20 April 2016 - Vue International · Top 5 as a % of total market 52.8% The Hobbit: The Battle Of...

Vue International Q1 FY2016 Noteholder Presentation 20 April 2016

2

IMPORTANT: You must read the following before continuing

PRESENTATION OF FINANCIAL DATA This presentation should be read in conjunction with the Vougeot Bidco plc (“Bidco”) Quarterly Report (the “Report”) to Noteholders for the period ended 25 February 2016 (“Q1 2016”) released on Wednesday 20th April 2016. This report is available on our website at http://corporate.myvue.com/home/investor-relations. This presentation refers to market information obtained from third party sources. “Market Admissions” for UK and Italy are a measure of paid and unpaid box office admissions and are sourced from the Cinema Advertising Association (“CAA”) and Cinetel respectively. Market Admissions for Germany and Poland includes only paid admissions and the sources are Rentrak through www.IBOE.com and www.boxoffice.pl respectively. Gross Box Office Revenue (“GBOR”) measures box office revenue including local sales taxes by film and in aggregate. Market GBOR refers to total GBOR for markets referred to. “Major Territories” and “Vue Major Territories” specifically refer to UK, Germany, Poland and Italy being the major markets in which Bidco operates. Major Territories Total Market GBOR and Vue Major Territories GBOR are aggregated measures of GBOR for the total market and for Bidco. “Market Share” is Vue Major Territories GBOR as a proportion of Major Territories Total Market GBOR. Market and Vue GBOR information for UK & Ireland and Germany is sourced from Rentrak through www.IBOE.com, Poland from www.boxoffice.pl and Italy from Cinetel. The Pro Forma financial information also includes the Pro Forma savings resulting from the strategic decision made by the board of directors of the Company to purchase certain contractual digital equipment related to the projection of 3D Films. This decision will result in significant savings in costs and an associated increase in consolidated EBITDA. The Company currently has license arrangements on rolling 5 year terms and where such licenses have terminated or will terminate within the next 24 months the Company has added back the associated cost savings in arriving at Consolidated EBITDA. At 26 February 2016 the increase in Consolidated LTM EBITDA resulting from this reduction in administration expenses is £3.5m comprising £1.5m of actual savings already achieved and £2.0m of annualised pro forma savings which will be achieved on licenses expiring in the next 24 months. For accounting periods starting on or after 1 January 2015 UK entities must adopt new UK accounting standards or adopt International Financial Reporting Standards (“IFRS”). The Company has elected to adopt IFRS and consequently the results for the 3 months ended 26 February 2016 have been accounted for in accordance with IFRS. The comparative financial information for the prior financial year (including the 3 month period ended 26 February 2015) and the opening balance sheet at 28 November 2014 have been restated from UK GAAP to IFRS. A reconciliation of the key accounting changes are set out in [insert document reference]. A summary of the financial information on the Pro Forma basis is set out on page 9 of the Report and the Bidco “As Acquired” basis is set out on page 10 of the Report. A reconciliation between the Bidco As Acquired Profit and Loss Account and the unaudited Condensed Consolidated Profit and Loss Account Vougeot Bidco plc is provided on page 11 of the Report.

DISCLAIMER This presentation is for information purposes only and does not constitute an offer to sell or the solicitation of an offer to buy securities. This presentation does not contain all of the information that is material to an investor. Forward-Looking Statements This presentation contains “forward-looking statements” as that term is defined by the U.S. federal securities laws and within the meaning of the securities laws of certain other jurisdictions. These forward-looking statements include, without limitation, those regarding our intentions, beliefs or current expectations concerning our future financial condition and performance, results of operations and liquidity; our strategy, plans, objectives, prospects, growth, goals and targets; future developments in the markets in which we participate or are seeking to participate; and anticipated regulatory changes in the industry in which we operate. These statements often include words such as “anticipate,” “believe,” “could,” “estimates,” “expect,” “forecast,” “intend,” “may,” “plan,” “projects,” “should,” “suggests,” “targets,” “would,” “will,” and other similar expressions. These statements are not guarantees of performance or results. Many factors could affect our actual financial results or results of operations and could cause actual results to differ materially from those expressed in the forward-looking statements and projections. We undertake no obligation to review or confirm analysts’ expectations or estimates or to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date of this presentation.

