experienced the ups and downs of Beijing culture, and now it seems that it is getting farther and farther away from “taking off the hat”
On April 26, Beijing Jingxi Culture&Tourism Co.Ltd(000802) (formerly known as “Beijing Culture”) issued two consecutive financial reports. According to the data, in 2021, Beijing Jingxi Culture&Tourism Co.Ltd(000802) achieved a revenue of 298 million yuan, a year-on-year decrease of 30.02%; The net loss attributable to shareholders of listed companies was 133 million yuan, a year-on-year decrease of 82.62%. In the first quarter of 2022, Beijing Jingxi Culture&Tourism Co.Ltd(000802) operating revenue was 4.9035 million yuan, a year-on-year decrease of 68.59%; The net loss attributable to the owners of the parent company was 208215 million yuan, a year-on-year decrease of 22.56%.
Under the situation that the total box office of national films increased significantly year-on-year in 2021 and many listed film companies turned losses into profits, Beijing Jingxi Culture&Tourism Co.Ltd(000802) not only the revenue decreased significantly and continued to suffer losses, but also it is noteworthy that, in the view of insiders, the future new works mentioned in the annual report are not enough to give investors confidence, and the financial reports in the second and third quarters may be worse than those in the first quarter, Beijing Jingxi Culture&Tourism Co.Ltd(000802) delisting risk red light is on.
TV series and online drama revenue show
According to the data of the National Film Funding office, in 2021, 572 films were released nationwide, with a total box office of 47.258 billion yuan (including secondary market and service fees), an increase of 131.46% year-on-year, ranking first in the global box office, including 39.927 billion yuan of domestic films, accounting for 84.49%; The total number of people watching movies in urban cinemas was 1.167 billion, a year-on-year increase of 112.96%.
Judging from the film market in 2021, although it has not completely recovered, it has recovered to 74% before the epidemic, and there have been three popular films: Hello, Li Huanying, Chinatown detective 3 and Changjin lake. Many film and television listed companies, such as Hengdian Entertainment Co.Ltd(603103) , Beijing Enlight Media Co.Ltd(300251) , Wanda Film Holding Co.Ltd(002739) , China Film Co.Ltd(600977) , have turned losses into profits.
However, Beijing Jingxi Culture&Tourism Co.Ltd(000802) although it has won the popular spring festival film Hello, Li Huanying with a cumulative box office of 5.413 billion, it is still in a state of loss and its revenue has not achieved positive growth.
According to the annual report, Beijing Jingxi Culture&Tourism Co.Ltd(000802) ‘s business includes film, TV series, online drama, artist brokerage and cultural tourism. In 2021, it will focus on the development of film, TV series and online drama business. However, from the perspective of revenue composition, in 2021, Beijing Jingxi Culture&Tourism Co.Ltd(000802) of the various product businesses, except for the TV drama and online drama business, which achieved a revenue of 98.91 million, a year-on-year increase of 723.29%, the revenue of other businesses decreased year-on-year.
The annual report shows that the top five revenue works of Beijing Jingxi Culture&Tourism Co.Ltd(000802) 2021 are “Hello, Li Huanying”, “palace Ci of the great Song Dynasty”, “me and my hometown”, “king of bathing” and “great Xia Lu Xiaoyu”. In addition to “palace Ci of the great Song Dynasty” and “great Xia Lu Xiaoyu”, the other three are TV dramas.
For the performance of the film business in 2021, Beijing Jingxi Culture&Tourism Co.Ltd(000802) in the annual report, the outstanding achievements of “Hello, Li Huanying” are highlighted. However, Beijing Jingxi Culture&Tourism Co.Ltd(000802) entrusts a third-party company to guarantee the minimum distribution of the film, and the guaranteed box office revenue is 1.5 billion yuan, which means that the excess is divided by the companies participating in the guaranteed distribution. Beijing Jingxi Culture&Tourism Co.Ltd(000802) doesn’t really benefit much from the film. Although Hello, Li Huanying burst, the winner is not Beijing Jingxi Culture&Tourism Co.Ltd(000802) .
In terms of TV dramas and online dramas, Beijing Jingxi Culture&Tourism Co.Ltd(000802) last year launched “palace Ci of the great Song Dynasty” and “great Xia Lu Xiaoyu”. Although “palace Ci of the great Song Dynasty” has a certain degree of discussion, most of them are dominated by negative comments. The score of the play on Douban is only 3.7, and the other “great Xia Lu Xiaoyu” has not attracted much attention.
