Chapter 59 Annual Financial Report (4/5)

Being talented doesn't mean you're going to make money.

Otherwise, it will not be Dongyang Media's turn to put up the flag!

They all want to be bosses and be self-sufficient, but who is the one to pay?

Why didn't Ma Xiaokang join directly?

It's not because he feels safe staying in Dongyang!

Zhang Junsheng is particularly optimistic about Wang Shuo and his brothers, especially the third master who is ready to pit a wave of Ye Daying...

The last part of Ye Daying's 'Red Trilogy', "Tiananmen"...

If you remember well, China Film should be in charge of distribution, but China Film did "The Great Cause of the Founding of the People's Republic of China" at the same time.

"The Great Cause of the Founding of the People's Republic of China"

China Film uses all its resources to distribute "The Great Cause of the Founding of the People's Republic of China", and it is foreseeable that "Tiananmen", as a film with the same theme that will be released on the National Day next year, will be fully crushed by "The Great Cause of the Founding of the People's Republic of China"...

A drama can make the dream film and television production capital chain tight...

As for "Custom"...

Wang Shuo is a little out of step with the times, and it's good to be gone.

……

The year-end financial statements are out.

Last year, the total profit of the film division exceeded 1.3 billion;

The two movies "If You Are Honest, Do Not Disturb" have generated 250 million in revenue;

"Painted Skin", "Crazy Stone", "Tengu", overseas copyright more than 40 million US dollars, converted into RMB is 300 million;

The account share of "A Chinese Ghost Story 2" has arrived, and 30% of the global profit share is nearly 60 million US dollars, more than 500 million;

The mainland box office share plus TV copyright and image copyright add a total of 150 million;

The financial report of the film department is very good, and it is also the best of all the departments...

The TV drama department, of course, is also profitable, but it is not as exaggerated as the film department, after all, it is difficult for TV dramas to be exported abroad, and the mainland accounts for the majority of revenue...

However, Tang Ningyu still opened up the copyrights of Japan, South Korea and Southeast Asia, and mainly exported ancient puppet dramas.

The royalties are not high, mainly to cultivate the market, and they have been sold for almost $5 million in Asia;

The total revenue of the TV drama department reached 800 million, of course, after excluding costs, the net profit was only 300 million...

After all, there are many TV stations whose final payments have not yet been settled;

The income of the variety show department has risen steadily, and the current market environment has not yet reached the time to open up outdoor variety shows, and next year's "Dad, Where Are You Going" and "Running Man" will be launched, and the variety show department is likely to account for the majority...

The animation production department has earned nearly 200 million this year by relying on "Pleasant Goat", and "Kung Fu Panda 2" is still in production, and it is estimated that it will be released in September next year...

In fact, animation production is a money-throwing project.

From 2000 to 2018, 22 animation/special effects studios in Hollywood filed for bankruptcy.

Many of these companies are either on the verge of bankruptcy, debt-to-debt, or can only be acquired.

This is mainly related to the unsustainable business model of animation production studios.

Animation/special effects production has always been operated in the form of order, animation production is a labor-intensive technical work, in which the technology and experience often come from a large number of work projects, the more projects the more people.

Each project requires a large number of skilled workers to work on each frame of animation, and is not a one-time replacement for computers or any other high-tech fixed costs.

This business model is genetically similar to other manufacturing factories, and the good studios will continue to expand because they are constantly taking orders. When the studio gets bigger, scheduling becomes the most important part. Like a factory, it is at full capacity to support people, and as long as there is a gap of one to two months, it will face the danger of disconnection of funds.

The order-taking model of animation production is exactly the same as that of a manufacturing factory, but all other factors are not as controllable and self-explanatory as manufacturing.

But unlike manufacturing factories, although the animation industry has been moving in the direction of industrialization, animation and special effects still have a certain creative component, rather than clothes, shoes, or teacups that can be copied on a large scale through templates.

To a certain extent, it is a process operation, but to a certain extent, it requires animators to express creatively, so it is difficult to replicate production on a large scale like ordinary manufacturing.

At the same time, animation production is also at the lowest end of the value chain in the film and television industry, and it is usually not charged according to working hours, but according to specific project completion indicators, which will bring great rework time costs and labor cost risks to producers.

When an animation studio gets a list, there is only one way to bid, which is called fixed bidding, that is, no matter what changes occur after the bidding, the specified project must be completed within the budget.

The common price is $10 million for 500 shots, and you pay for the number of shots, not the time it takes to complete the project. The inherent contradiction between Party A and Party B leads to Party A asking for as much rework as possible, and the studio needs to bear additional labor costs, and it is difficult to guarantee profits.

Even Yuehua Animation and Yuehua Special Effects have been operating at a loss so far...

However, next year, the company will launch three heavy industrial films, "Notes on Tomb Robbery", "Ghost Blowing the Lamp" and "Di Renjie", which require a large number of special effects shots, and the special effects department charges according to the market price, which should be able to ensure that the balance of payments is guaranteed...

The artist agency project has been separated separately, but it is also slightly mentioned, with a revenue of 200 million...

Xu Yan alone contributed 80 million in revenue, which is only one-third of her endorsement and commercial performance expenses...

After Weibo was launched, Xu Yan's personal Weibo was controlled by professionals, and the current number of followers is 14 million, a proper Weibo queen!

Cargo capacity MAX!

……

The main business department has a good development trend, and Yuehua Video and Yuehua Cinema Line are a bit of a lag...

Especially Yuehua Video, which has been buying copyrights all year this year, has spent more than 1 billion on it!

Although, "Let's Date" has set the highest peak of the online variety show advertising business, and the naming fee alone has reached a sky-high price of 60 million!

Nearly 1 million people sold Yuehua Video's VIP, but with an expenditure of 1 billion, coupled with its own sky-high operating expenses, Yuehua Video lost nearly 800 million...

There is no hurry, next year, the State Administration will promulgate the "Notice on Strengthening the Management of Internet Audio-Visual Program Content" and the "Permit for Information Network Dissemination of Audio-Visual Programs", and will sweep away a large number of pirated websites with lightning speed...

When the time comes, I'll see what you video sites with no copyright will do!

As for the cinemas...

The return of the cinema chain is a long-term project...

The theme park has become independent, and Zhang's father and mother are major shareholders, that thing, Zhang Junsheng is a little unable to play, Zhen Jiba wastes money...

Except for Yenching's theme parks, which can currently generate profits, other places, only in and out...

Even Zhang's father is a bit struggling to eat eight theme parks in one go...

Fortunately, Zhang's father signed a cooperation agreement with several house sellers, and the land around the theme park was sold, and with the support of the political axe, it is estimated that the theme park will become a new source of income in five years at most.