The net profit of China Film in the first half of the year increased by 34%, and the national film distribution market share exceeded 60%

On August 30, China Film Co., Ltd. released its semi annual performance report for 2016. During the reporting period, the company achieved an operating revenue of 4.477 billion yuan, an increase of 6.88% over the same period last year; The net profit attributable to shareholders of listed companies was 605million yuan, an increase of 34.36% year-on-year

original title: China film increased its net profit by 34% in the first half of the year, and its share of the national film distribution market is more than 60%. China Film handed over its first semi annual report since its listing

on August 30, China Film Co., Ltd. released its semi annual performance report for 2016. During the reporting period, the company achieved an operating revenue of 4.477 billion yuan, an increase of 6.88% over the same period last year; The net profit attributable to shareholders of listed companies was 605million yuan, an increase of 34.36% year-on-year. Some analysts believe that the reason why the growth rate of net profit of China Film in the first half of the year significantly outperformed the growth rate of revenue is mainly due to the rise of gross profit margin of film distribution business and the sharp reduction of financial expenses

the semi annual report shows that in the first half of this year, the financial expenses of China film decreased by 30.3 million yuan, a year-on-year decrease of 257%; The operating income of film distribution was 2.678 billion yuan, and the gross profit margin increased by 7.01 percentage points year-on-year to 25.22%. Film distribution is the largest revenue source of China film, accounting for 60.2% of the main business revenue of China Film in the first half of this year. The semi annual report shows that in the first half of this year, China film LED or participated in the distribution of 148 domestic films, achieving a box office of 9.195 billion yuan, accounting for 70.79% of the market share of domestic films in the same period; 40 imported films were released, with a box office of 7.057 billion yuan, accounting for 60.87% of the market share of imported films in the same period. Among them, the top ten films at the national box office, such as the mermaid and crazy animal City, were dominated or jointly distributed by the company, maintaining the industry leading edge and market leading position

an analyst in the film and television industry told reporters that the WTO negotiations will be restarted in 2017, and the quota rate of imported films will still be increased at that time. At the time of the WTO negotiations in 2012, China still retained the protection of domestic films. Once the negotiations are restarted, it is likely to liberalize the quota of imported films, which will certainly have a certain impact on the growth of China's film distribution business

for a long time, China has implemented the arrangement of "one import, two distribution" in the management of imported films. That is, overseas films are exclusively introduced by China Film Group, and then entrusted to China Film and Huaxia Film Distribution Co., Ltd. for distribution. As the major shareholder of China film, China Film Group holds the "full license" for film import, film and television production, film distribution, film projection and film and television services

Everbright Securities research report pointed out that "the distribution of imported films of China Film benefited from industry growth and policy support. In recent three years, the distribution revenue of imported films accounted for about 20% of the annual box office of imported films, with a compound growth rate of 38.61%. The resumption of WTO negotiations in 2017 and Hollywood blockbusters are expected to drive revenue explosion."

another film and television industry analyst also told reporters that at present, the growth of China film has stabilized. First, the domestic film industry is opening up one after another. After the resumption of WTO negotiations in 2017, it is not ruled out that the quota of imported films will be further increased, which will certainly bring benefits to the import and distribution business of overseas films. From the box office of the domestic film market, although the growth rate has slowed down this year, the film market will still be prosperous in the long run. Therefore, whether domestic films or imported films, it is certainly helpful for the distribution business of Chinese films

behind the leadership of China film distribution business is the powerful cinema resources

as of June 30, China film has a total of 3 holding cinemas, 4 joint-stock cinemas, 102 holding cinemas and 13 joint-stock cinemas. Its controlled joint-stock cinemas and joint-stock cinemas cover a total of 11062 screens and 1.4916 million seats nationwide, accounting for about 31% of the national cinema market share Among the top ten Cinemas at the national box office, Chinese film holding cinemas occupy three seats, with Chinese film star cinema, Shenzhen China Film Southern Shinkansen and China Film Digital Cinema ranking third, fifth and sixth respectively. In the first half of 2016, the company's controlled and joint-stock cinemas and controlled cinemas achieved a total box office of 6.811 billion yuan, with about 200million film viewers, accounting for about one-third of the total box office and film viewers in the country in the same period

in addition, in the first half of this year, 12 films of all kinds were produced and put on the market by Chinese films, achieving a box office revenue of 7.396 billion yuan, accounting for 30.09% of the total box office of films in the same period nationwide. Among them, the box office rankings of "the mermaid" and "journey to the West: Monkey King three dozen bones" ranked first and second respectively at the box office of domestic films in the first half of the year. In terms of international cooperation, the company jointly produced Kung Fu Panda 3, Warcraft and crouching tiger, Hidden Dragon: the sword of the green world with overseas mainstream production institutions, and achieved a total domestic box office revenue of 2.72 billion yuan

this is the first semi annual report submitted by China film since its listing

on August 9, Chinese films were finally successfully listed after waiting for 12 years. On August 31, the share price of China film was reported at 34.66 yuan, up 1.14%

editor: Yvette