Important Information

3

Agenda and today’s speakers

Highlights Q1 2016

Market Update

Key Financials

Current Trading Update and Outlook

Summary

Q&A

Tim Richards CEO

Alan McNair Deputy CEO

Steve Knibbs COO

Alison Cornwell CFO

3

4

Highlights Q1 2016

4

• Another record breaking quarter delivering EBITDA of £58.1m

• Continued growth in LTM EBITDA now at £134.6m (up from £126.0m at Q4 2015); six consecutive quarters of growth; the fourth consecutive quarter in excess of £100m

• Further reduction in net leverage to 4.0x

down from 4.2x at Q4 2015; down from 6.1x peak at Q4 2014

• Strong EBITDA growth of 17.6% driven by: higher admissions; initiatives across pricing, concessions, seating, operations; the impact of volume-driven operating leverage

Turnover (£m) 228.6 210.8 8.4%

Consolidated EBITDA (£m) 58.1 49.4 17.6%

Admissions (m) 25.6 25.2 1.9%

ATP (£) 5.93 5.58 6.2%

SPP (£) 1.91 1.82 5.3%

LTM EBITDA (£m) 134.6

Net Leverage 4.0x

VarianceQ1 2016 Q1 2015

5

£330m £363m

Q1 2015 Q1 2016

48.2m 48.2m

Q1 2015 Q1 2016

£330m £363m

YTD 2015 YTD 2016

48.2m 48.2m

YTD 2015 YTD 2016

GBOR (UK only)

+9.9%

Market Performance – UK & Ireland

Admissions (UK only)

Source: DCM for admissions, IBOE / Rentak for GBOR

0.0% 0.0%

+9.9%

• Strong growth in Market GBOR of almost 10% in Q1 2016 despite flat Market Admissions

• Higher 3D presence driving higher ticket price mix and higher Market GBOR in Q1 2016

• Market dominated by Star Wars: The Force Awakens, representing 32% of the overall Market GBOR alone

5

Star Wars : The Force Awakens 122.4 Yes No

Deadpool 28.2 No No

The Revenant 21.3 No No

Daddy's Home 17.2 No No

The Good Dinosaur 14.8 Yes No

Total Top 5 203.9 2 0

Total Market 386.2

Top 5 as a % of total market 52.8%

The Hobbit: The Battle Of The Five Armies 41.3 Yes No

Paddington 37.0 No Yes

Fi fty Shades Of Grey 28.1 No No

The Theory Of Everything 20.3 No Yes

Taken 3 17.6 No No

Total Top 5 144.2 1 2

Total Market 352.1


Top titles Q1 2015 - UK & Ireland GBOR (£m) 3D Local

Top titles Q1 2016 - UK & Ireland GBOR (£m) 3D Local

6

€333m €336m

Q1 2015 Q1 2016

40.2m 38.1m

Q1 2015 Q1 2016

€333m €336m

YTD 2015 YTD 2016

40.2m 38.1m

YTD 2015 YTD 2016

Market Performance – Germany

Admissions

Source: IBOE / Rentrak

GBOR

(5.1)% (5.1)%

+0.7% +0.7%

• Market Admissions down 5% due to the success of Honig im Kopf which boosted Q1 2015

• Market GBOR up slightly on Q1 2015, due to Star Wars: The Force Awakens and higher 3D mix

• Similar to the UK, the market was dominated by Star Wars: The Force Awakens which delivered 30% of the Market GBOR alone

