vrl – delivering the vision - village roadshow · 2016-01-27 · the new vrl – delivering the...

VRL – Delivering The VisionFULL YEAR RESULT COMMENTARY

For the Year Ended 30 June 2007

2The New VRL – Delivering The Vision - 30 June 2007

THE NEW VRL

•Delivering the Vision

•The Full Year in Summary

•The Five Businesses

•Strategic Highlights

•Growth


(9.3)

11.4

13.4

216.3

(8.4)

N/A

413.0

↕ %

53.7

(35.3)

59.0

4.3

16.7

1.1

7.8

2006

48.7

(31.2)

66.9

13.6

15.3

(55.8)

40.0

2007

Other

Film Distribution

Cinema Exhibition

Film Production

Total Reported PBT

Austereo

Theme Parks

Profit Before Tax by Division (A$ millions)


0.00.0(15.3)15.3Film Distribution

(132.5)

(1.1)

(26.0)

(5.5)

(79.9)

(20.0)

Interest / Tax

(164.3)

2.8

(4.6)

20.5

(173.3)

5.6

Working Capital

224.8

(29.5)

88.0

38.4

29.8

82.8

EBITDA

(27.8)Other

53.4Cinema Exhibition

(223.4)Film Production

(72.0)Profit After Tax (Reported EBITDA)

57.4Austereo

68.4Theme Parks

Operating Cashflow

Reconciliation of EBITDA to Operating Cashflows as at June 07(A$ millions)

Note: Film Production working capital includes acquisition of films $320.6 million.


(176.2)(169.7)Cash On Hand

1069.01,532.2Net Debt on Balance Sheet

Off Balance Sheet Debt

1,245.21,701.9Total Debt on Balance Sheet

938.01,041.6Production

92.492.5Exhibition

On Balance Sheet Debt

1142.51,557.2Total Net Debt

61.012.5

26.4

188.4

0.0

June 2006

0.025.0

Theme ParksDistribution

232.7Austereo

3.1Other

332.0Theme Parks (2006 100% like for like $122.0)

June 2007

Debt Profile (A$ millions)

10

VRL is the largest Theme Park owner/operator in Australia

(1) Interest increased due to debt funding

The New VRL – Delivering The Vision - 30 June 2007

(7.4)(0.3)(19.9)1Interest

(17.6)(4.5)(22.9)Depreciation & Amortisation

100%Reported

7.8

(5.2)

17.8

2006

40.0

0

82.8

2007

0Tax incl in Pre Tax Profits

54.6EBITDA

29.6

2006

Profit Before Tax

Theme Parks Results (A$ millions)


•Theme Parks enjoyed their most profitable year since inception

•Wet ‘N’ Wild passed the 1 million patrons mark for the first time

•Australian Outback Spectacular was an outstanding success in its 1st full year of operations

•New attractions and rides for FY08

•Sea World

•Seasame Street live show

opening September

•Wet ‘N’ Wild

•Surfrider


(39.0)(61.0)(84.8)Interest (inc P Note)

11.1(0.9)(0.8)Depreciation & Amortisation

1.1

63.0

2006

(55.8)

29.8

2007

(52.7)Reported EBITDA

N/AProfit Before Tax

↕ %

Film Production Results (A$ millions)


•Happy Feet;•Almost US$400m in cinema business•Academy Award for Best Animated Feature Film•Austalia’s biggest selling DVD ever (437,000 copies in first 9 weeks of release)

•Run of very disappointing releases – portfolio business•Portfolio 1 has unbooked profits estimated at around $25 million still to be booked•Portfolio 2 closed out after 10 films together with settlement of Warner profit true up crystallizes loss of $45 million•Portfolio 3 to include;

•The Brave One (Jodie Foster)•I Am Legend (Will Smith)•Speed Racer (The Wachowski Bros.)•Get Smart (Steve Carell)

•VRL has co-produced Australian production –Rogue

15

6. FIM DISTRIBUTION

16

VRL moved to 100% ownership of Roadshow on 15th August 2007.


