Kinepolis has had a strong third quarter, thanks to the consistent implementation of its business and expansion strategy, combined with a solid international film offering and better weather conditions than the year before.
The implementation and further deepening of Kinepolis’ business strategy in both new and acquired cinemas, as well as in existing ones, has led to a further increase in sales and adjusted EBITDA2 per visitor at Group level. The income generated by premium product innovation increasingly contributed to this result.
Major realisations in Q3
Key figures for the third quarter3 :
From 1 July up to and including 30 September 2019, Kinepolis received 10 million visitors, 21.7% more than in the same period last year, thanks to the success of, among others, ‘The Lion King’, a favourable comparison with a weaker third quarter in 2018, the addition of the acquired El Punt cinemas in Spain and the contribution of recently opened complexes in France, Canada and the Netherlands.
We saw an increase in visitor numbers in almost all cinemas due to the strong content and the absence of a world football championship, which, together with the sustained warm weather last summer, had a negative impact on the results of the third quarter last year.
The top 5 films in the third quarter of 2019 were ‘The Lion King’, ‘Spider-Man: Far from Home’, ‘Fast & Furious presents: Hobbs and Shaw’, ‘Toy Story 4’ and ‘Once Upon a Time in Hollywood’. The most successful local films were ‘La Vie scolaire’, ‘Trop de gens qui t’aiment’ and ‘C’est quoi cette mamie ?’ in France, ‘Anna’ in Belgium and France, ‘Padre no has más que uno’ in Spain and ‘100% Coco New York’ and ‘Juf Roos’ in the Netherlands.
Total revenue increased more strongly than the number of visitors in all countries, with the exception of Spain, which was due to the integration of the recently acquired El Punt cinemas. Apart from Box Office revenue in Spain (due to the integration of El Punt), the sales of both tickets (Box Office, BO) and drinks and snacks (in-theatre sales, ITS) showed an increase per visitor in all countries.
Box Office revenue increased, thanks to higher sales of premium products such as 3D, 4DX and Cosy Seats. In theatre sales increased in all countries due to an increase in the number of products sold per visitor and through having more visitors in the shop.
Income from all other business lines, such as business-to-business (B2B) and real estate, also increased. EBITDA, excluding the impact of IFRS 16, increased both in total and per visitor, thanks to the increase in revenue and profitability per visitor, as well as the increased operational efficiency.
Eddy Duquenne, CEO of Kinepolis Group:
“We have had a great summer, in both Europe and Canada. The combination of our consistent business and expansion strategy is bearing fruit, and we were helped by a solid international film offering and better weather conditions than the year before. In the meantime, we have taken another important step in our expansion. I look forward to working together with the American team in the US in the coming months.”
Kinepolis Group NV was formed in 1997 as a result of the merger of two family-run cinema groups and was listed on the stock exchange in 1998. Kinepolis offers an innovative cinema concept which serves as a pioneering model within the industry. In addition to its cinema business, the Group is also active in film distribution, event organization, screen publicity and property management. In Europe, Kinepolis Group NV has 54 cinemas spread across Belgium, the Netherlands, France, Spain, Luxembourg, Switzerland and Poland. Since the acquisition of Canadian movie theatre group Landmark Cinemas and American movie theatre group MJR, Kinepolis also operates 45 cinemas in Canada and 10 in the US.
In total, Kinepolis Group currently operates 109 cinemas worldwide, with a total of 1,065 screens and almost 200,000 seats. Kinepolis employs 4,600 people, all committed to giving millions of visitors an unforgettable movie experience. More information on www.kinepolis.com/corporate.