×
You will be redirected back to your article in seconds

Wanda Reports Nearly 11% Revenue Drop in 2017

Dalian Wanda reported a nearly 11% drop in revenue in 2017, one in a series of financial knocks expected to include a further sale of properties in the coming weeks.

The beleaguered Chinese real estate-to-entertainment group said that revenue fell to RMB227 billion and that net profit was basically flat. The group’s net asset value dropped by 12% in 2017 to RMB700 million.

The group has been on the receiving end of a succession of Chinese government actions to curb reckless corporate overseas expansion. These measures have included capital controls and restrictions on China’s banking and investment sector, as well as Cabinet-level redrafting of rules on preferred and disfavored investment sectors. Entertainment, hotels and sports are all now frowned upon.

The measures caused Wanda to reshuffle many of its assets. It has sold off hotels in China and handed off much of its theme-park business. “The revenue from real estate reached RMB83.17 billion, down 24% year-on-year, mainly due to the sharp decrease in revenue from real estate resulting from the transfer of cultural tourism projects,” the group announced Saturday. Wanda said that cultural-sector businesses represented 28% of group revenue in 2017.

The company said its other entertainment businesses, including Wanda Cinema Line and AMC, continued to grow. The per-screen box office of Wanda movie theaters is 1.9 times the Chinese average, the company said. Its cinema loyalty scheme claimed 100 million members.

“Wanda’s film group achieved revenue of RMB53.2 billion in 2017, or 99% of its target, up 36% [year on year]. In 2017, Wanda opened 199 new movie theaters worldwide with a total increase of 1,585 screens. To date, Wanda operates 1,551 movie theaters worldwide with 15,932 screens,” Wanda said.

In recent days Wanda’s overseas asset disposals have continued. It sold a property in London’s Nine Elms district – notching a $60 million profit in the process – and is poised to sell two Australian developments in the coming days .

More Biz

  • Davan Maharaj Mel Gibson

    L.A. Times Publisher's Lawyer Was Accused of Extorting Mel Gibson

    The attorney who negotiated a $2.5 million exit package for L.A. Times publisher Davan Maharaj was previously accused of using secret recordings to extort actor Mel Gibson. Surreptitious recordings also figure in the Maharaj case. NPR reported on Wednesday that Maharaj taped Tronc chairman Michael Ferro. According to the report, Ferro was heard on the [...]

  • 'Blurred Lines' Suit Ends With $5

    'Blurred Lines' Suit Ends With $5 Million Judgement Against Robin Thicke, Pharrell Williams

    After five years, the legal battle over the copyright of the Robin Thicke’s 2013 hit “Blurred Lines” has ended, with Marvin Gaye’s family being awarded a final judgment of nearly $5 million against the song’s primary writers, Robin Thicke and Pharrell Williams, according to CNN and other reports. The pair were accused of copyright infringement [...]

  • WME Veteran Ari Greenburg Promoted to

    WME Veteran Ari Greenburg Promoted to President of Talent Agency

    WME veteran Ari Greenburg, one of the original Endeavor staffers who helped build the talent agency that became an industry powerhouse, has been promoted to president. Greenburg will oversee all daily operations across WME and its offices in Beverly Hills, New York, Nashville, London and Sydney. The promotion recognizes the role that Greenburg has played [...]

  • Alison Wenham Steps Down as CEO

    Alison Wenham Steps Down as CEO of WIN

    After 12 years at the helm of the Worldwide Independent Network, a global trade organization for the independent music industry, Alison Wenham is stepping down as Chief Executive, it was announced today. Prior to joining WIN full time in 2016 Alison was CEO of The Association of Independent Music (AIM), which she started in 1999. [...]

  • Leslie Moonves

    Leslie Moonves Quietly Exits AFI and Paley Center Boards

    Leslie Moonves, the ousted CEO of CBS Corp. who has been accused of sexual misconduct by several women, is no longer serving on the boards of trustees of the American Film Institute and the Paley Center for Media. For now, Moonves retains his seat on the board of gaming company ZeniMax Media. The appointments on [...]

  • DOJ Indicts Five in Piracy Ring

    Department of Justice Indicts Five in International Piracy Ring

    Five men were indicted Wednesday on charges that they hacked into the servers of production companies, and stole hundreds of films and TV shows, including “50 Shades of Grey” and “The Walking Dead.” The men are based in four countries — the United Kingdom, the United Arab Emirates, Malaysia, and India. Only one has been [...]

More From Our Brands

Access exclusive content