When the 10 Movie plan made Hollywood boiling, Denise Entertainment's mid year financial audit came to an end.
It took Simon three days to read the dozens of pages of financial reports from the company's financial department.
Overall, Denise Entertainment's revenue focus in the first half of the year was still on the four films "scream", "steel Magnolia", "death Poetry Society" and "Rain Man" at the end of last year.
During the six months from January 1 to June 30, the domestic box office of the four films continued to earn $263 million, and Denise entertainment got $121 million from this part of the box office. The reason why the proportion of box office share is lower than the average 55% is mainly due to the ladder sharing scheme of cinema screening. After a film is released, the proportion of box office share gradually decreases.
Overseas, the total revenue of the four films is $356 million, including $95.15 million for scream, $12.37 million for steel magnolia, $86.32 million for death Poetry Society and $163.65 million for rain man.
This box office data will increase in the second half of the year, but the potential is very small.
Compared with the data in the original time and space, the overseas box office of the four films has obviously shrunk. Except for "steel Magnolia", which has a huge gap between the overseas box office and the local box office, because the overseas audience is too small, the box office shrinkage of the other films is mainly due to Denise Entertainment's lack of overseas distribution ability and the fact that many overseas ticket storage countries have not yet opened the film market The reason for this.
Moreover, even though most of the overseas box office countries have opened up the film market in this era, they still impose various restrictions on Hollywood films to protect the domestic film industry, such as low share, high tax and delaying the schedule. For example, the average share of danilisi entertainment from overseas box office is only 33%,
in addition, some overseas box office countries that are too small or have more stringent policy restrictions Although the box office still accounts for the total box office data at home and abroad, it does not participate in the share.
Simon remembers that the situation will improve rapidly after the 1990s.
By calculation, the total overseas box office revenue contributed by the four films to danielis entertainment is $116 million.
As for the new films released this year, as of June 30, six films including "Thunderbolt Blue Angel" and "Metropolis man" in the first half of the year have made a total revenue of 123 million US dollars, while "the sixth sense" released on June 30 has been excluded from this statistics, with a total revenue of 73 million US dollars.
In the family entertainment business, when Harry meets Sally, which was released at the end of last year, the number of videos sold in the first half of the year was 2.93 million. According to the unit price of $29.9, the sales reached $87.6 million.
In the basic agreements with various trade unions, although the film companies count 80% of the video revenue as the cost, and only 20% of the remaining revenue is shared, in fact, the gross profit from the sales of each box of video can generally reach 40% to 50% of the sales unit price, and the proportion of gross profit of "when Harry meets Sally", a hot new film, will be even higher.
As a result, the release of the video of "when Harry meets Sally" alone brought in more than $46 million in gross profit for daenerys entertainment.
Taking into account the revenue of some other fragmented projects, according to comprehensive statistics, in the first half of the year, danilisi Entertainment's film business generated nearly US $900 million in box office, video and other aspects. Of the total industry output value, danilisi Entertainment's own revenue was US $395 million.
Behind the rich revenue, it also means huge expenditure.
In the first half of the year, danylis entertainment had more than ten films at all stages of formal production, of which Batman alone had a budget cost of US $50 million. In addition, the bodyguard, sixth sense, uncle buck, scream 2 and other projects also required a lot of expenses.
At the same time, Denise entertainment has invested a large amount of publicity expenses in the cinema distribution of local and overseas films.
Finally, taking into account a series of large expenses, such as the construction of Malibu Daniels studios, the establishment of many overseas branches, the repayment of some matured loans, and the equally important tax factors, the net profit scale of Daniels Entertainment's film business in the first half of the year was only US $51.19 million, with a net interest rate of less than 13%.
TV business.
Compared with movies, the TV business in the first half of the year was a bit poor. Danielis TV's revenue focus was still four reality shows. Since the beginning of this year, the TV Department has signed three new drama production contracts with the TV network. However, two episodes of last year were cut down because of low ratings after the spring season.
According to this statistics, danielis TV company has just 10 TV programs in operation, including six TV dramas and four reality shows.
