MAOYAN ENT expects revenue in the first half of the year to grow by approximately 10.6%-15.2% year-on-year to 2.4 billion - 2.5 billion yuan
MAOYAN ENT expects revenue in the first half of 2025 to reach RMB 2.4 billion to 2.5 billion, a year-on-year increase of approximately 10.6%-15.2%. However, the profit attributable to the company's owners is expected to decline to RMB 160 million to 200 million, a year-on-year decrease of 29.8%-43.8%. The main reasons include the growth in box office revenue from films during the Spring Festival period, but the market cooled from March to June, with some films performing poorly at the box office, leading to a decline in profitability for the entertainment content service business. At the same time, increased costs for internet infrastructure and ticketing systems have also impacted profits
According to the announcement from MAOYAN ENT (01896), the group expects its revenue for the first half of 2025 to be approximately RMB 2.4 billion to RMB 2.5 billion, representing an increase of about 10.6% to 15.2% compared to the revenue of RMB 2.171 billion for the six months ending June 30, 2024; the group anticipates that the profit attributable to equity holders for the first half of 2025 will be approximately RMB 160 million to RMB 200 million, a decrease of about 29.8% to 43.8% compared to the profit attributable to equity holders of RMB 285 million for the first half of 2024.
Based on current information, the board believes that the expected decline in the group's profit level is mainly due to: (1) In the first half of 2025, driven by major films such as "Ne Zha" and "Detective Chinatown 1900" during the Spring Festival, the total box office for national films reached RMB 29.231 billion, an increase of 22.91% compared to 2024 (according to data from the National Film Administration); however, the film market experienced a significant downturn from March to June, with a relative lack of major films, resulting in a total box office of only RMB 6.771 billion during that period, a year-on-year decrease of 33.68% (according to data from Maoyan Professional Edition). Against this backdrop, the group had a total of 24 films under its control for promotion/distribution released during the reporting period (including 4 developed films), setting a historical high for the same period; however, the box office performance of some of the films participated in fell short of expectations, leading to a certain degree of decline in the profitability of the entertainment content service business compared to the same period last year. (2) Based on the increase in online ticket sales for films during the reporting period compared to the same period last year (an increase of 17.05%, according to data from Maoyan Professional Edition), the overall offline performance market maintained a high level of activity, and the group continued to increase its investment, along with rising platform operating costs, the group's costs for internet infrastructure, ticketing systems, and other expenses also saw a significant increase during the reporting period, thereby impacting profits accordingly.
As of August 7, 2025, the summer box office has exceeded RMB 7.6 billion, with the total annual box office reaching RMB 34.994 billion. The group continues to contribute and reserve a sufficient amount of high-quality content, with several summer films under its control for promotion/distribution/production, including "Lychee of Chang'an," "The Legend of Hei 2," "The Little Monster of Langlang Mountain," and "The Stage," all achieving excellent reputation and box office results; in addition, films such as "Adventure," "A Cloud Like You," "Panda Plan 2," and "Assassination Novelist 2," which are also under the group's control for promotion/distribution/production, have been scheduled for release, while films like "Take Your Time," "Hidden Kill," "Impromptu Murder," "Human•Fish," "Priceless," "Aviator," "Wilderness Forbidden Land," "Racing Life 3," "I Like You 2," and "Raging Fire" are also steadily progressing and will be released at an opportune time. Furthermore, the group continues to increase its investment in the performance business to enhance market competitiveness; during the reporting period, the group provided high-quality ticketing agency services for concerts of artists such as Jacky Cheung, Jay Chou, Eason Chan, JJ Lin, and Xu Song. In the second half of 2025, the group will also provide ticketing agency services for large concerts of artists such as Mayday, Zhang Yixing, Zhou Shen, David Tao, and Leehom Wang, as well as for major events like the KPL King of Glory Professional League. Additionally, the group is actively exploring and developing new business formats for IP, having made early layouts in IP reserves, operations, and channel construction, and will continue to strengthen its efforts in the second half of 2025 These businesses are expected to have a positive impact on the company's future operations. The group will also better serve the entire industry, continuously exploring new possibilities to create value for the long-term development of the cultural and entertainment industry
