REG - Everyman Media Grp - Full Year Results to 1 January 2026
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RNS Number : 1862C Everyman Media Group PLC 28 April 2026
28 April 2026
Everyman Media Group PLC
("Everyman" the "Company" or the "Group")
Full Year Results to 1 January 2026
Everyman Media Group plc (AIM: EMAN) today announces its audited financial
results for the 52-week period ended 1 January 2026.
Highlights
Adjusted(1) Statutory(1)
FY25 FY24 Change(3) FY25 FY24 Change(3)
52 52 % 52 53 %
weeks weeks weeks weeks
Revenue £m 116.6 103.7 12.4% 116.6 107.2 8.8%
Loss before tax £m (5.2) (6.3) 18.2% (10.2) (10.2) 0.3%
EBITDA post IFRS-16 £m 17.0 15.4 10.6% 12.0 11.5 4.5%
Net debt £m 21.6 18.1 21.6 18.1
Admissions m 4.4 4.2 6.1% 4.4 4.3 2.3%
SPH £ 11.32 10.69 5.9% 11.32 10.64 6.4%
Paid for ATP £ 12.51 11.99 4.3% 12.51 11.98 4.4%
Market share % 5.8% 5.4% 40 bps 5.8% 5.4% 40 bps
Growth across all key metrics and increased market share
· Admissions of 4.4m, up 6.1%(2) (FY24 52-week period: 4.2m)
· Revenue of £116.6m, up 12.4%(2) on adjusted FY24 (FY24 52-week period:
£103.7m)
· Statutory Loss before tax £10.2m, up 0.3% (FY24 53-week period £10.2m loss)
· EBITDA (post‑IFRS 16) of £17.0m, up 10.6%(2) on adjusted FY24 (FY24 52-week
period: £15.4m)
· Food & Beverage Spend Per Head of £11.32, up 5.9%(2) (FY24 52-week
period: £10.69)
· Paid‑for Average Ticket Price of £12.51, up 4.3%(2) (FY24 52-week period:
£11.99)
· Net debt of £21.6m (FY24: £18.1m), reflecting investment in venue expansion,
purchase of the Barnet long leasehold and working capital requirements
(1) A reconciliation between Statutory and Adjusted results is included in the
financial review. Statutory results for 2024 were for the 53‑week
reporting period. Adjusted results for 2024 exclude Week 53.
(2) Year-on-year percentages reported are against the comparable 52-week
period metric which is the primary comparative for 2025 reporting.
(3) The YOY change %'s are calculated on unrounded numbers.
Operational progress in 2025
· Market share increased to 5.8% (FY24: 5.4%), +40bps, reflecting the strength
of the Group's premium proposition and audience appeal
· Two new venues were opened during the year, Brentford and the Whiteley
(Bayswater) flagship site
· Continued growth in Membership, up 18.5% to 66,910 members, reinforcing the
value of a loyal audience
Growth trajectory pillars: looking ahead
· Using data and consumer insight to refine our film curation across core and
growing segments including Family and Gen Z to increase our footprint
· Prioritising optimisation rather than expansion, with no new venues opening in
2026 whilst planning is underway to invest in limited number of new venues for
2027 funded through free cash flow
· Unlocking opportunities to grow revenue beyond core, including expanding
income from partnerships, events and corporate private hire
· Disciplined venue management and leadership to create operational efficiency
and productivity whilst delivering an enhanced guest experience
· Targeted technology investment to support a more seamless customer journey and
improved value in membership offering
· Further innovation in high quality, on trend Food & Beverage leveraging
consumption patterns which support increases in spend per head
Outlook
· Trading performance in Q1 2026 has started well. We are encouraged by a strong
film slate this year, with highlights including Hamnet, Wuthering Heights,
Michael, The Devil Wears Prada 2, Toy Story 5, The Oydssey, Spider-Man: Brand
New Day, Avengers: Doomsday and Dune: Part Three
· New Chief Executive and Chief Financial Officer in place focused on delivering
shareholder value by maintaining the Everyman customer experience, executing
the key growth trajectory pillars and de-leveraging the Group
Farah Golant CBE, CEO, commented: "We enter 2026 with positive momentum and
clearly defined priorities. The year ahead is about resetting to drive growth
by building strong audience engagement, creating operational efficiencies,
unlocking emerging new sources of income whilst reducing debt.
Through expert film curation, beautifully designed signature spaces and a
differentiated hospitality offering in strategically located venues, the
Everyman brand is well placed to meet the demand for premium cinema
experience."
For further information, please contact:
Everyman Media Group plc Tel: 020 3145 0500
Farah Golant CBE, CEO
Sheree Manning, CFO
Canaccord Genuity Limited (NOMAD and Broker) Tel: 020 7523 8000
Bobbie Hilliam
Elizabeth Halley-Stott
Alma (Financial PR Advisor) Tel: 020 3405 0205
Rebecca Sanders-Hewett everyman@almastrategic.com
Joe Pederzolli
Emma Thompson
About Everyman Media Group PLC:
Everyman is a leading UK cinema and entertainment brand, redefining the
premium theatrical experience. Everyman operates a growing estate of 49 venues
with 171 screens nationally providing a first class cinema with a distinctive
hospitality style.
Our competitive strengths are:
· Expert film-curation spanning mainstream and independent new releases, cult
classics, documentaries and live theatre / music screenings.
· An emphasis on high quality on-trend, food and drinks prepared in house and
served to seat.
· Beautifully designed signature spaces in strategically located venues which
are desirable social destinations in their communities.
· Motivated and empathetic team members committed to creating unforgettable
guest experience.
For more information visit http://investors.everymancinema.com/
Chairman's statement
Introduction
2025 again demonstrated the strength of Everyman's distinctive proposition and
its enduring relevance to audiences across the UK. As a premium, experiential
cinema brand, we continue to stand apart in a sector that is evolving rapidly.
The performance delivered this year reflects both the resilience of our model
and the commitment of our teams, whose focus on quality and creativity remains
central to our success.
Review of the business
As previously announced softer trading was experienced by the wider industry
in the fourth quarter and particularly in December. Despite this the Group
delivered growth across its key financial and operational metrics during the
year. Revenue and EBITDA both increased, supported by higher admissions,
disciplined pricing, and strong Food & Beverage growth. Importantly, in a
market where UK box office revenue grew 1% in 2025, Everyman grew its market
share by 7%. We benefitted from our premium positioning and loyal guest
base.