6



The Hunger Games - Mockingjay: Part 2 17.6 Yes No

Deadpool 16.3 No No

Spectre 14.2 No No

Total Top 5 171.5 2 0

Total Market 335.6



Honig im Kopf 49.5 No Yes

Fi fty Shades of Grey 28.3 No No

The Hunger Games - Mockingjay : Part 1 13.8 No No

Paddington 12.2 No No

Total Top 5 167.5 1 1

Total Market 333.3


GBOR (€m) 3DTop titles Q1 2016 - Germany

Top titles Q1 2015 - Germany GBOR (€m)

Local

3D Local

7

zł272mzł310m

Q1 2015 Q1 2016

14.7m16.5m

Q1 2015 Q1 2016

zł272mzł310m

YTD 2015 YTD 2016

14.7m16.5m

YTD 2015 YTD 2016

Admissions

Market Performance – Poland

GBOR

+12.2% +12.2%

+14.3% +14.3%

Source: Boxoffice.pl

• Double digit growth in both Admissions and GBOR in the Polish market

• Similar to the other territories Star Wars: The Force Awakens was the top title, representing 21% of the Market GBOR

• Local titles performed very strongly in Q1 2016 making up the balance of the Top 5 films

7

Market Performance – Poland


Planeta Singl i 28.0 No Yes

Pi tbul l . Nowe Porzadki 23.9 No Yes

Lis ty Do M. 2 23.3 No Yes

Moje Corki Krowy 12.9 No Yes

Total Top 5 153.1 1 4

Total Market 310.4




The Penguins Of Madagascar 28.2 Yes No

Wkreceni 2 13.2 No Yes

Paddington 10.3 No No

Total Top 5 127.6 2 1

Total Market 271.6


Top titles Q1 2015 - Poland GBOR (złm)

Top titles Q1 2016 - Poland

3D Local

GBOR (złm) 3D Local

8

€226m€284m

Q1 2015 Q1 2016

34.4m42.6m

Q1 2015 Q1 2016

€226m€284m

YTD 2015 YTD 2016

34.4m42.6m

YTD 2015 YTD 2016

Admissions

Market Performance – Italy

GBOR

+23.7% +23.7%

+25.4% +25.4%

Source: Cinetel

• Very significant growth in Market Admissions and Market GBOR during the quarter

• Performance driven by two hugely successful titles; local title Quo Vado? and Star Wars: The Force Awakens

Quo Vado? has become the highest attended film of all time in Italy at 9.3m admissions Star Wars: The Force Awakens also performed very strongly in the quarter and Market GBOR

of €25.5m places it in the top 10 titles of all time in Italy 8

Quo Vado? 65.2 No Yes



Perfetti Sconosciuti 11.4 No Yes

Bridge of Spies 10.8 No No

Total Top 5 126.4 1 2

Total Market 283.6


American Sniper 18.9 No No


Si Accettano Miracol i 15.5 No Yes

I l Ricco, I l Povero E I l Maggiordomo 13.1 No Yes


Total Top 5 79.2 1 2

Total Market 226.1


Top titles Q1 2016 - Italy GBOR (€m) 3D Local

Top titles Q1 2015 - Italy GBOR (€m) 3D Local

9

Market GBOR Share Summary

• Each of the major territories in which Vue operates delivered an increase in Market GBOR, with Germany’s growth being the lowest due to the success of local title Honig Im Kopf in 2015

• Vue’s market share was lower by 0.5ppt in the quarter with key elements being:

Lower market share in Italy driven mainly by the extremely wide distribution of Quo Vado? which saw the independent sector increase its market share by 2.0ppt;

Lower market share in the UK due mainly to the continued opening of new screens in the market;

Higher market share in Germany and similar share in Poland

9

UK Market GBOR (£m) 363.0 330.4 9.9% 363.0 330.4 9.9%

Germany Market GBOR (£m) 255.0 250.8 1.7% 255.0 250.8 1.7%

Poland Market GBOR (£m) 54.6 48.2 13.1% 54.6 48.2 13.1%

Italy Market GBOR (£m) 216.1 170.1 27.1% 216.1 170.1 27.1%

Major Territories Total Market GBOR (£m) 888.8 799.4 11.2% 888.8 799.4 11.2%

Vue Major Territories GBOR (£m) 163.6 151.0 8.3% 163.6 151.0 8.3%

Vue Major Territories GBOR Market Share (%) 18.4% 18.9% (0.5ppt) 18.4% 18.9% (0.5ppt)