In addition, it should be noted that although the revenue of TV drama online drama business increased by 723.29% year-on-year last year, the operating cost of the business increased more, with a year-on-year increase of 144.5.48% to 109 million yuan, and the gross profit margin was – 10.50%, a year-on-year decrease of 51.63%.
Director Xiang Kai, a young Chinese playwright, said in his analysis of the Beijing Jingxi Culture&Tourism Co.Ltd(000802) annual report that the TV drama and online drama sector was a highlight of the company’s performance last year. However, the specific work income, share proportion and revenue and expenditure data of the business of this sector were not published in detail in the financial report. On the one hand, it was irresponsible to investors, and on the other hand, it did not see a clear goal for investors, Can not give investors more confidence.
new works can turn around
In the first quarter of 2022, Beijing Jingxi Culture&Tourism Co.Ltd(000802) ‘s performance was still not ideal, with an operating revenue of 4.9035 million yuan, a year-on-year decrease of 68.59%. The company explained that “the revenue of film projects in the same period of last year was high”; The net profit loss attributable to the owner of the parent company was 208215 million yuan, with a year-on-year decrease of 22.56%.
Beijing Jingxi Culture&Tourism Co.Ltd(000802) said in the first quarterly report that in 2022, the company will continue to promote film and television culture business, reserve excellent IP resources, improve the reputation and value of works, and build the company into a media group in the whole industry chain.
However, judging from the published film and TV series online drama projects, only one work “our southwest United University” is expected to be filed in 2022, and the distribution schedule of other works is to be determined.
In the film project, the directors and cast of “East polar island” and “749 bureau” have attracted more attention from the outside world. However, it should be noted that the current project progress of “East polar island” is in preparation, and “749 bureau” is “ill fated”, encountering the problems of actors and financial chain rupture and other crises.
“Fengshen Trilogy” has attracted more attention before. As a series of films produced in the mode of three consecutive films for the first time in Chinese films, the project spans as long as ten years. Up to now, the location shooting of the film has been basically finished. The first post production has been completed and is in the stage of submission for approval. It is expected to be released in 2022 (the specific release time shall be subject to the public release time).
However, regardless of whether these three films can achieve high box office in the future, even if the box office is hot, the revenue that can be brought to Beijing Jingxi Culture&Tourism Co.Ltd(000802) needs to be discounted.
On April 22, 2021, Beijing Jingxi Culture&Tourism Co.Ltd(000802) disclosed the announcement of major contracts, which said that in order to diversify investment risks and alleviate the pressure of working capital of the company, the company signed with Tibet Huipuhua Enterprise Management Co., Ltd. the investment share transfer agreement of film Fengshen I, the investment share transfer agreement of film Fengshen II, the investment share transfer agreement of film Fengshen III, and transferred Fengshen I The three films of “Fengshen II” and “Fengshen III” share 25% respectively. The transfer price is 200 million yuan, and the cumulative contract amount is 600 million yuan. At present, the company has received the above transfer payment of 550 million yuan.
Before 2020, the market value of Beijing Jingxi Culture&Tourism Co.Ltd(000802) once soared due to its continuous success in popular films such as war wolf 2, I’m not the God of medicine and wandering the earth. However, since 2020, Beijing Jingxi Culture&Tourism Co.Ltd(000802) has been caught in a storm of public opinion one after another. Lou Xiaoxi, the former vice chairman, reported the real name of song Ge, the former chairman, and others, so that Beijing Jingxi Culture&Tourism Co.Ltd(000802) income fraud came to the surface; In 2021 Beijing Jingxi Culture&Tourism Co.Ltd(000802) was involved in the “yin yang contract” of Zheng Shuang; In August 2021, the company received the advance notice of administrative punishment and market prohibition from Beijing Securities Regulatory Bureau. The company was punished, and Lou Xiaoxi, song Ge and other executives were fined in different amounts; In October 2021, Beijing Jingxi Culture&Tourism Co.Ltd(000802) board of directors was changed.
In Xiang Kai’s view, since the new board of directors took office in October last year, the new board of directors did not play an active role and had no good planning for the future development direction. The two old works were continued, and the new works had no influence and no specific implementation time. In his opinion, the financial reports of the second and third quarters of Beijing Jingxi Culture&Tourism Co.Ltd(000802) 2022 may be worse than those of the first quarter. Whether there will be a good performance in the fourth quarter depends on whether Beijing Jingxi Culture&Tourism Co.Ltd(000802) has a new online work, or the income from copyright transfer, asset burden reduction, etc.