Operationally, we continued to strengthen the quality and reach of our estate.
In the year, we opened two new venues, located in London, bringing the
Everyman experience to two new communities. Alongside this, we delivered
meaningful developments in guest experience, technology, and brand engagement.
These improvements, together with robust Food and Beverage performance and
growth in ancillary revenue, underline the breadth of opportunity within the
existing estate.
Board changes
2025 was also a year of significant Board change. During the year and post
period end, we have taken steps to strengthen the leadership team to support
the next phase of our growth.
In December 2025, Alex Scrimgeour stepped down as Chief Executive and Will
Worsdell later stepped down as Finance Director. The Board thanks them both
for their commitment and contribution during a period of financial and
operational progress, particularly as the business emerged from the pandemic.
We were pleased to appoint Farah Golant CBE to the Board in September and
subsequently as Chief Executive; her experience, clarity of thought and focus
on strategic and operational delivery make her well placed to guide the
business through this next chapter. The appointment of Sheree Manning as Chief
Financial Officer further strengthens our leadership team, bringing
significant experience of financial and public markets discipline. We also
welcomed the expanded role of Charles Dorfman as Interim Creative Director,
adding further creative leadership to the Group.
On behalf of the Board, I would like to thank our teams for their dedication
and contribution during the year. Their efforts continue to support the
strength of the business and deliver high-quality guest service, giving us
confidence as we look ahead.
Outlook
2026 will be a year of consolidation, focus and foundation building. The Board
fully supports management's strategy to prioritise optimisation of the
existing estate, deepen audience engagement, modernise technology, and
strengthen operational discipline. These actions will position the Group for a
return to measured expansion from 2027 onwards.
Our ambition remains to build on Everyman's strengths and deliver sustainable
long-term value. With a refreshed leadership team, a loyal customer base, and
a differentiated brand, the Group is well placed to navigate this phase. We
enter the year ahead with a clear sense of purpose, a disciplined approach to
execution, and a shared focus on realising the business's full potential.
Philip
Jacobson
Non-Executive Chairman
28 April 2026
Chief Executive statement
Introduction
I assumed the Interim CEO role in January 2026 and have moved at pace to
assess the business, the brand the community of 4.4 million guests we served
across 49 venues. The results we are announcing today relate to a period prior
to my appointment, and I want to acknowledge the efforts of the team who
delivered them. Their commitment to driving the business has built a solid
foundation from which we can now accelerate with greater focus and discipline.
For 2025 the Group report an operating loss of £2.9m (2024: £3.4m) mainly as
a result of a net impairment charge of £2.9m (2023: £2.6m). The loss before
tax was £10.2m (2024: £10.2m) due to additional interest charges on lease
liabilities relating to the increased number of venues. These results are
explained in more detail in the Financial Review.
2025 performance reflects a year of meaningful progress, alongside a number of
challenges. We achieved growth across all our key metrics including
admissions, market share, spend per head, and membership. At the same time,
2025 played out against a varied market backdrop. Whilst total annual UK box
office revenue reached £1.1 billion in 2025, representing 1% growth on the
prior year and the strongest post-pandemic performance to date, we also saw
weaker than expected UK Box Office revenue in Q4 FY25 which impacted the
Group's financial performance relative to market expectations.
We are now refocusing our efforts with an eye on the immediate and medium-term
future. I have spent my first 90 days engaging with our people, our guests,
our venues and our partners. We have put in place several workstreams designed
to drive key aspects of business growth. What is immediately clear is the
distinctive position the Everyman brand holds as a pioneer in premium cinema
experience for our audiences and staff alike. Aspirational brands such as
Rolex, Emirates, Barclays and Range Rover partner with us, as do media brands
such as Times+. Alongside its prestigious partnership with the Academy Museum,
The Whiteley (which opened in August 2025) hosted a number of Q&As and
special screenings in the lead up to the BAFTA Awards, in partnership with
Netflix and MUBI.
We have strong ambition for the next phase of growth: elevating the Everyman
experience, expanding our footprint with discipline, strengthening our brand
relevance, and unlocking new avenues for audience engagement. The market
continues to evolve, and Everyman is exceptionally well placed to lead that
evolution. I look forward to working with the management team and the Board to
deliver long-term, sustainable value for shareholders.
Financial Overview
2025 performance was shaped by mixed industry dynamics. Adjusted Revenue
increased by 12.4% to £116.6m (FY24: £103.7m; FY24 (53 weeks) £107.2m(1)),
supported by additional venues, higher admissions, improvements in average
ticket pricing and an increase in Food & Beverage spend per head.
Adjusted EBITDA post-IFRS16 rose 10.6% to £17.0m (FY24: £15.4m; FY24 (53
weeks) £16.2m(1)), reflecting stable underlying performance. This delivery
was notwithstanding the softer industry trading in the fourth quarter. The UK
Box Office declined by 10% year-on-year in December, driven by several key
franchise titles underperforming their predecessors, most notably Avatar: Fire
and Ash and Wicked: For Good, both of which tracked below the Box Office
performance of earlier films in their series. A combination of factors
impacted performance in the final months of 2025, as previously announced, and
this in turn has provided insights that will inform our approach in the year
ahead.
We increased our market share to 5.8% (FY24: 5.4%), up 40 bps, and delivered
growth across all our key revenue generating metrics.
· Admissions increased to 4.4m, up 6.1% on last year (FY24:
4.2m).
· Average Ticket Price increased 4.3% to £12.51 (FY24:
£11.99).
· Food & Beverage Spend per Head was £11.32, up 6.1%
(FY24: £10.69).
At the period-end net debt was £21.6m (FY2024: £18.1m), reflecting normal
investment cycles in the estate, working capital requirements and the
acquisition of the Barnet long leasehold for £1.1m. As previously outlined,
we remain focused on managing net debt and reducing leverage, while
maintaining a disciplined approach to organic growth.
(1) FY24 was a 53-week trading year. As a result, the comparable 52-week
period metrics have been included above as the main comparative.