Q1 2016 Q1 2015 Variance VarianceYTD 2016 YTD 2015

10

Initiatives and Developments

• Cambridge: Relaunched in December 2015 as Vue’s first full recliner-seat cinema

• Progress in seating programme with further recliner trials at various sites in UK/IR

• Newly refurbished “digital foyers” installed in nine sites in UK/IR incorporating large video walls and digital signage; Plans to rollout in Multikino later in the year

• Further roll-out of dynamic pricing strategies

• Investment and roll-out of content scheduling technologies in UK/IR and CinemaxX

• New UK/IR site at Darlington on track for late Spring opening

• Investment in energy-saving LED lighting in The Space initiated for implementation during Q2 and Q3

10

Cambridge recliner-seat cinema

Digital foyer at Stratford

11

Financial Information – Turnover

• Group Turnover up 8.4% driven by increased admissions, growth in ATP, SPP and screen advertising. All territories delivered higher turnover with the UK business delivering the highest absolute increase and Poland delivering the highest % increase

• ATP up 35p (+6.2%) due to increased 3D mix, driven by Star Wars: The Force Awakens, and pricing initiatives. All major territories delivered ATP growth

• SPP up 9p (+5.3%) due to various price-pointing initiatives. All major territories delivered SPP growth

• Screen advertising and other revenue up £3.0m (+12.0%) driven mainly by the UK, with increased corporate sales activity and a film slate which was highly attractive to screen advertisers

11

Box Office Revenue (£m) 152.0 140.5 8.2% 152.0 140.5 8.2%

Concessions revenue (£m) 49.0 45.7 7.3% 49.0 45.7 7.3%

Screen advertising and other revenue (£m) 27.6 24.6 12.0% 27.6 24.6 12.0%

Group Turnover (£m) 228.6 210.8 8.4% 228.6 210.8 8.4%

Admissions (m) 25.6 25.2 1.9% 25.6 25.2 1.9%

ATP (£) 5.93 5.58 6.2% 5.93 5.58 6.3%

SPP (£) 1.91 1.82 5.3% 1.91 1.82 5.3%

Total revenue per person (£) 8.91 8.38 6.4% 8.91 8.38 6.4%

VarianceYTD 2016 YTD 2015VarianceQ1 2015Q1 2016

12

Financial Information – Margin and Costs

• Consolidated EBITDA of £58.1m, 17.6% higher than Q1 2015

• Gross profit % marginally below the prior year due to higher Film Rental % reflecting the stronger performance from blockbuster titles which typically command higher rates

• Operating leverage from higher admissions combined with continued efficiency gains and tight cost control reducing administrative expenses and rent costs as a proportion of revenue

• Q1 development in EBITDA margin of 2.0ppt to 25.4% due to cost initiatives, lease management and volume-driven operating leverage

12

Turnover (£m) 228.6 210.8 8.4% 228.6 210.8 8.4%

Gross profit (£m) 140.8 130.6 7.8% 140.8 130.6 7.8%

Gross profit % 61.6% 62.0% (0.3ppt) 61.6% 62.0% (0.3ppt)

Administrative expenses (£m) (53.6) (51.9) (3.2%) (53.6) (51.9) (3.2%)

