Evening of March 8th，Hengdian 188bet sports betting app download and Television releases its first financial report after listing，2017，The company achieved operating income of 25.1.6 billion yuan，10 year-on-year increase.38%，Net profit 3.3.1 billion yuan，Decreased by 7 year-on-year.16%，Net profit after deducting non-recurring gains and losses 2.8.1 billion yuan，Decreased by 7 year-on-year.77%。

Hengdian 188bet sports betting app download and Television is growing in revenue，Net profit decreases，Mainly due to the increase in operating costs of new theaters being higher than their contribution to revenue。For theater chains，The split cost in operating costs is synchronized with the box office revenue，But venue rental、Fixed costs such as equipment depreciation do not change due to box office revenue，Therefore, the gross profit margin fluctuates greatly。2015 and 2016，The gross profit margin of its movie screening business is 16.92% and 10.01%，And in 2017 it was only 4.66%。

2017，Hengdian 188bet sports betting app download and Television has accelerated the pace of building new self-operated theaters，2016，It has 220 self-operated theaters，Screen 1412 blocks，And in 2017，These two numbers are 266 and 1684 respectively，Increases reached 21% and 19% respectively.26%。

Normally，New theaters often have poor box office revenue，Need market cultivation period，Will drag down performance。Excluding the theater’s fixed costs that do not increase due to box office conditions，The sales expenses of Hengdian 188bet sports betting app download and Television in 2017 also reached 68.88 million yuan，A year-on-year increase of 57.94%，Mainly the marketing expenses for new theaters。According to prospectus，Cinema and Maoyan、Online ticketing platforms such as Taopiaopiao may also charge lower fares than the lowest price during settlement，This part of the price difference will also be included in the sales expense as a cost。

Different from other theater chains，Hengdian 188bet sports betting app download and Television’s theater layout is mainly in third, fourth and fifth tier cities，Displayed in annual report，Among the 266 self-operated theaters currently owned by the company and more than 300 contracted theater reserve projects，Third, fourth and fifth tier cities account for up to 70%，All are at a relatively high level among companies in the same industry。

Based on data in the prospectus，As of the first half of 2017，Hengdian 188bet sports betting app download and Television ranks first among the 29 self-operated theaters in its base camp in Zhejiang，In Henan、Anhui and Yunnan have 18 respectively、17 and 16 self-operated theaters，These central and southwestern provinces rank at the forefront in terms of the number of theaters and their contribution to Hengdian 188bet sports betting app download and Television box office revenue，In comparison，The number of theaters in Beijing is less than 5。

Indicated in the annual report，It is expected that the box office in third, fourth and fifth tier cities will account for close to 40% of the total box office in the next three years，The year-on-year box 188bet sports betting app download is above 20%，will become the main driving force for box office growth，The strategic direction of Hengdian Film and Television is to focus on second-tier cities while focusing on deployment，Continue to increase the layout of fast-growing third-, fourth- and fifth-tier cities。

*Source of this 188bet sports betting app download: Tencent Finance，Author: Li Chao，Original title: "First-line》