Operational progress
During the year, we opened a three-screen venue in Brentford, and a
five-screen flagship at The Whiteley, Bayswater. Both sites reflect Everyman's
differentiated and evolving design identity, with The Whiteley forming part of
Norman Foster's major West London redevelopment. No new venue openings are
planned for 2026. Beyond 2026, other venues are in advanced stages of
negotiation; however, the Board remains mindful of measured expansion funded
mainly through free cash flow.
At the end of the year, the Group operated 49 venues with 171 screens:
Location Number of Screens Number of Seats Number of Screens Number of Seats
London venues
Altrincham 4 247 Baker Street 2 118
Bath 4 229 Barnet 5 429
Birmingham 3 328 Belsize Park 1 129
Bristol 4 476 Borough Yards 2 194
Bury St. Edmunds 3 228 Brentford 3 231
Cambridge 5 321 Broadgate 3 264
Cardiff 5 253 Canary Wharf 3 266
Chelmsford 6 411 Chelsea 3 201
Cheltenham 5 369 Crystal Palace 4 313
Clitheroe 4 255 Hampstead 2 194
Edinburgh 5 407 Kings Cross 4 276
Egham 4 275 Maida Vale 2 149
Esher 4 336 Muswell Hill 5 478
Gerrards Cross 3 257 Screen on the green 1 125
Glasgow 3 201 Stratford International 3 247
Harrogate 5 410 The Whiteley, Bayswater 5 344
Horsham 3 239
Leeds 5 611
Lincoln 4 291
Liverpool 4 288
London, 16 venues (see breakdown) 48 3,958
Manchester 3 247
Marlow 2 161
Newcastle 4 215
Northallerton 4 274
Oxted 3 212
Plymouth 3 190
Reigate 2 170
Salisbury 4 311
Stratford-Upon-Avon 4 384
Walton-On-Thames 2 158
Winchester 2 236
Wokingham 3 289
York 4 329
171 13,566 48 3,958
Operationally, 2025 saw upgrades to the Everyman mobile app including the
launch of Food and Beverage self-ordering. This supported increased Food &
Beverage Spend per Head, up 6% YoY, as did ongoing menu development. Food
& Beverage is a major contributor of EBITDA, so continued innovation to
improve our offering and in turn increase spend per head remains a focus.
In the year we have strengthened operational capability through the
appointments of Rebecca Tooth as Operations Director and Leo Brend as
Technology Director. Rebecca comes with over 20 years' experience in
hospitality and Leo, with extensive cinema experience, is leading our data and
technology transformation. Sheree Manning was appointed as Chief Financial
Officer in February 2026. Sheree brings over two decades of experience in
senior finance and public markets, that will guide the Group through this next
phase. In March 2026, we welcomed Chris Green as Marketing Director, whose 20
years of industry experience scaling entertainment brands will further support
our transformation initiatives.
Brand-building activity in 2025 resulted in a significant year-on-year
increase in membership, up 18.5% to 66,910 (FY24: 56,486). We
expanded our social media presence and at the period-end Everyman is the
leading UK cinema circuit by number of Instagram followers at 133k, +29%.
Other revenue streams, including private hire and events, also increased year
on year providing more opportunities for pop-ups, bespoke screenings and
distributor collaborations.
Growth trajectory - reset and reignite
Since my appointment, I have reviewed the business growth trajectory and how
to unlock value from our existing estate while maintaining financial
discipline. The company is prioritising optimisation - using data and local
insight to refine our film curation and improve performance from newly
redefined venue cohorts. A stronger emphasis is being placed on enhancing the
guest experience, with tailored offerings for key segments such as families
and students, alongside innovating in on- trend food & beverage
offerings. Membership is a key area for development. Members visit at
materially higher frequency than non-members and generate higher food &
beverage spend per head, reinforcing their importance as a commercially
valuable and engaged segment of the customer base.
We see opportunities to grow revenue beyond the core. Everyman aims to expand
income from partnerships, events, community activities and corporate hire,
supported by marketing and operational testing at a local level. At the same
time, targeted investment in technology can create a more seamless online
guest journey for ticketing and optional pre-ordering as well as develop a
centralised data platform to enable better decision-making across the
business.
The company is reinforcing its foundations through stronger operational
discipline and leadership. A clearer focus on cost control, capital
allocation, and venue profitability is intended to improve margins and reduce
debt. This is complemented by a strengthened leadership team and continued
investment in staff development to further differentiate our brand offering.
Outlook
We have entered 2026 with positive momentum. The global cinema market is
projected to expand at an annual rate of approximately 2.9%, driven by ongoing
demand for premium content and shared entertainment. Trading performance in Q1
2026 has started well. We are encouraged by a strong film slate scheduled
across the year, with highlights including Hamnet, Wuthering Heights, Michael,
The Devil Wears Prada 2, The Oydssey, Spider-Man: Brand New Day, Avengers:
Doomsday and Dune: Part Three.
2026 is a year of reset and refocus on our distinctive position to meet the
demand for premium cinema experience. We are building further capabilities
that will define the next phase of our growth.
The uncertainty in the trading environment due to inflationary pressures, in
particular utility and food prices, can be addressed by keeping our focus on
what drives demand from experience-led cinema goers. There is a growing
pattern of 'in-real-life' culture as audiences increasingly seek places to
gather and connect beyond the home. With the rebound of the Box Office
offering a strong and more consistent film slate; to the opportunity that
extends beyond content to experience-led events, now more than ever Everyman
can meet and build the demand from our engaged consumers. Through expert film
curation, beautifully designed signature spaces, a distinctive hospitality
offer and strategically located venues, we are positioned to succeed in a
rapidly evolving sector.
Farah
Golant
CEO
28 April 2026
Strategic Report
The Directors present their strategic report for the Group for the 52 week
period ended 01 January 2026 (comparative period: 53 week period ended 02
January 2025).
Review of the business
The Group report statutory revenue of £116.6m (FY24: £107.2m). The Group
made a statutory loss after tax of £10.3m (FY24: £8.5m). Non-GAAP adjusted
EBITDA (post IFRS-16) was £17.0m (FY24: £15.4m).
The Finance Director's Statement contains a detailed financial review. Further
details are also shown in the Chief Executive's Statement and consolidated
statement of profit and loss and other comprehensive income, together with the
notes to the financial statements.