Administrative expenses as % of revenue 23.4% 24.6% 1.2ppt 23.4% 24.6% 1.2ppt

Rent (£m) (29.2) (29.3) 0.3% (29.2) (29.3) 0.3%

Rent as % of revenue 12.8% 13.9% 1.1ppt 12.8% 13.9% 1.1ppt

Consolidated EBITDA (£m) 58.1 49.4 17.6% 58.1 49.4 17.6%

Consolidated EBITDA % 25.4% 23.4% 2.0ppt 25.4% 23.4% 2.0ppt

VarianceYTD 2016 YTD 2015Q1 2016 Q1 2015 Variance

13

Financial Information – Cashflow and Net Debt Movement

13

• £7.0m increase in net debt in the quarter

• Q1 2016 highlights include:

Significant increase in EBITDA to £58.1m;

Working capital outflow due mainly to the timing of film rental payments;

Increased capex payments following the opening of two sites in Poland in Q4 2015;

Net unrealised FX losses on Euro denominated bonds, loans and cash

Consolidated EBITDA (£m) 58.1 49.4

Working capital (Trade) (7.7) 11.2

Working capital (Non Trade) (0.2) (4.0)

Net capital expenditure (5.7) (4.6)

Tax paid (0.8) (0.6)

Other (including non-cash adjustments) (1.3) (2.5)

Operating cash flow (£m) 42.3 49.0

Interest costs (17.7) (17.8)

Total cash flow excluding debt (£m) 24.6 31.2

Non cash movements in net debt:

Unrealised FX gain/(loss) on Euro bonds (30.5) 21.9

Unrealised FX gain/(loss) on Other 1.8 (1.0)

Amortisation of financing fees on RCF (0.1) (0.1)

Amortised cost adjustment on Bond (0.8) (0.6)

Repayment of loans/leases (1.5) (0.8)

Other (0.6) 0.3

Dec/(inc) in net debt (per leverage definition) (£m) (7.0) 51.1

Q1 2016 Q1 2015

14

Financial Information – Capital Structure and Leverage Development

• Net leverage down to 4.0x. Reduction of 0.2x during the quarter

• Key drivers of the improvement in leverage include:

Significant increase in LTM EBITDA of £8.6m to £134.6m; partly offset by

Increase in net debt of £7.0m due mainly to unrealised FX losses on the Euro denominated bonds offset by strong operating cash generation

14

Sterling fixed rate notes (net of unamortised financing costs) 294.3 294.0

Euro floating rate notes (net of unamortised financing costs) 275.2 244.2

Revolving Credit Facility 0.0 0.0

Finance Leases and other loans 39.1 36.0

Unamortised financing fees on RCF (0.8) (0.8)

Total external debt net of fees (£m) 607.8 573.4

Cash 78.0 49.9

Restricted cash (6.1) (5.5)

Unrestricted cash and cash equivalents (£m) 71.8 44.4

Total external net debt (£m) 536.0 528.9

Gross leverage (x) 4.5x 4.6x

Net leverage (x) 4.0x 4.2x

LTM Pro Forma Consolidated EBITDA (£m) 134.6 126.0

Q4 2015Q1 2016

15

The market has continued to perform very strongly so far in Q2, driven by Batman v Superman: Dawn Of Justice, Zootropolis and The Jungle Book

UK & Ireland Market

• Market admissions in March 2016 up 9% on prior year

• Batman v Superman: Dawn Of Justice opened strongly, achieving £23.2m GBOR in the last week of March

German Market

• Market admissions in March 2016 down 2% on prior year

• Zootopia (as Zootropolis is titled in Germany) was the top grossing title with €22.3m GBOR

Poland Market


• Local title 7 Rzeczy, Ktorych Nie Wiecie O Facetach was top grossing title with PLN19.7m followed by Zootropolis at PLN12.8m

Italian Market


• Top grossing title was Batman v Superman: Dawn Of Justice with €7.5m GBOR in the last week of March

Key future releases

• April sees the release of Captain America: Civil War and The Jungle Book with X-Men: Apocalypse to follow in May

• Later in 2016, highlights include Finding Dory, The BFG, Fantastic Beasts and Where to Find Them

Current Trading Update and Outlook

15

16

Summary

• Another record breaking quarter for Vue International delivering EBITDA of £58.1m

