The epidemic swept through the film and television industry
On May 28, Ali Pictures (01060.HK) released its financial results for the 12 months ended March 31, 2020.
In the reporting period, Alibaba Pictures ’revenue reached 2.875 billion yuan (RMB, the same below), a year-on-year decrease of 5%; The adjusted loss before interest and tax amortization was 722 million yuan, an increase of 21% year-on-year. Under the adverse impact of the epidemic, the profitability of Alibaba Pictures also suffered a certain impact.
Specifically for each business, the annual revenue of the Internet advertising business that previously contributed main revenue was 2.204 billion yuan, a year-on-year decrease of 10.51%. This part of the business is mainly from the Internet The ticketing and publicity services are composed. Among them, the Internet ticketing business includes e-ticketing and Phoenix Yunzhi. The publicity business includes beacon, film promotion and distribution, and film content investment.
In addition, Alibaba Pictures ’annual content production revenue is 4. 2.8 billion Yuan, a year-on-year decrease of 6.55%; The annual revenue of comprehensive copyright development is 242 million yuan, an increase of 117% year-on-year.
Ali Pictures said that the outbreak of the new type of pneumonia has directly affected the upstream and downstream industry chains of the film and television industry, making the film and television industry’s profitability dilemma worse. For the upstream of the industry, film and television shooting activities such as dramas, variety shows, advertisements, etc. stopped. For the downstream of the industry, as of late May 2020, the theater box office lost nearly 30 billion yuan, and nearly 50% of the annual performance of the theater line disappeared in the epidemic.
Affected by the epidemic, Ali Pictures also issued a profit warning in April this year, A considerable number of partners are facing operational difficulties and capital outagesIn this case, there is a risk of recovery of accounts receivable and investment projects on the company ’s books, which has provided for significant impairment provisions.
Ali Pictures said that it is expected that in the fiscal year ending March 31, 2020, the net loss attributable to the company ’s owners will be between 1.1 billion and 1.2 billion Between RMB. In addition to the impact of the epidemic on the fourth quarter, it also includes provisions for substantial impairment of approximately 800 million yuan for some receivables and investment projects. The financial report shows that this year’s net loss of Ali Pictures reached 1.166 billion yuan.
The good news is that In the past fiscal year, Ali Pictures ’layout in the content area has also achieved results. During the performance reporting period, Alibaba Pictures participated in 12 of the top 20 domestic films at the box office, including “Me and My Motherland”, “Chinese Captain”, “Heroes of Fire”, “Youth of the Youth” and so on High-quality movies with double harvests at the box office and word-of-mouth; the box office produced and distributed totaled nearly 15 billion yuan, accounting for nearly one-third of the box office at the same period; the revenue from content promotion and investment business was 1.061 billion yuan, a year-on-year increase of 10%.
Ali Pictures said that the current “storage film and TV series reserves are sufficient, cash reserves are sufficient, and operations will not be affected”.
Hong Kong stocks closed, and Ali Pictures ’share price reported HK $ 0.940, down 2.08%.