Principal risks and uncertainties
The Board has overall responsibility for risk management and internal controls
and considers risk assessment to be important in achieving its strategic
objectives. The Board evaluates the principal risks and uncertainties during
the course of the year to consider the potential effects to our business
model, which could adversely affect the revenue, profit, cash flow and assets
of the Group and operations, or which may prevent the Group from achieving its
strategic objectives. The Board has identified 9 principal risks which are set
out below.
For 2025, inflation and consumer environment risks have been merged (risk 2)
and three new risks have been added to the principal risks and uncertainties
list being People and Compliance (risks 8-9).
1 Film release schedule - The level of the Group's box office revenues
fluctuates throughout the course of any given year and are largely dependent
on the timing of film releases, over which the Group has no control. The Group
mitigates variable box office revenue through high-quality programming,
widening the sources for new content and creating other strands such as
Throwbacks and Everyman Beyond, which showcase older and independent titles.
The Group also focuses on creating a great overall experience at venues,
independent from the films themselves.
2 Inflation and Consumer environment - There is a risk to the cost base from
inflation, given the current economic and geopolitical environment. To
mitigate this, wherever possible, the Group enters into long-term contracts
and works very closely with suppliers to improve efficiencies and negotiate
terms. A reduction in consumer spending because of broader economic factors
could impact the Group's revenues however, the Group continues to monitor long
term trends in the broader leisure market and ensure we focus on what drives
demand from experience-led cinema goers.
3 Alternative media channels - The proliferation of alternative media channels,
including streaming, has introduced new competitive forces for the film-going
audience, which was accelerated by the pandemic. To date this has proven to be
a virtuous relationship, both increasing the investment in film production and
further fuelling an overall interest in film with guests of all ages. The
Board considers that the Everyman business model works well alongside other
film channels. To maintain this position we must continue to deliver an
exceptional experience and deliver real added value for our guests.
4 Climate change - The Group's cinema admissions could suffer because of extreme
or unseasonal weather conditions during periods of exceptionally hot weather
or heavy snowfall. The Group is unable to directly affect its guests response
to climate change but continues to work towards developing a net zero carbon
emissions strategy and is compliant with climate-related financial disclosure
requirements under the Companies (Strategic Report) (Climate-Related Financial
Disclosure) Regulations 2022 ("CRFD"), which are aligned to the Taskforce on
Climate-Related Financial Disclosures framework ("TCFD").
5 IT systems, data and cyber security - The Group's systems and networks support
its day-to-day operations. The possibility of data breaches and system
attacks would have a material impact on the Group through potentially exposing
the business to a reduction in service availability for guests, potentially
significant levels of fines, and reputational damage. To mitigate this risk,
the IT infrastructure is continually reviewed and assessed to ensure that the
latest security patches are in place and that ongoing security processes are
regularly updated. This is supported by regular simulation system penetration
testing and back-ups.
6 Film piracy - Film piracy, aided by technological advances, continues to be a
real threat to the cinema industry generally. Any theft within our venues may
result in distributors withholding content to the business. Everyman's
typically smaller, more intimate auditoria, with much higher occupancy levels
than the industry average, make our venues less appealing to film thieves.
7 Reputation - The strong positive reputation of the Everyman brand is a key
benefit, helping to ensure the successful future performance and growth which
also serves to mitigate many of the risks identified above. The Group focuses
on guest experience and monitors feedback from many different sources. A
culture of partnership and respect for guests and our suppliers is fostered
within the business at all levels. We continue to see our market share
increase and receive extremely positive guest feedback.
8 People - Loss of key management may restrict our ability to deliver the Group
strategy. The Group continually reviews and optimises organisational
structures, talent development, recruitment, succession planning, reward
structures and competitive incentive plans. The Group is an equal opportunity
employer and is compliant with relevant employment laws.
9 Compliance - Failure to adhere to regulatory requirements such as listing
rules, taxation, health and safety, planning regulations and other laws may
lead to financial penalties and reputational damage. The Group completes
compliance documentation for venue health and safety, and food safety audits,
twice per year. We run regular training and development to ensure we have
appropriately qualified staff. The Group seeks expert opinion where relevant
on other specialist compliance areas including listing rules, taxation, health
and safety, planning regulations and other laws.
10 Competition - The Group operates in a competitive landscape, with other cinema
operators present within the catchment area of many of its venues. Everyman
differentiates its offering with expert film curation, beautifully designed
signature spaces, a distinctive hospitality offer, excellent guest services
and high quality food & beverage.
Financial risks
The Board has overall responsibility for the determination of the Group's risk
management objectives and policies. The overall objective of the Board is to
set policies that seek to reduce risk as far as possible without unduly
affecting the Group's competitiveness and flexibility. The Group's operations
expose it to a variety of financial risks including liquidity, interest rate
and credit risks. The Group has controls in place to limit the impact of
adverse effects of these risks on the Group. The Group takes out suitable
insurance against property and operational risks where considered material to
the anticipated revenue of the Group.
Liquidity risk
Financial resilience is central to our decision making and will remain key for
the foreseeable future. We prepare short-term and long-term cash flows,
Group adjusted EBITDA (pre and post IFRS 16) and covenant forecasts to ensure
risks are identified early. The banking facility, with Barclays and Natwest,
has quarterly covenant obligations which are set at level that the Group is
forecasting to be within. The Board regularly reviews liquidity forecasts and
these form a part of the monthly Board packs.
Interest rate risk
The Group has direct exposure to interest rate movements in relation to
interest charges on bank borrowings, with a 1% increase in rates resulting in
an increase in interest charges of £0.3m on current forecast borrowings over
the next twelve months. The Board manages this risk by minimising bank
borrowings and reviewing forecast borrowing positions.
Credit risk
Credit risk is the risk of financial loss to the Group if a customer or
counterparty to a financial instrument fails to meet its contractual
obligations and arises principally from the Group's receivables from
customers. The Group attempts to mitigate credit risk by assessing the credit
rating of new customers prior to entering into contracts and by entering into
contracts with customers with agreed credit terms.
Financial Review
Introduction
The financial information presented is as at and for the 52 week financial
periods ended 1 January 2026 ("2025"). The comparative period is for the 53
week period ended 2 January 2025 ("2024"). Adjusted results for 2024 are
presented on a 52 week basis.
