Village Roadshow feels ‘full impact’ of shutdowns
Forced cinema and theme park closures due to pandemic lockdown measures have inflicted a multi-million-dollar wound upon Village Roadshow with the company still held back by patron restrictions.
The owner's of Queensland's iconic Movie World and Sea World posted a statutory loss of $117 million for the 12 months ending June 30, with its chief executive Clark Kirby saying the entertainment group has felt the full economic impact of the health crisis.
"Village Roadshow has felt the full impact of COVID-19 shutdowns and restrictions," Mr Kirby said.
"We are seeing light at the end of the tunnel as we reopen for business and look forward to a more normal domestic travel patterns and the pent-up demand for seeing movies on the big screen."
The entertainment group's income from continuing operations fell by 21.5 per cent compared with the prior year to $786.1 million, with its cinema operations still in complete shutdown.
Village's cinema business is heavily concentrated in Victoria with 21 of its 26 movie theatres located in the lockdown state.
Earnings for the 2020 financial year fell $93.8 million to $31.1 million. The company is anticipating lower operating cash earnings for 2021 while travel restrictions and lockdown measures persist.
Village's Gold Coast theme parks are operating at 50 per cent capacity despite the Queensland Government reintroducing patron restrictions due to new COVID-19 clusters.
The Queensland Government has also provided $70 million to Village to prop up the theme park business while it is unable to operate at normal capacity.
The company flagged it was exploring options to take content directly to streaming platforms while traditional film distribution channels remained challenging.
Originally published as Village Roadshow feels 'full impact' of shutdowns