flow, and is still in the repayment of loans.
Cinemas lock in revenue in advance with selling products and package tickets
As the main partner of IMAX cinema equipment in China, the report of IMAX corp.2019 is regarded as the wind vane by the industry. Its total revenue in the fourth quarter was $124 million, up 14% year-on-year, higher than the previous market forecast of $117 million. Total revenue for the year increased 6% year on year to US $396 million. However, the above data were obtained before the outbreak of the new crown. In the financial report, IMAX Corp. The impact of the epidemic was also analyzed.
IMAXCorp. The management also said that it is time to reduce the number of films in a year to the rest of the month, so that more Hollywood films will be released in a rush, and some of them will be affected. I think its possible that there will be a shorter release time, because there are so many films to be released in that time, but its too early to predict.
Will the transition of lost Mom and big winner from cinema to streaming media lead to a corresponding trend. Imaxcorp above. Management said that although there was a movie that went directly to the streaming media during the Chinese Spring Festival, it was a special case.
Specifically for domestic cinemas, in terms of financial statements, in the third quarter of last year, Wanda film, Jinyi film, Hengdian film and television, happy blue ocean and other major theater stocks saw double-digit declines in operating profit growth rate and net profit growth rate.
Some cinemas have also started self rescue measures. Wanda studios, Bona international studios, Jinyi studios, Dadi cinema, etc. have opened sales stores through online channels to clear up inventory. At the same time, studios are selling movie tickets, such as a 2-D or 3-D coupon for 19.9 yuan, with a term of use ending on June 30 or December 30.
Theaters havent seen the non ticket business as a profit point, or simply sell tickets, said an executive at a cinema (film investment) company. There is not a clear direction for the film market in the next few years.
Source: responsible editor of Beijing News: Li siou nbj11322