Basis of presentation of results
The Group presents adjusted results to provide additional clarity and
understanding of the Group's underlying trading. Adjusted results are before
depreciation, amortisation, profit or loss on disposal of Property, Plant
& Equipment, pre-opening expenses and certain exceptional items. 2024
Adjusted results exclude the additional week of trading ("Week 53").
The Group has presented Non-GAAP adjusted EBITDA on both a pre- and post-IFRS
16 basis. The post-IFRS 16 measure is stated before the deduction for rent
paid in the period, and remains the key metric for internal decision-making,
with the pre-IFRS 16 measure used for loan facility compliance.
All results within the Financial Review are adjusted results, unless
specified. A reconciliation between Statutory and Adjusted results is shown
at the end of this report.
Financial highlights for the 52 weeks ended 1 January 2026(1)
· Statutory Revenue of £116.6m (FY24: 107.2m), up 8.8%
· Statutory Gross profit of £76.8m (FY24: £69.1m), up 11.2%
· Statutory Operating loss of £2.9m (FY24: £3.4m loss)
· Statutory Loss before tax £10.2m (FY24: £10.2m loss)
· Basic loss per share of 11.35p (FY24: 9.36p).
· Adjusted Revenue of £116.6m (FY24: £103.7m), up 12.4%
· Adjusted Gross profit of £76.8m (FY24: £67.0m), up 14.6%
· Adjusted Operating profit of £2.1m (FY24: £0.5m profit)
· Non-GAAP adjusted EBITDA post IFRS16 of £17.0m (FY24:
£15.4m), up 10.6%
· Net banking debt £21.6m (FY24: £18.1m)
· Admissions of 4.4m, up 6.1% versus the 52-week comparative,
(FY24 53 weeks: 4.3m)
Adjusted results(2) Statutory results(3)
2025 2024 2025 2024
£'000 £'000 £'000 £'000
Revenue 116,596 103,748 116,596 107,173
Cost of sales (39,761) (36,722) (39,761) (38,106)
Gross profit 76,835 67,026 76,835 69,067
Gross profit margin 65.9% 64.6% 65.9% 64.4%
Other income 698 506 986 506
Administrative expenses excluding D&A (60,509) (52,146) (65,796) (58,068)
Depreciation and amortisation ("D&A") (14,963) (14,867) (14,963) (14,867)
Operating profit/(loss) 2,061 519 (2,938) (3,362)
Net finance (expense) (7,244) (6,855) (7,244) (6,855)
Loss before tax (5,183) (6,336) (10,182) (10,217)
Tax (charge)/credit (1,171) 941 (164) 1,682
Loss after tax (6,354) (5,395) (10,346) (8,535)
Earnings per share (pence) (6.97) (5.92) (11.35) (9.36)
EBITDA pre IFRS-16 9,182 8,271 4,183 4,390
EBITDA post IFRS-16(2) 17,024 15,386 12,025 11,505
EBITDA post IFRS-16 margin 14.6% 14.8% 10.2% 10.7%
Net debt 21,582 18,117 21,582 18,117
(1) The YOY % change is calculated on unrounded numbers.
(2) A reconciliation between Statutory and Adjusted results is shown at the
end of this report.
(3) 2024 Adjusted EBITDA post IFRS16, including Week 53 trading was
£16,170,000
During the period, the Group has benefited from opening two new venues at
Brentford and The Whiteley (Bayswater) and from the new venues opened in 2024
at Bury St Edmunds, Cambridge and Stratford International.
The Statutory operating loss was £2.9m (FY24: £3.4m) which includes a net
impairment charge of £2.9m in the period (FY24: £2.7m). The Statutory loss
after tax was £10.3m (FY24: £8.5m) due to additional interest charges on
lease liabilities relating to the increased number of venues and a deferred
tax charge of £0.2m (2024: £1.7m tax credit) which are further described
below.
The Group report adjusted revenue of £116.6m and adjusted operating profit of
£2.1m (FY24: £103.7m and £0.5m respectively). Adjusted EBITDA post
IFRS-16 was £17.0m (FY24: £15.4m) reflecting an EBITDA margin of 14.6%
(FY24: 14.8%). Group adjusted loss after tax of £6.4m (FY24: £5.4m) and
basic loss per share of 6.97p (FY24: 5.92p).
Group net debt was £21.6m at the period-end (2024: £18.1m), with the
increase utilised to support the Group's working capital requirements, venue
expansion and purchase of long leasehold at Barnet.
Revenue
The Group delivered revenue of £116.6m, growth of 12.4% on Adjusted Revenues
for 2024. Adjusted revenue for 2024 excludes £3.4m of revenue from Week 53
trading.
Adjusted results Statutory results
2025 2024 2025 2024
£'000 £'000 £'000 £'000
Film and entertainment 55,601 50,082 55,601 51,849
Food and beverages 49,926 44,414 49,926 45,881
Other 11,069 9,252 11,069 9,443
Total Revenue 116,596 103,748 116,596 107,173
Film and entertainment revenue grew 11.0% period-on-period, compared to
Adjusted Revenues for 2024, which exceeded UK box office revenue growth of 1%
in 2025. Paid for Average Ticket Price of £12.51 (FY24: £11.99), was a
4.3% increase compared to the prior period. Admissions were 4.4m, an
increase of 6.1% on the 52-week prior period comparative.
Market share increased from 5.4% to 5.8% in 2025 (+7%) aided by two new venue
openings in the period, as well as the benefit of prior period openings. Key
films which exceeded market share in 2025 included Bridget Jones: Mad About
the Boy, Wicked: For Good, F1 The Movie, Mission: Impossible - The Final
Reckoning, Downtown Abbey: The Grand Finale, One Battle After Another, The
Roses and A Complete Unknown.
Food & beverage revenue grew 12.4% period-on-period, when compared to
adjusted revenues for 2024, with spend per head ("SPH") increasing by 5.9% to
£11.32 (FY24: £10.69), compared to adjusted SPH for 2024. This growth was
primarily supported by increased venues, admissions, and ongoing menu
development.