Because the profit figure of reality TV, which is the largest income, is basically determined, the total revenue of danilisi entertainment TV business in the first half of the year is US $232 million. Similarly, after apportioning a large amount of expenses, the net profit scale of the TV Department is $36.82 million, and the net interest rate is also only 16% which is not too high.Cartoon business.
Although the launch of Batman project attracted the attention of the industry to Marvel Entertainment, in the first half of the year, the cartoon company still kept a low-key operation. The revenue of $39.71 million and the profit of $2.26 million had little impact on the overall performance of Denise entertainment.
However, the first half of the financial report, there is not no bright spot, that is, Nancy Brill led the consumer goods department.
After several adjustments, danielis entertainment consumer products department is mainly responsible for the company's peripheral product development of a series of film and television projects, the distribution of original sound records and part of the advertising business.
Of course, "who will be a millionaire" and other reality shows are still sponsored by Denise TV company, which belongs to the advertising department of Denise TV company. The consumer goods department only undertakes the peripheral product development of several reality shows. The so-called advertising business is mainly the embedded advertising cooperation of Denise Entertainment's films and TV series.
In the first half of the year, the energetic little woman invested in blockbuster, founded danielis analysis company, and started Blizzard studio. It seems that she is not doing her job properly, but the operation of the consumer goods department has not fallen behind at all.
Through the peripheral product operation of the two key projects "scream" and "Beverly's wife", the peripheral product business of the consumer goods department has opened up a situation at one stroke. The two projects aimed at different consumer groups have successfully established two targeted retail channels for the consumer goods department, one for teenagers, and the other for housewives. These two groups are just the same They are the two groups with the greatest consumption potential.
After the successful peripheral operation of "scream" and "Beverly's wife", the development of peripheral products of other films of the company has been carried out more smoothly.
In terms of original sound records, although the original sound records such as "death poetry club" and "Rain Man" launched by the record department are far from reaching the height of "bodyguard" original sound records, they have also achieved fairly good sales. As of June 30, the sales data of Rain Man's original record has exceeded 5 million, which is very rare for pure music records.
In the final advertising business, Simon is very cautious in order to avoid the audience's disgust caused by the company's blind advertising placement in films and TV plays.
Nancy Brill didn't blindly pursue improper advertising placement. However, due to the success of a series of films of danielis entertainment last year, there are so many companies that want to cooperate with the company in brand cooperation, and the offer is also very generous. Under the premise of Simon's avoiding the proliferation of advertising, Nancy Brill still passed Batman, angel's miracle, and The brand cooperation of such projects as "pretty girl" and "ghost love" has brought rich revenue to the company.
As a result, in the six months of the first half of last year, the revenue of the consumer goods department, which had not made much input, exceeded 200 million US dollars and reached 207 million US dollars.
However, because Nancy Brill pursues more long-term business development than short-term profits, a large amount of money has been invested in product production, channel construction, publicity and marketing. The company even has a toy factory in Rhode Island on the east coast unconsciously. In addition, the consumer goods department also needs to share other expenses of the company As a result, the profit margin was lower, only 9.5%, with a net profit of US $19.71 million.
Finally, overall, Denise entertainment had total revenue of $873 million and net profit of $110.78 million in the first two quarters of this year.
Compared with cersei capital's huge income from Japanese financial market, Denise Entertainment's net profit of $110 million seems insignificant. However, Simon has always been very clear that this company is his foundation, and opportunities in the financial market can not be available every year. As he becomes more and more attractive, it is more and more difficult for him to make profits in the financial market. Investment in the field of science and technology is generally not effective until ten or twenty years later.
The low profit scale of Denise entertainment is mainly due to the rapid expansion of Denise entertainment.
Moreover, the net profit of US $110 million in half a year is definitely not low. This level of profitability in this era can easily squeeze into the "Forbes" top 100 list of North American enterprises.
More than 50 kilometers away from the coastline of Los Angeles City, a luxury yacht with a length of more than 60 meters is quietly moored at sea level.
It's August 6, Sunday.
This weekend, Simon did not continue to work, but once again chose to rest.
However, this is not a simple rest.
James Leibold has come from New York in recent days to discuss the company's affairs. At the same time, he has to help Simon introduce some people, to be exact, some politicians.
