Boutique cinema chain Everyman Media Group has reported huge profits despite a slowdown in film production over the past year, resulting in fewer film releases.
The company, which runs a chain of 38 high-end cinemas across the UK, said its profits exceeded market expectations for the year to December 29.
It reported group earnings of around £14.5m, an increase of almost three-quarters from the £8.3m earned in the previous year, which was affected by Covid lockdowns in the first few months of the year.
It also enjoyed an increase in revenue to £80m from £49m in 2021.
The chain has benefited from people spending more on each cinema visit, with the price paid for an average ticket increasing by 2.6% to £11.29 from £11 last year, suggesting prices may have increased.
Average spending on food and drink increased by 3% to £9.34 per person.
The company has revealed that Covid-related delays in film production have resulted in a reduction in the number of films in 2022.
But the release of Tom Cruise’s Top Gun: Maverick marked a symbolic return to “business as usual” after Covid, Everyman said, and the film enjoyed a box office record for the year.
Everman, which opened new facilities in Edinburgh and Egham last year, said it was optimistic about the coming year for the sector and film production was now in a good place.
The company said the “unique Everyman experience” – where viewers can order food and drinks to their seats in a more theatrical style – has also attracted new and existing customers.
A new venue is due to open in Durham in February, with further openings expected this year in Salisbury, Northallerton, Plymouth and Marlow.
Alex Scrimgeour, CEO of Everyman, said: “Britain’s appetite for the Everyman film and brand remains reassuringly strong. Our proposal is in line with the prevailing long-term consumer trends towards affordable, high-quality entertainment.
“While Tom Cruise’s lauded Top Gun: Maverick marked a symbolic return to normal life post-Covid, there were other challenges along the way caused by global instability and associated inflation.
“Therefore, exceeding financial expectations is down to the amazing teams at our facilities and headquarters.
“We will continue to pursue our expansion strategy in 2023 and film production is now in a good place and we are confident of another year of progress.”
Everyman shares rose about 7% on Monday morning as investors cashed in a better-than-expected update.