Other revenue grew by 19.6% period-on-period, when compared to adjusted
revenues for 2024. This included memberships which grew by 18.5%, reaching
66,910 members (2024: 56,486).
Gross profit
Gross profit is calculated as revenue less directly attributable cost of goods
sold and does not include any employee costs. Gross profit was £76.8m, a
14.6% increase when compared to the adjusted Gross profit for 2024.
Gross profit margin was 65.9% for 2025 (Adjusted Gross profit margin FY24:
64.6%), with the improvement due to continued strong cost control by our Film
and Procurement teams.
Other income
Adjusted Other income of £0.7m (FY24: £0.5m) comprises landlord
compensation. Statutory other income includes landlord compensation of
£0.7m (FY24: £0.5m) and a £0.3m gain on the disposal of the Barnet
occupational lease. During the period, the Group exited the Barnet
occupational lease and acquired the long leasehold for £1.1m including
associated acquisition costs. The derecognition of the occupational lease
gave rise to a £0.3m exceptional gain in the period.
Administrative expenses Adjusted results Statutory results
2025 2024 2025 2024
£'000 £'000 £'000 £'000
Administrative expenses excluding D&A (60,509) (52,146) (65,796) (58,068)
Depreciation & amortization (14,963) (14,867) (14,963) (14,867)
Total Administrative expenses (75,472) (67,013) (80,759) (72,935)
Adjusted administrative expenses excluding D&A were £60.5m (FY24:
£52.1m), a 16.0% increase in the period, comprising of:
· Employment costs were £35.7m (FY24: £30.3m), increasing by
17.8%. This was due to additional employees required to support new venues,
the rise in National Insurance contribution ("NIC") from 13.8% to 15% in April
2025, and the National Living Wage ("NLW") which increased by 6.7% in April
2025 (FY24: 9.8% increase). The combined NIC and NLW changes contributed to
£1.1m of the period-on-period employment cost increase (FY24: £1.5m
increase).
· Property costs were £12.1m (FY24: £11.1m), increasing by 8.1%
in the period due to the new venues opened during 2025 and the impact of
venues opened in 2024.
· Other costs were £12.7m (FY24: £10.7m), increasing by 19.2%
in the period due to new venues and higher cleaning, IT and marketing costs.
Statutory administrative costs include £5.3m of exceptional costs (FY24:
£4.7m), which are further described below, and 2024 includes Week 53
administrative costs of £1.3m.
Exceptional costs Statutory results
2025 2024
£'000 £'000
Restructuring, transformation and other costs (777) (316)
Share-based payment expense (541) (594)
Loss on disposal of property, plant and equipment (265) (241)
Pre-opening expenses (758) (888)
Impairment of assets (2,946) (2,626)
Total Exceptional costs (5,287) (4,665)
Exceptional costs include:
· Restructuring costs, and transformation costs were incurred in
the period in relation to the termination of certain employment, IT and guest
relations contracts and transforming the guest relations team. The prior
period exceptional costs mainly related to technology transformation costs,
professional advisory fees and recruitment costs relating to certain Head
Office teams.
· Share based payments charge are treated as an adjusting item as
this vests over a number of years and the charge does not directly relate to
the current periods trading.
· The loss on disposal of property, plant and equipment is
treated as an exceptional item as management does not consider this to be an
ordinary trading activity for the Group.
· Pre-opening expenses mainly include venue staff costs (new
venue preparation and staff training) and property expenses (such as
utilities, service charges and business rates) incurred prior to a new venue
opening.
· As part of the year end process, the Board carried out a
detailed review of the performance of all venues in order to identify
indicators of potential impairment. The Board considered factors including
overall venue profitability, cashflows, growth levels achieved and local
market conditions when making this assessment. Where indicators were
identified, a full impairment review based on future cash-flows was performed.
The annual impairment assessment requires an estimate of the recoverable
amount by reference to a judgement of future cash flows from venues, details
of the key assumptions utilised in the assessment are discussed in note 18 to
the financial statements. As a result of the assessment, a number of venues
were highlighted where future cashflows did not support the carrying value of
the assets associated with the specific location, resulting in an impairment
charge.
Total Administrative Expenses (Exceptional costs) includes a net impairment
charge of £2.9m (FY24: £2.6) comprising:
o an impairment charge of £4.1m (FY24: £2.6m). This is based on the
Board's assessment that, at the Balance Sheet date, the present value of
future cash flows was lower than the carrying amount of the assets of each
identified cinema including Right-of-Use Asset and Property, Plant and
Equipment, plus allocated goodwill where applicable.
o an impairment reversal of £1.2m (FY24: nil), relating to one venue. The
impairment reversal was supported by the Board's assessment that the
conditions which resulted in the initial impairment no longer existed, and
that the venues performance had improved. The present value of future cash
flows, representative of the operations of the venue under the new
environment, were higher than the carrying amount of the assets which
collectively supported the reversal of the historic impairment charge.
Whilst an impairment has been recognised, the Board anticipates that the UK
Box Office will continue to improve during 2026 and 2027 and will closely
monitor the impact of this on any venues with carried forward impairment to
Right-of-Use Assets and Property, Plant and Equipment, in the event that any
charges previously incurred can be reversed.
Depreciation and amortisation
The depreciation and amortisation charge of £15.0m in the period (FY24:
£14.9m) includes £9.9m charge for tangible assets (FY24: £10.0m), £4.3m
Amortisation of right of use assets (ROUA) (FY24: £4.1m) and £0.8m
amortisation of intangible assets (FY24: £0.8m).
Finance Expense
Financial expenses were £7.2m (FY24: £6.9m) relating mainly to interest
charges on the Group's lease liabilities and banking facilities. £0.3m of the
increase relates to the impact of new leases entered into during the period,
£0.1m relates to the increased draw down on the Group's Revolving Credit
Facility partly offset by the benefit of lower underlying interest rates and
£0.1m lower bank loan arrangement fees.
Taxation
The Group has a statutory tax charge of £0.2m for the period (2024: £1.7m
credit) comprising £1.5m increased Deferred tax liabilities associated with
property, plant and equipment allowances partly offset by £1.2m increased tax
losses recognised as a Deferred tax asset.
The Group's statutory effective tax rate at the period-end is 1.6% due to
deferred tax assets not recognised on structural building allowances and
depreciation on fixed assets which did not qualify for capital allowances.