It's on this yacht.
Simon does not intend to use illegal means in the process of expanding political contacts, everything is in accordance with the "federal election act" and other public rules. However, he also hopes that this matter can be carried out as low-key as possible. At least, he has no intention of appearing in the newspaper media with a politician in public.
In two days, including David Dinkins and Simon, who are making the final preparations for the New York mayoral election at the end of the year, they met with six politicians, all of whom Westeros has confirmed will provide financial support. In addition to David Dinkins, there are five other people. One is a senator from the California Senate, two representatives from the California house of Representatives, one from New York State and one from California.These people are also Democrats. Since they have decided to stand in line, Simon does not intend to bet on both sides in the short term.
What's more, Simon didn't select the star politicians who paid close attention to him. He basically selected several people who had good ability after careful investigation and didn't identify the potential stocks in the background. In the United States, elections are held every two years. It seems very frequent, but in fact, the chances of re-election are very high. Some evergreen politicians can even be re elected for more than 10 terms.
Simon does not seek immediate rewards from these people.
The first batch of "investments" in the early stage were mainly to build up contacts, so as to avoid Denise Entertainment's black eye at the top of the Federation when something happened.
In the long run, it would be good if these people could support the expansion of Westeros three or five years later. Ten or eight years later, if someone could enter the core of federal power and still stand on the side of Westeros, it would be a big profit.
In the evening, Simon finally ended his last meeting of the weekend.
After seeing the New York State Senator off in a helicopter, Simon and James walked to a table and chair on the top terrace of the yacht near the tarmac.
At sunset, the horizon is covered with fire clouds, rendering a magnificent sea sky scenery.
Jennifer brought them a pot of coffee herself, but she went to another set of tables and chairs and sat down, quietly looking down to read a magazine.
James glanced at his daughter, sighed a little, and continued to say to Simon, "I'll send you some other candidate lists. There's also a consulting company that provides election investigation and campaign planning for parties. It's just established. Its headquarters is located in Greenwich, Connecticut, near New York. Although it has just been established, Joseph schrap, the founder of this company, and his family have deep political experience and contacts. I think this is a good opportunity. Simon, we can set up a special fund to support this company for a long time. "
It is impossible for political investment to seek direct monetary returns. The establishment of non-profit funds can also transform capital investment into tax avoidance capital to the greatest extent.
"I'll take the time to look at the information first." Simon didn't immediately nod his head and said, "in addition, we can probably transfer another $50 million from Denise entertainment to you this time. We can't use the overseas funds in a year."
"Fifty million dollars is pretty good. Recently, I also sorted out the company's finance. In the first half of the year, the technology companies we invested in contributed about $37 million in dividends, which was lower than that of last year. The main reason is that several companies of Microsoft, which are heavily invested by us, did not implement dividends. However, considering the original accumulation, the money is enough to maintain the company's operation. " James said, thinking of another thing, he said: "in addition, among the remaining three companies that can reduce their holdings at any time, AMD's stock price has been falling recently. Now its market value is 50% lower than when we bought it two years ago. I don't think it's necessary to stay."
AMD, of course, is Intel's "little enemy.".
I can't help it.
I remember when I bought amd two years ago, the market value of the company was about $900 million, with a total investment of about $45 million. Simon didn't pay attention to this issue recently. At this time, James said that the market value of AMD may have fallen to $600 million, compared with Intel's market value of $6 billion
Well, it can't be compared.
However, considering that AMD can survive for more than 20 years, there is no need to leave now. Maybe it will make up for the loss when it comes back.
Simon shook his head with a smile and said, "we don't have enough money now. Keep holding."
James nodded in agreement.
After finishing the business, I casually talked about the recent news of danielis entertainment.
After sitting on the terrace for half an hour, the helicopter flew back. Simon, James and Jennifer boarded the helicopter and returned to Malibu.
Back on shore, the rebalders turned down Simon's invitation to join the Warner Brothers party for dinner with Jennifer's uncle, George Normans.
Simon took a break at his home on the west side of Cape Dumay and set off for downtown Los Angeles.