In the first half of this year, the performance of film and television listed companies generally declined sharply. The evening of August 28thHengdian Film and Television (603103)According to the semi-annual report, in the first half of the year, the company's revenue was 98.12 million yuan, down 92.92% from the same period last year; net profit was 306 million yuan, compared with a profit of 173 million yuan in the same period last year, and basic earnings per share was-0.48 yuan.

A reporter from Securities Times e Company noted that although affected by the epidemic, Hengdian Film and Television chose to increase its main business against the trend. According to the financial report, in the first half of 2020, Hengdian Film and Television opened 9 new directly operated cinemas, added 57 screens, and added 2 screens to the renovation of old cinemas.

On the other hand, with the release of new films in the second half of the year and the introduction of local support policies, industry insiders believe that the recovery of the film and television industry is expected to drive into the fast lane.

Go against the trend and increase the main business

Hengdian Film and Television (the main business income mainly comes from film screening revenue, sales revenue and advertising revenue.

Specifically, during the reporting period, Hengdian Film and Television earned 76.1935 million yuan at the box office, down 93.82 percent from the same period last year. Among them, the box office revenue of asset-linked cinemas is 63.4376 million yuan, the market share is 3.04%, and the number of people who watch movies is 2.24 million; the box office revenue of joining cinemas is 12.7559 million yuan, the market share is 0.61%, and the number of people watching movies is 370000.

With regard to the decline in performance, Hengdian Film and Television said in its semi-annual report that in the first half of the year, in the face of the impact of COVID-19 's epidemic, all its cinemas were closed from January 24. The epidemic has had a great adverse impact on the company's short-term operation, but the company's abundant cash flow will not affect the sustainable operation ability.

In addition, in the second quarter of 2020, affected by the COVID-19 epidemic, the overall national film market shut down. All the cinemas under the company are closed, no new cinemas and screens, no box office revenue.

For the development of the industry, Hengdian Film and Television believes that the impact of the epidemic has accelerated the reshuffle of the industry, promoting the rapid clearance of inefficient cinemas, and the elimination and withdrawal of cinemas will be more normal, which will help strengthen the integration of cinema companies and further enhance the concentration of the industry.

It is precisely in this context, Hengdian Film and Television during this period is still active layout of cinema network, can be described as going against the trend. In the first half of 2020, the company opened 9 new cinemas, added 57 screens, and added 2 screens to the renovation of old cinemas. By the end of the reporting period, the company had a total of 459 opened cinemas with 2833 screens, including 376 asset-linked cinemas and 2365 screens, and joined 83 cinemas with 468 screens.

By the end of the reporting period, the company had invested in the construction of 376 asset-linked cinemas across the country, with 2365 screens, covering 28 provincial administrative regions across the country (except Hong Kong, Macao and Taiwan, Xinjiang, Tibet and Hainan). The box office of asset-linked cinemas ranks third among cinema investment companies in the country.

It is worth mentioning that Hengdian Film and Television was favored by funds going northward in the first half of the year. According to the semi-annual report, after entering the list of the company's top 10 shareholders in the first quarter, Hong Kong Central Accounting Co., Ltd. (Lukutong) increased its position by another 840000 shares in the second quarter, making it the sixth largest shareholder of the company.

Industry recovery accelerates

Under the influence of the epidemic, the film and television industry in the first half of 2020 is even worse. In addition to direct box office losses, film production and distribution in the upper reaches of the industrial chain have been affected to varying degrees.

Statistics show that in the first half of 2020, mainland films grossed 2.246 billion yuan, down 92.8 percent from 31.17 billion yuan in the first half of last year, and 60 million people went to the cinema, down 92.6 percent from 808 million in the first half of last year.

At present, the pace of recovery of the film and television industry has accelerated. Hengdian Film and Television disclosed that since April, under the circumstances of meeting the requirements of epidemic prevention, the major film and television bases have been opened one after another, and the crew that has suspended filming in the early stage has gradually resumed work in an orderly manner. The upstream producer resumes film creation to ensure the supply of follow-up film sources.

The better news is that on July 20, cinemas across the country officially resumed work in an orderly manner, and the film's box office grew steadily. According to data from the professional edition of Lighthouse Film, as of 4: 00 p.m. on August 27th, the total box office of cinemas across the country officially exceeded 5 billion in 2020, and the resumption rate of cinemas has reached 88%. A total of 9512 cinemas have resumed work, and the total number of people going to the cinema has reached 140 million. Of the $5 billion at the box office, it accounted for 56 per cent after returning to work.

"eight hundred" topped the box office list of the new film, followed by "I'm waiting for you at the end of time", "Doritte's fantastic Adventures", "turned Agent" and "1917", four of which were released after they returned to work.

The latest data show that on the eighth day of the official release of the film "eight hundred", the cumulative box office exceeded the 1.5 billion mark, with nearly 40 million moviegoers.

As the producer of the film "eight hundred", the leader of film and television.Huayi BrothersIt's getting a lot of attention. According to the company's semi-annual report released on the evening of Aug. 26, Huayi Brothers achieved operating income of 324 million yuan in the first half of 2020, down 69.88% from the same period last year, while its net profit was 231 million yuan, 39% smaller than the loss in the same period last year.

It is worth mentioning that the newly released "eight hundred" will bring more than 200 million yuan to Huayi Brothers, which is undoubtedly a shot in the arm for the recovering film and television industry.

From the perspective of the industry, "eight hundred" has played a leading and exemplary role in the recovery of the film and television industry. In the future, with the release of new films and the introduction of local policies, the recovery of the film and television industry will accelerate. " The chief analyst of a brokerage media told the reporter of e company.