Cineworld confident over demand amid fears of coronavirus box office hit
Cineworld said coronavirus has not yet dampened demand as it sought to calm fears after the release of the new James Bond film was delayed due to the outbreak.
But shares in the cinema chain fell another seven per cent despite assurances that it has not seen any significant impact on bookings yet and continues to see good admission figures across all its markets.
It comes amid worries that cinema firms would suffer plummeting demand as coronavirus continues to spread, highlighted by the decision earlier this week to postpone the release of the No Time To Die Bond movie from April to November as cinemas across Asia have closed.
Cineworld operates the multiplex at Bentley Bridge in Wednesfield as well as cinemas in Shrewsbury, Telford, Birmingham Broad Street and at the NEC.
Some film industry analysts have reportedly estimated the outbreak could wipe £3.9 billion off the global box office.
But Cineworld said studios have insisted they remain committed to their film schedules for the rest of the year.
It warned, however, that there can be "no certainty as to the future impact of Covid-19".
"Should conditions relating to Covid-19 continue or worsen, we have measures at our disposal to reduce the impact on our business including, but not limited to, capex (capital expenditure) postponement and cost reduction," it added.
It also revealed a dip in earnings in figures released ahead of its full-year results due next week, reporting a four per cent drop in underlying earnings to £794 million.
This came as it said 2019 revenues fell seven per cent to £3.4 billion.