• Strong combination of international blockbusters (Star Wars) and very strong local product (Quo

Vado? in Italy and numerous titles in Poland)

• Continued development of all key financial metrics and margins, driving 18% EBITDA growth vs Q1 2015 and delivering EBITDA margins of 25.4% in Q1 2016

• LTM EBITDA well above £100m for the fourth quarter in a row; now at £134.6m

• Net leverage down to 4.0x

• Strong line up of movies expected during the course of 2016 and beyond

16

17

Q&A

Further questions can be addressed to [email protected]

[email protected]

Provisional Dates: Q2 2016 Investor Call 19 July 2016 2.00pm

17

mailto:[email protected]

mailto:[email protected]

18

Appendices

18

19

Vue At A Glance As Of 25 February 2016

Aarhus

Odense Copenhagen

Berlin

Magdeburg

Halle

Dresden

Regensburg

Augsburg

Munich

Kiel

Wolfsburg

Hamburg Oldenburg

Bremen

Mulheim Essen

Krefeld Wuppertal

Trier Offenbach

Stuttgart

Heilbronn

Sindelfingen

Freiburg

Germany

Denmark

Gottingen

Wurzburg

Hannover Bielefeld

Elbląg Gdańsk

Sopot Gdynia

Rumia Słupsk

Koszalin

Szczecìn

Bydgoszcz

Poznań Poland

Wloclawek

Lódź Radom

Warsaw

Kielce

Rzeszów Kraków

Rybnik

Zabrze

Wrocław

Zgorzelec

Tychy

Czechowice

Lublin

Katowice

Olsztyn

Cagliari

Cagliari Sestu

Catania

Catanzaro Lamezia

Surbo

Bari

Salerno Nola

Napoli

Montesilvano

Magliana Moderno

Guidonia

Terni Perugia

Novoli

Bologna

Grosseto

Livorno

Parma Parma Campus

Genova

Beinasco

Rozzano Torino

Cerro Vimercate

Odeon

Trieste

Udine Treviso

Padova

Vicenza Verona

Montabello

Dublin

Inverness

Aberdeen

Glasgow Edinburgh

London

Cardiff

Birmingham

Manchester

1. Baltics consists of our operations in Latvia and Lithuania 2. Multiplex cinema site defined as a site with five or more screens

19

Sites 84 33 35 36 1 189

Multiplex % (2) 98.8% 97.0% 94.3% 100.0% 100.0% 97.9%

Screens 803 289 283 362 16 1753

% of screens with

stadium seating

96.0% 99.7% 100.0% 99.4% 100.0% 98.0%

GroupItalyPoland & Baltics

(1)

TaiwanAs at 25 February 2016 UK & Ireland Germany &

Denmark

20

Definitions

Major Territories Total Market GBOR is the aggregate of Total Market GBOR for the UK, Germany, Poland and Italy Vue Major Territories GBOR is the aggregate of Group GBOR in Vue UK (excluding Ireland), CinemaxX (excluding Denmark), Multikino (excluding

Latvia and Lithuania) and Italy Vue Group Admissions includes all paid and unpaid admissions in the period for UK & Ireland, Germany, Italy, Denmark Vue Group ATP is calculated as total Group Box Office Revenue in the period (excluding VAT) divided by Vue Group Admissions Vue Group SPP is calculated as total Group Concessions Revenue in the period (excluding VAT) divided by Vue Group Admissions Vue Group Revenue Per Head is calculated as total Group Turnover for the period (excluding VAT) divided by Vue Group Admissions Restricted Cash relates to rental deposits held in relation to certain Group cinema sites Pro Forma Consolidated EBITDA is defined as per the Quarterly Report to Noteholders published at the same time as this presentation

UK: Q1 2016 the 13 weeks ended 25 February 2016; Q1 2015 the 13 weeks ended 26 February 2015. Market data sourced from IBOE.com/Rentrak for GBOR, DCM for Admissions