In the prior period, the Group's effective tax rate of 16.5% is due to fixed
assets which do not qualify for capital allowances, and a prior year
adjustment.
The net deferred tax asset at the period-end of £4.3m includes £12.9m of tax
losses (gross brought forward losses of £50.6m), £0.5m of IFRS16 deferred
tax assets, offset by £9.1m of property, plant and equipment deferred tax
liabilities, and £0.2m of other deferred tax liabilities.
The Group continues to recognise the tax losses as a deferred tax asset due to
increased certainty over future trading performance. The gross brought forward
tax losses are expected to be utilised by the Group over the next five
years.
The Group has £6.7m of deferred tax assets that are unrecognised at the
period-end.
The Group's adjusted tax charge of £1.2m for the period (FY24: £0.9m
credit), is driven by non-qualifying depreciation and tax losses
unrecognised. The prior year adjusted tax credit of £0.9m is driven by
non-qualifying depreciation partially offset by a prior year adjustment.
The main difference between the 2025 statutory and adjusted tax is due to the
impairment charge which gives rise to a £0.7m deferred tax credit.
Non-GAAP adjusted EBITDA
In addition to performance measures directly observable in the financial
statements, the following additional performance measures are used internally
by management to assess performance:
· Non-GAAP Adjusted EBITDA
· Admissions
· Paid-for Average Ticket Price
· Food & Beverage Spend per Head
Management believes that these measures provide useful information to evaluate
performance of the business as well as individual venues, to analyse trends in
cash-based operating expenses, and to establish operational goals and allocate
resources.
Non-GAAP adjusted EBITDA is defined as earnings before interest, taxes,
depreciation, amortisation, profit or loss on disposal of Property, Plant
& Equipment, impairment, share based payments, pre-opening expenses,
exceptional costs and excludes Week 53, 2024.
Non-GAAP adjusted EBITDA post-IFRS16 was £17.0m (FY24: £15.4m, FY24 (Week
53): £16.2m). Non-GAAP adjusted pre-IFRS16 was £9.2m (2024: £8.3m).
The reconciliation between operating profit/(loss) and non-GAAP adjusted
EBITDA is presented below:
Adjusted results Statutory results
2025 2024 2025 2024
£'000 £'000 £'000 £'000
Operating profit/(loss) 2,061 519 (2,938) (3,362)
Depreciation and amortisation 14,963 14,867 14,963 14,867
EBITDA post IFRS16(1) 17,024 15,386 12,025 11,505
Rent costs (7,842) (7,115) (7,842) (7,115)
EBITDA pre IFRS-16 9,182 8,271 4,183 4,390
(1) 2024 Adjusted EBITDA post IFRS16 including Week 53 trading was
£16,170,000.
The Group has presented Non-GAAP adjusted EBITDA on both a pre- and post-IFRS
16 basis. The post-IFRS 16 measure, is before a deduction for rent paid in the
period, and remains the key metric for internal decision-making, with the
pre-IFRS 16 measure used for loan facility compliance.
The reconciliation between operating profit/(loss) as determined under IFRS to
adjusted operating profit is presented below:
2025 2024
£'000 £'000
Operating loss as determined under IFRS (2,938) (3,362)
Adjustments:
Exceptional gain on disposal of Barnet occupational lease (288) 0
Exceptional costs 777 316
Share-based payment expense 541 594
Loss on disposal 265 241
Pre-opening expenses 758 888
Impairment of fixed assets 2,946 2,626
Week 53, 2024 trading 0 (784)
Total adjusting items 4,999 3,881
Adjusted operating profit 2,061 519
Balance sheet
2 January 2026 1 January 2025
£'000 £'000
Non-current assets 175,818 182,168
Current assets 16,285 18,233
Total assets 192,103 200,401
Current liabilities 31,176 30,271
Non-current liabilities 134,280 133,678
Total liabilities 165,456 163,949
Net assets 26,647 36,452
Net assets reduced by £9.8m from £36.5m to £26.7m reflecting the statutory
loss after tax of £10.3m, offset by the share-based payment credit to
reserves of £0.5m.
Non-current assets
Non-current assets reduced by £6.4m in the period, principally due to
amortisation, depreciation and impairment charges on Right-of-use assets and
Property, Plant Equipment which exceeded additions from new venues.
Current assets
Cash and cash equivalents of £8.4m (FY24: £9.9m) reduced by £1.5m in the
period due to working capital requirements, venue expansion and purchase of
the Barnet long leasehold.
Current liabilities
Trade and other payables of £27.5m (FY24: £28.1m) includes higher deferred
revenue reflecting stronger membership at period-end.
Current right of use lease liabilities increased by £1.4m in the period, with
the total lease liability of £106.4m reducing by £0.1m compared to the prior
period.
Non-current liabilities
Borrowings increased by £2.0m in the period, as the RCF was utilised to
support the Group's working capital requirements and venue expansion.
Non-current right of use lease liabilities decreased by £1.4m.
Cash Flow and Liquidity
The Group ended the period with cash and cash equivalents of £8.4m (FY24:
£9.9m) and net banking debt of £21.6m (FY24: £18.1m). The increase in net
debt was to support working capital requirements, venue expansion and Barnet
long leasehold purchase. The Directors believe that the Balance Sheet
remains well capitalised, with sufficient working capital to service ongoing
requirements.
Net cash generated from operating activities was £15.5m (FY24: £21.6m) with
a net cash outflow for the period of £1.5m (FY24: £3.2m inflow). Operating
Cash Flow included a working capital inflow of £0.4m (2024: £6.6m outflow).
Cash flow used in investing activities was £13.0m (FY24: £16.1m) which
includes £9.6m spend on expansionary capital expenditure before landlord
contribution (FY24: £11.2m), £1.1m purchase of Barnet long leasehold and the
remainder on maintenance capital expenditure. The expansionary capital
expenditure was mainly for payments for the new venues Brentford and The
Whiteley (Bayswater), and residual payments for new venues opened in 2024.
Cash flow used in financing activities was £3.5m (FY24: £2.3m). This
includes £7.8m in capital and interest lease payments (FY24: £7.7m), £2.2m
in interest payable on borrowings (FY24: £2.3m), offset by £2.0m net
drawdown (FY24: £2.0m) and the receipt of £4.5m in landlord contributions
(FY24: £5.7m) in relation to its new venues opened in the period.