16.7

-

16.7

-

-

16.7

2006

15.3

-

15.3

-

-

15.3

2007

29.2

(13.1)

42.3

(1.2)

(1.6)

45.1

2007(1)

Tax

Interest

Depreciation & Amortisation

(8.4)Profit After Tax (Reported EBITDA)

(8.4)Profit Before Tax

(8.4)Underlying EBITDA

↕ %

Film Distribution Results (A$ millions)

(1) Restated for 100% ownership – which occurred in mid August 2007

17

7. CINEA EXHIBITION

18

(1) Before Material One-off Items and Discontinuing Operations


216.34.313.6Profit Before Tax (1)


(18.9)(3.7)(4.4)Interest

24.74.02.6

(3.3)28.0

2006

29.43.44.11.5

38.4

2007

19.1(15.2)57.7N/A37.1

Australia (incl H/O)SingaporeGreeceOther

Total Reported EBITDA

↕ %

Cinema Exhibition Results (A$ millions)


•An exceptional slate of movies in the second half, including;

•Happy Feet, A Night at the Museum, 300, Spiderman 3, Ocean’s 13, Shrek the Third, Pirates of the Caribbean – At World’s End and Fantastic 4 – The Rise of the Silver Surfer

•Greece transitioned from old style cinemas to the new “Village concept”

•Closed Salonika

•Maroussi “old site” sale completing September 2007

•Successfully finalised exits from non core territories of Italy and NZ

21

(1) Dividend amount reduced from the prior corresponding year due to decrease in the number of shares owned by VRL


13.459.066.9Profit Before Tax


(17.8)(11.8)(13.9)Interest

14.340.646.4Net Profit After Tax

13.377.788.0Reported EBITDA

(11.4)(18.4)(20.5)Tax

18.6

2006

15.7

2007

(15.6)Dividend to VRL (1)

↕ %

Austereo Results (A$ millions)


•Increased profitability from prior years (PBT up almost 14% in a highly competitive market)

•Profitability increase delivered from;

•Continued high ratings across every under 54 audience demographic

•No.1 stations in Sydney, Melbourne, Perth, Newcastle & Canberra

•No. 2 in Brisbane

•No. 3 in Adelaide

•Extremely high advertiser retention rates

•First in on-line radio category

•EPS increase 17%

23

8. STRATEGIC HIGHLIGHTS

24

•Moved to 100% ownership of Theme Parks

•Dividend declared, to be paid December 2007

•Favourable findings on Ziegler legal claims

•Exited underperforming Exhibition territories

•Increased strategic ownership in Sydney Aquarium from 15% to 19.9%


25

•Moved from 50% to 100% ownership of Roadshow Film Distributors

•Purchase price net A$95 million

•Earnings per share positive

•Access to strong free cash flows

•Improves transparency of group results

•Long term distribution agreements and relationships underpinningthe business remain in place


26

2. THE NEW VRL -GROWTH

27

•Theme Parks

•In 5 years will be overwhelmingly our biggest business

•Major initiatives under investigation

•My Fun website

•Radio

•Online radio

•iPod downloads

•Roadshow

•Australian film production – Govt rebates

•Theatrical & TV


28

•Exhibition

•Gold Class USA – first mover advantage, but with experience

•12 sites signed

•Construction commenced

•40 sites targeted

•New lifestyle centres/monopolies

•First site opens May 2008 in Redmond, Washington



•My Fun will be the new digital brand and position Village Roadshow as a leader in digital entertainment across Australia

•Our market research has shown that

•93% of consumers utilise the internet to plan holidays•36% of consumers prefer to purchase tickets online

•My Fun web site launches this September and will initially focus on our Theme Parks

•My Fun will become a leading entertainment web site in 2007/08

•Expect major ticket sales for both theme parks and cinemas

•Expectations of rapid expansion

vrl – delivering the vision - village roadshow · 2016-01-27 · the new vrl – delivering the...

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