Imax China Holding Inc · HKEX:1970
Imax China — H1 2021 Earnings Presentation
18 slides from Imax China's earnings presentation, Jul 28, 2021
Slide 1: IMAX China Half-Year 2021 Financial Results
IMAX China Half-Year 2021 Financial Results July 28, 2021 ® IMAX 1 Corp.
Slide 2: Disclaimer
Disclaimer This document is not intended to form or provide any basis of any decision in connection with IMAX China Holding, Inc. (the "Company") or any other entity in which it directly or indirectly holds any interest (together with the Company, hereinafter referred to as the "Group"). It does not
Slide 3: Strong First-Half Results Underscore Growing Demand for the IMAX Experience
Strong First-Half Results Underscore Growing Demand for the IMAX Experience Favorable Structural • Accelerating premiumization trend in content consumption and creation • Local content gravitating towards higher production value and genres that lend themselves well Tailwinds to the IMAX Experience •
Slide 4: Growing IMAX Indexing Across Both Hollywood and Local Language Blockbusters
Growing IMAX Indexing Across Both Hollywood and Local Language Blockbusters Shockwave 2 (Dec 2020/Jan 2021) Detective Chinatown 3 (Feb 2021) Avatar re-release (March 2021) Godzilla vs. Kong (March 2021) Fast & Furious 9 (May 2021) • 6th highest-grossing local language • Filmed with IMAX cameras • Mo
Slide 5: 'Blockbusterization' in Chinese Content Consumption Drives Higher Indexing and Market Share
‘Blockbusterization’ in Chinese Content Consumption Drives Higher Indexing and Market Share for IMAX China IMAX China Box Office Market Share in Hollywood Titles IMAX China Indexing(1) on Hollywood Titles 9.0% 14.0% 12.9% 8.0% 8.0% 7.3% 12.0% 6.8% 10.7% 7.0% 10.0% 10.0% 6.0% 5.8% 8.8% 5.0% 8.0% 4.0%
Slide 6: Strong Pipeline of Tentpole Releases (2H21)
Strong Pipeline of Tentpole Releases (2H21) SHANG-CHI Venom 2: Black and the Legend Let There Be Dune Widow of the Ten Carnage Oct 2021 July 2021 Rings Sept 2021 July 2021 SPIDER- 007: No THE Top Gun: MAN: No Time to Die ETERNALS Maverick Oct 2021 Nov 2021 Nov 2021 Way Home Dec 2021 Heavy involvemen
Slide 7: Strong Pipeline of Tentpole Releases (2022)
Strong Pipeline of Tentpole Releases (2022) Doctor Mission Strange The Thor: Love Impossible In The Multiverse Batman and Thunder of Madness March 2022 May 2022 7 May 2022 March 2022 Jurassic Black Captain World 3: Panther 2: Marvel 2: Avatar 2 Dominion Wakanda Dec 2022 The Marvels June 2022 Forever
Slide 8: Expanding Network Footprint
Expanding Network Footprint IMAX Greater China Theater Footprint Greater China Backlog Mix2 Backlog Full revenue sharing Hybrid revenue sharing Sales arrangement IMAX zones: approximately 1,400 1 237 384 108 267 As of Jun 30, 2021 Note 1: As of June 30, 2021 Note 2: As of June 30, 2021 Source: Compa
Slide 9: IMAX China Theater Penetration Increases Across All Top Cohorts
IMAX China Theater Penetration Increases Across All Top 500 Co-hort IMAX China Theater Penetration in Top 500 Complexes 90% IMAX China 1H21 GBO by Multiplex Cohort 80% 80% 72% 5% Top 5% 68% 68% 4% Top 6-10% 70% 66% 64% 65% 62% 62% 62% Top 11-15% 60% 59% 56% 54% 10% Top 16-20% 53% Below top 20% 50% 4
Slide 10: Strengthening Local Language Programming Capability
Strengthening Local Language Programming Capability IMAX China Box Office Market Share in Local Language Titles IMAX China Local Language Box Office 3.0% 80 2.5% 70 68 2.5% 60 59 57 2.0% 2.0% 1.8% 50 50 1.6% 1.5% 40 30 1.0% 20 0.5% 10 4 0.0% 0 (1) 2017 2018 2019 Since reopening 1H19 2H19 1H20 2H20 1
Slide 11: Promising Pipeline of Potential Local Language Titles
Promising Pipeline of Potential Local Language Titles The Battle at Lake Mozart From Creation of the Wandering Changjin (to be released Space (1) Gods I (2) Earth 2 on Aug 12, 2021) (1): Filmed in IMAX (2): First installment of Fengshen Trilogy Note: Except The Battle at Lake Chanjin, release schedu
Slide 12: Strong Business Turnaround
Strong Business Turnaround • 1H21 total revenue of US$53.4 million, up from US$6.7 million in 1H20 • Technology network revenue of US$21.7 million, up from US$1.1 million in 1H20 driven by box office recovery to US$133 million and higher take-rate of 16.3% • Technology sales and maintenance revenue
Slide 13: 1H 2021 Segment Details: Technology Network
1H 2021 Segment Details: Technology Network IMAX Technology Network Revenue sharing arrangements – contingent rent Film Revenue Network revenue of $21.7 million, up from $1.1 million in 1H20 $ in Millions 19.4x • Greater China box office of $133 million, up from $7 $21.7 million in prior year period
Slide 14: 1H 2021 Segment Details: Technology Sales & Maintenance
1H 2021 Segment Details: Technology Sales & Maintenance IMAX Technology Sales & Maintenance Others Theatre system maintenance Sales & maintenance revenue of $31.7 million, up from $5.4 Revenue sharing arrangements – upfront fees million in 1H20 Sales & Sales-type lease arrangements • 23 installation
Slide 15: Network Update
Network Update Backlog Signings and Installations JV upgrade 251 Sales upgrade 1H2021 8 237 Full Revenue Sharing 5 Hybrid Revenue Sharing Total Signings Total Installations Sales / Sales Type Lease 42 45 Sales and STL 9(1) 8 Revenue Sharing Arrangements Hybrid 0 4 114 110 JV 3 8 Upgrades 0 1(2) Relo
Slide 16: 1H2021 Financial Summary
1H2021 Financial Summary $ in Millions Revenue Operating Expenses1 Adjusted EBITDA Adjusted Net Income $33.8 $53.4 $21.3 $16.7 $10.2 $31.7 $6.1 $3.0 $0.6 $5.9 $5.7 $6.7 $21.7 ($2.6) ($13.4) $5.4 1H20 1H21 ($15.5) 2 $1.1 1H20 1H21 1H20 1H21 1H20 1H21 New Business Initiatives & Others Provisions on re
Slide 17: Shareholder Return
Shareholder Return Dividend trend Dividend earnings payout % Dividend amount declared $ in Millions 50% 33% 33% 33% Committed to increase shareholder return with a strong balance sheet, sustainable cash flow and earnings growth • Dividend increase to US$9.7 million, up from $7 million in prior years
Slide 18: IMAX is a registered trademark of IMAX Corporation
Half-Year 2021 Financial Results IMAX® is a registered trademark of IMAX Corporation. 18