Everyman said it had seen “progress on all fronts” this morning after it shrank its pandemic losses and notched a jump in revenues to £40.7m in the six months to June.
The independent chain said that its losses before tax had narrowed to £798,000, down from a hefty £9.19m loss in the same period a year earlier.
Bosses thanked a surge in admissions and healthy spending per head as filmgoers were drawn back to the big screen by a crop of blockbusters in the first six months of the year.
“Despite reduced film output due to the effect of low production during the pandemic, we’ve enjoyed three of the ten highest-ever box office releases in the past twelve months,” said chief Alex Scrimgeour.
Edison Group analyst Neil Shah told City A.M. that Everyman’s optimism was well-placed as it “can capitalise on gaining market share whilst competitors such as Cineworld are focussed on survival.”
Analysts at investment bank Canaccord Genuity backed Everyman with a buy rating and said “enhanced food and beverage offering and curated film offering of major and independent releases offer a real point of differentiation for customers”.
Indeed, the news is a far cry from rival firm Cineworld, which has slowly but surely become one of the most shorted stocks on the London market.
Shares have been in freefall in recent weeks, shedding over 90 per cent of their value in the last six months.
The cinema chain filed for bankruptcy in the United States last month, showing how the situation was going from bad to worse.
According to reports from the Wall Street Journal this morning, Canadian cinema giant Cineplex is currently weighing on a merger with the company’s US arm, Regal Entertainment Group. This would give the beleaguered Cineworld lenders debt and stock backed by the combined entity. Cineworld declined to comment on these reports.
Cineworld notably pulled out of a deal to acquire Cineplex back in June 2020, triggering the company to sue it for breach of deal terms. A Canadian court ordered it to pay almost $1bn in damages.