Golden Harvest Confirms Profits Slump

Breakup Buddies
Breakup Buddies

Pan-Asian cinema exhibition group Orange Sky Golden Harvest revealed that profits after tax in 2014 dropped to US$1.68 million(HK$13 million) on revenues that expanded by 16% to US$140 million (HK$1.08 billion).

The slump was confirmation of a profit warning issued in February.

“The increase in turnover for the year was attributed to the new cinema ‘the sky’ in Hong Kong which was opened in December 2013 as well as 10 new multiplexes with 66 screens in Mainland China. The majority of our cinemas operating in Hong Kong and Mainland China recorded a steady growth in revenue compared with the same period last year. However, due to the incubation period of newly-opened cinemas and high depreciation expenditure and finance costs, the overall contribution from the Mainland China exhibition business is below management’s expectation,” the company said.

As of 31 December 2014, OSGH operated 87 cinemas with 645 screens across Mainland China, Hong Kong, Taiwan and Singapore and sold a total of 42 million tickets.

Filed Under:

Want to read more articles like this one? SUBSCRIBE TO VARIETY TODAY.
Post A Comment 0

Leave a Reply

No Comments

Comments are moderated. They may be edited for clarity and reprinting in whole or in part in Variety publications.

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

More Biz News from Variety

Loading