Germany: Q1 2016 1 December 2015 to 29 February 2016; Q4 2015 1 December 2014 to 28 February 2015. Market data sourced from IBOE.com/Rentrak

Poland: Q1 2016 the 13 weeks ended 25 February 2016; Q1 2015 the 13 weeks ended 26 February 2015. Market data sourced from Boxoffice.pl

Italy: Q1 2016 1 December 2015 to 29 February 2016; Q4 2015 1 December 2014 to 28 February 2015. Market data sourced from Cinetel

EUR to GBP average exchange rates: 1.3106 for Q1 2016; 1.3318 for Q1 2015 EUR to GBP period end rates: 1.2648 at Q1 2016; 1.4235 at Q4 2015 PLN to GBP average exchange rates: 5.7112 for Q1 2016; 5.6286 for Q1 2015 PLN to GBP period end rates: 5.5254 at Q1 2016; 6.0832 at Q4 2015

Definitions

Currency rates

Market data

20

21

Financial Bridges 2016

These bridges summarise the key reconciling items between the As Acquired and Pro Forma and Statutory financials contained in the separate “Quarterly Report To Noteholders” document which is referred to in slide 2 As Acquired to Statutory: In Q1 2016 the Group had £0.8m of non-cash/non recurring expenses which were excluded from EBITDA in accordance with definitions contained in the Indenture. This includes £0.5m admin expenses in respect of share based payment amortisation in the quarter.

21

As Acquired to Pro Forma

As Acquired Other Pro Forma As Acquired Other Pro Forma

Turnover 228.6 228.6 228.6 228.6 Cost of Sales (87.7) (87.7) (87.7) (87.7)

140.8 140.8 140.8 - 140.8 Admin expenses (53.5) (0.1) (53.6) (53.5) (0.1) (53.6)Rentals under operating leases (29.2) (29.2) (29.2) (29.2)EBITDA 58.2 (0.1) 58.1 58.2 (0.1) 58.1

Non-cash/ non-recurring Items (0.8) 0.1 (0.7) (0.8) 0.1 (0.7)Depreciation (12.1) (12.1) (12.1) (12.1)Amortisation (0.5) (0.5) (0.5) (0.5)Group operating profit/(loss) 44.8 - 44.8 44.8 - 44.8

As Acquired to Statutory

As Acquired Non Rec

Share

Based

Payments Statutory As Acquired Non Rec

Share

Based

Payments Statutory

Turnover 228.6 - 228.6 228.6 - 228.6 Cost of Sales (87.7) - (87.7) (87.7) - (87.7)

140.8 - - 140.8 140.8 - - 140.8 Admin expenses (53.5) (0.3) (0.5) (54.2) (53.5) (0.3) (0.5) (54.2)Rentals under operating leases (29.2) - (29.2) (29.2) - (29.2)EBITDA 58.2 (0.3) (0.5) 57.4 58.2 (0.3) (0.5) 57.4

Non-cash/ non-recurring Items (0.8) 0.3 0.5 - (0.8) 0.3 0.5 - Depreciation (12.1) (12.1) (12.1) (12.1)Amortisation (0.5) (0.5) (0.5) (0.5)Group operating profit/(loss) 44.8 - - 44.8 44.8 - - 44.8

Quarter YTD

13 Weeks ended 25 Feb 2016 13 Weeks ended 25 Feb 2016

YTD

13 Weeks ended 25 Feb 2016

Quarter

13 Weeks ended 25 Feb 2016

22

Financial Bridges 2015

These bridges summarise the key reconciling items between the As Acquired and Pro Forma and Statutory financials contained in the separate “Quarterly Report To Noteholders” document which is referred to in slide 2 As Acquired to Statutory: In Q1 2015 the Group had £0.9m of non-cash/non recurring expenses which were excluded from EBITDA in accordance with definitions contained in the Indenture. This includes £0.5m admin expenses in respect of share based payment amortisation in the quarter.

