10th Mar 2016 08:58
LONDON (Alliance News) - Multiplex cinema operator Cineworld Group PLC on Thursday said its pretax profit and revenue both increased in 2015, driven by operational efficiencies and cost savings, along with a strong film slate.
Cineworld's pretax profit increased to GBP99.7 million in the 52 weeks to the end of December from GBP67.3 million in the 53 weeks to January 1, 2015. The growth in profit was driven by the inclusion of, and the synergies extracted from, the acquisition of Cinema City, the central and eastern Europe-based business that Cineworld acquired in February 2014. Cineworld said the synergies achieved had significantly outpaced previous expectations.
Total revenue rose to GBP705.8 million from GBP619.4 million, with good growth in the UK & Ireland and in central and eastern Europe and Israel. Cineworld opened 18 sites in the year and was boosted by a strong film slate over the course of the year, including the new Jurassic Park, Star Wars and James Bond films.
Cineworld will pay a final dividend of 12.5 pence per share, taking its total dividend to 17.5p, up 30% from 13.5p a year earlier.
"We are pleased to announce 2015 was another record year for the Cineworld Group and its shareholders. Revenues continued to grow as more than 93 million customers came through our doors and enjoyed the movies we showed," said Chief Executive Mooky Greidinger.
Also Thursday, Cineworld said it has hired Dean Moore as its interim chief financial officer for approximately 12 months. Moore is the former finance director at online and catalogue retailer N Brown Group PLC and was the group finance director of T&S Stores PLC until it was acquired by grocer Tesco PLC in 2003.
Nisan Cohen, the vice-president of finance at Cineworld, has been made deputy chief financial officer as part of the changes.
Israel Greidinger, the acting chief financial officer, will return to his role as deputy chief executive.
The company also named Renana Teperberg, part of the Cinema City team, as chief commercial officer, while Matthew Eyre, a cinema industry veteran, will become chief operations officer. Eyre joined the group in 2005 from US chain Mann Theaters.
Cineworld shares were flat at 480.50 pence on Thursday morning.
By Sam Unsted; [email protected]; @SamUAtAlliance
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