Snow rocket for Everyman as the Top Gun sequel brings people back to theaters

Boutique cinema chain Everyman Media Group said its profits were skyrocketing last year despite a slowdown in film production and fewer films being released.

The business, which operates 38 high-end cinema chains in the UK, said its earnings for the year to 29 December were above market expectations.

Affected by the Covid lockdowns in the first few months of the year, it reported group gains of around £14.5m, up nearly three-quarters compared to £8.3m the previous year.

It also saw an increase in revenues from £49m to £80m in 2021.

The chain has benefited from people spending more with each visit to the cinema, and the average ticket price paid last year rose 2.6% from £11 last year to £11.29, suggesting prices may have risen.

Average food and beverage expenditure increased 3% to £9.34 per person.

The business has announced that Covid-related delays in film production are causing its list of films to dwindle in 2022.

However, Everyman said that the release of Tom Cruise’s Top Gun: Maverick marked a symbolic return to “business as usual” after Covid, and the film achieved record box office sales during the year.

Everman, which opened new venues in Edinburgh and Egham last year, said he was optimistic for the industry for the next year and filmmaking was in a good place.

The firm said the “unique Everyman experience”, where moviegoers can order food and drink from their seats in a more theatrical-style setting, has also appealed to new and existing customers.

It is scheduled to open a new venue in Durham in February and more openings are expected this year in Salisbury, Northallerton, Plymouth and Marlow.

Alex Scrimgeour, CEO of Everyman, said: “The UK appetite for film and the Everyman brand is reassuringly strong. Our offering is in line with prevailing long-term consumer trends that focus on affordable, high-quality entertainment.

“While Tom Cruise’s critically acclaimed Top Gun: Maverick marks a symbolic return to business as usual after Covid, there were other challenges along the way caused by global instability and associated inflation.

“Exceeding financial expectations is therefore a tribute to the incredible teams at our venues and head office.

“We will continue to deliver on our expansion strategy in 2023 and we are confident we will make another year of progress with filmmaking now in a good place.”

Everyman shares rose nearly 7% on Monday morning as investors monetized the better-than-expected update.

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