22

As Acquired to Pro Forma

As Acquired Pro Forma As Acquired Pro Forma


130.6 130.6 130.6 130.6 Admin expenses (51.9) (51.9) (51.9) (51.9)Rentals under operating leases (29.3) (29.3) (29.3) (29.3)EBITDA 49.4 49.4 49.4 49.4

Non-cash/ non-recurring Items (0.9) (0.9) (0.9) (0.9)Depreciation (11.9) (11.9) (11.9) (11.9)Amortisation (0.4) (0.4) (0.4) (0.4)Group operating profit/(loss) 36.2 36.2 36.2 36.2

As Acquired to Statutory

As Acquired Non Rec

Share

Based

Payments Statutory As Acquired Non Rec

Share

Based

Payments Statutory


130.5 - - 130.6 130.6 - - 130.6 Admin expenses (51.9) (0.3) (0.5) (52.8) (51.9) (0.3) (0.5) (52.8)Rentals under operating leases (29.3) (29.3) (29.3) - (29.3)EBITDA 49.4 (0.3) (0.5) 48.5 49.4 (0.3) (0.5) 48.5

Non-cash/ non-recurring Items (0.9) 0.3 0.5 - (0.9) 0.3 0.5 - Depreciation (11.9) (11.9) (11.9) (11.9)Amortisation (0.4) (0.4) (0.4) (0.4)Group operating profit/(loss) 36.2 - - 36.2 36.2 - - 36.2

Quarter YTD


Quarter YTD


23

2015 UK GAAP to IFRS Bridge

23

UK GAAP IFRS

Q1 2015 Q1 2015

Consolidated EBITDA (£m) 47.3 2.1 49.4

Working capital (Trade) 11.6 (0.4) 11.2

Working capital (Non Trade) (4.0) (4.0)

Net capital expenditure (4.6) (4.6)

Tax paid (0.6) (0.6)

Other (including non-cash adjustments) (2.5) (2.5)

Operating cash flow (£m) 47.4 1.6 49.0

Interest costs (16.9) (0.9) (17.8)

Total cash flow excluding debt (£m) 30.5 0.7 31.2

Non cash movements in net debt:

Unrealised FX gain/(loss) on Euro bonds 22.3 (0.3) 21.9

Unrealised FX gain/(loss) on Other (1.0) (1.0)

Amortisation of financing fees on RCF (0.8) 0.7 (0.1)

Amortised cost adjustment on Bond 0.0 (0.6) (0.6)

Repayment of loans/leases 0.0 (0.8) (0.8)

Other 0.3 0.3

Dec/(inc) in net debt (per leverage definition) (£m) 51.3 - (0.2) 51.1

Leases Bond

ValuationCash Flow and Net Debt Movement UK GAAP to IFRS

UK GAAP IFRS

Q4 2015 Q4 2015

Sterling fixed rate notes (net of unamortised financing costs) 300.0 (6.0) 294.0

Euro floating rate notes (net of unamortised financing costs) 252.9 (8.7) 244.2

Revolving Credit Facility 0.0 0.0

Finance Leases and other loans 3.4 32.6 36.0

Unamortised financing fees (14.5) 13.7 (0.8)

Total external debt net of fees (£m) 541.8 32.6 (1.0) 573.4

Cash 49.9 49.9

Restricted cash (5.5) (5.5)

Unrestricted cash and cash equivalents (£m) 44.4 44.4

Total external net debt (£m) 497.4 32.6 (1.0) 528.9

Gross leverage (x) 4.6x 4.6x

Net leverage (x) 4.2x 4.2x

LTM Pro Forma Consolidated EBITDA (£m) 117.8 8.1 - 126.0

Capital Structure and Leverage UK GAAP to IFRSLeases Bond

Valuation

20 April 2016 - Vue International · Top 5 as a % of total market 52.8% The Hobbit: The Battle Of...

Documents

Transcript of 20 April 2016 - Vue International · Top 5 as a % of total market 52.8% The Hobbit: The Battle Of...