https://www.nzx.com/announcements/417028
Vista Group International Limited (NZX & ASX:VGL) reported its interim results for the period ending 30 June 2023 (1H23) today, as the recently announced business transformation accelerates strategy progress.
Industry overview
• Strong box office performance over the northern hemisphere summer, with ‘Barbenheimer’ opening weekend delivering the best domestic box office since April 2019
• Q2 global box office produces the best quarterly result since 2019
• Number of domestic movies released in 2023 trending towards pre-pandemic levels with box office out-performing the return of the number of movies.
Operational overview
• Leading UK cinema group Everyman signed to Vista Group’s cloud platform, including Movio Cinema EQ, Vista Digital and Vista Cloud
• Vista Cloud transition accelerates client benefits, with Vista Oneview app live with pilot client, ahead of September 2023 launch
• Business transformation is underway to support Vista Group’s vision and strategy, drive greater client alignment, increase role clarity for our people, and deliver improved financial performance.
Financial overview
• Total revenue of $69.7m (up 12% on 1H22) and Recurring Revenue1 of $60.5m (up 13% on 1H22)
• Combined Cinema and Movio Recurring Revenue1 of $49.8m, up 10% on 1H22
• Substantial growth in the AGC segment2 with total revenue up 29%
• EBITDA3 of $2.5m (down 19% on 1H22) and positive operating cashflow of $6.2m (up 22% on 1H22)
• Loss for the period of $8.5m (down from a loss of $18.0m for 1H22)
• Average monthly Cash Usage4 of $1.2m in 1H23 now expected to become free cashflow positive during Q4 2024 – a year earlier than previous guidance.
Outlook
• Vista Group reaffirms guidance for 2023 total revenue to be in the range of $142m – $147m
• Through the organisational transformation and the reprofiled capital expenditure program, Vista Group expects to be free cashflow positive during the fourth quarter of 2024
• Vista Group remains on target to achieve its 2023 ASM aspirations of ARR5 between $175m – $205m and EBITDA3 of 15+% by the end of 2025.