Guomai Culture & Media Co.Ltd(301052) ( Guomai Culture & Media Co.Ltd(301052) . SZ) announced on April 7 that according to the preliminary calculation of the financial department, the company’s investment in the film “Four Seas” is expected to generate a loss of about RMB 7 million to 9 million, accounting for more than 10% of the audited net profit of the listed company in the latest fiscal year. The main reason for the loss is that the box office did not meet expectations.
According to the announcement, on February 9, 2021, Guomai Culture & Media Co.Ltd(301052) signed a film investment cooperation agreement with Shanghai Tingdong Film Co., Ltd., and invested 13 million yuan to buy a 5% investment share of the new film (later named “Four Seas”). The film has been screened in Chinese mainland since February 1, 2022. According to the data of the National Film Funding office, the release and screening of the film had ended as of 24:00 on April 3, 2022.
China Film Co.Ltd(600977) data information network recently released the national film box office monthly report for March 2022. As of March 31, 2022, the cumulative box office of “Four Seas” was 543 million yuan.
Guomai Culture & Media Co.Ltd(301052) said that the above matters will not affect the company’s daily business activities. The company will conduct accounting treatment on financial instruments in accordance with the accounting standards for Business Enterprises No. 22 – recognition and measurement of financial instruments, and the impact on the annual profit in 2022 shall be subject to the actual profit and loss of the final settlement.
According to the annual report previously released by the company, in 2021, the company achieved an operating revenue of 461 million yuan, a year-on-year increase of 29.83%; The net profit attributable to the parent company was 57 million yuan, a year-on-year increase of 38.73%.
On April 7, Guomai Culture & Media Co.Ltd(301052) rose 0.77% to close at 36.88 yuan / share.