Free Cash Flow Pre New Openings was £1.9m in the period (FY24: £6.5m).
Free Cash Flow Pre New Openings is defined as operating cash flow less lease
payments (excluding contributions from new openings), investing cash flow
(excluding payments made for new openings/long leaseholds), and interest paid
on borrowings.
Banking
The Group retains its £35.0m three-year loan facility with Barclays Bank Plc
and National Westminster Bank Plc, which was agreed on 17 August 2023. The
facility also includes an additional £5m accordion element, subject to lender
consent. In December 2025, the Group agreed to extend the facility to 30
August 2027 to ensure that the Group had certainty over its banking facilities
and ensure it was well positioned to take advantage of opportunities moving
forwards.
Covenants on the loan facility are based on Adjusted Leverage and Fixed Charge
Cover. The Group's current forecasts demonstrate that the Group will remain
within these covenants for the foreseeable future.
At the end of the year, the Group had drawn down £30.0m (2024: £28.0m) on
its facilities and held £8.4m in cash (2024: £9.9m). The undrawn facility
was £5.0m (2024: £7.0m) and net banking debt £21.6m (2024: £18.1m).
Annual General Meeting
The Annual General Meeting of the Company will be held on 25 June 2026 at
9:30am at Everyman Cinema Hampstead, 5 Holly Bush Vale, London NW3 6TX.
Consolidated statement of profit and loss and other comprehensive income for
the year ended 01 January 2026
52 weeks ended 53 weeks ended
01 January 02 January
2026 2025
Note £000 £000
Revenue 6 116,596 107,173
Cost of sales (39,761) (38,106)
Gross profit 76,835 69,067
Other operating income 11 986 506
Administrative expenses (80,759) (72,935)
Operating loss (2,938) (3,362)
Financial expenses 12 (7,244) (6,855)
Loss before tax (10,182) (10,217)
Tax (charge)/credit 13 (164) 1,682
Loss for the year (10,346) (8,535)
Total comprehensive loss for the year (10,346) (8,535)
Basic loss per share (pence) 14 (11.35) (9.36)
Diluted loss per share (pence) 14 (11.35) (9.36)
All amounts relate to continuing activities. There are no items of other
comprehensive income other than the loss for the period.
Non-GAAP measure: adjusted EBITDA 52 weeks ended 53 weeks ended
01 January 02 January
2026 2025
£'000 £000
Statutory operating (loss) as determined under IFRS (2,938) (3,362)
Adjustments:
Depreciation and amortisation 15/16/17 14,963 14,867
Loss on disposal of Property, Plant & Equipment 15 265 241
Gain on disposal of lease 16 (288) -
Impairment 18 2,946 2,626
Pre-opening expenses(1) 758 888
Exceptional costs(2) 777 316
Share-based payment expense 29 541 594
Adjusted EBITDA post IFRS16 - 52 weeks (2024: 53 weeks)(3) 17,024 16,170
Remove Week 53, 2024 - (784)
Adjusted EBITDA post IFRS16 - 52 weeks (2024: 52 weeks)(3) 17,024 15,386
(1) Pre-opening expenses mainly include venue staff costs (new venue
preparation and staff training) and property expenses (such as utilities,
service charges and business rates) incurred prior to a new venue opening.
(2) Exceptional costs mainly relate to restructuring costs, Technology and
Guest relation transformation costs. The prior year exceptional costs mainly
related to Technology transformation costs, professional advisory fees and
recruitment costs relating to certain Head Office teams.
(3) The Group has presented Non-GAAP adjusted EBITDA post-IFRS 16. The
post-IFRS 16 measure is stated before the deduction for rent paid in the
period, and remains the key metric for internal decision-making, with the
pre-IFRS 16 measure used for loan facility compliance. A reconciliation
between pre- and post-IFRS 16 EBITDA is presented in the Financial Review.
(1) Pre-opening expenses mainly include venue staff costs (new venue
preparation and staff training) and property expenses (such as utilities,
service charges and business rates) incurred prior to a new venue opening.
(2) Exceptional costs mainly relate to restructuring costs, Technology and
Guest relation transformation costs. The prior year exceptional costs mainly
related to Technology transformation costs, professional advisory fees and
recruitment costs relating to certain Head Office teams.
(3) The Group has presented Non-GAAP adjusted EBITDA post-IFRS 16. The
post-IFRS 16 measure is stated before the deduction for rent paid in the
period, and remains the key metric for internal decision-making, with the
pre-IFRS 16 measure used for loan facility compliance. A reconciliation
between pre- and post-IFRS 16 EBITDA is presented in the Financial Review.
Consolidated balance sheet at 01 January 2026
Registered in England and Wales
Company number: 08684079
01 January 02 January
2026 2025
Note £000 £000
Assets
Non-current assets
Property, plant and equipment 15 103,120 104,586
Right-of-use assets 16 59,277 63,515
Intangible assets 17 8,795 9,247
Deferred tax assets 27 4,323 4,487
Trade and other receivables 20 303 333
175,818 182,168
Current assets
Inventories 19 936 964
Trade and other receivables 20 6,931 7,386
Cash and cash equivalents 22 8,418 9,883
16,285 18,233
Total assets 192,103 200,401
Liabilities
Current liabilities
Trade and other payables 21 27,543 28,125
Lease liabilities 16 3,633 2,146
31,176 30,271
Non-current liabilities
Loans and borrowings 22 30,000 28,000
Other provisions 2 1,550 1,596
(file:///C:/Users/G_McCooke/AppData/Local/Microsoft/Windows/INetCache/Content.Outlook/DF2B1RAR/Consolidated%20(live).xlsx#Note!A931)
6
Lease liabilities 16 102,730 104,082
134,280 133,678
Total liabilities 165,456 163,949
Net assets 26,647 36,452
Equity attributable to owners of the Company
Share capital 28 9,118 9,118
Share premium 57,112 57,112
Merger reserve 11,152 11,152
Other reserve 83 83
Accumulated losses (50,818) (41,013)
Total equity 26,647 36,452
These financial statements were approved by the Board of Directors and
authorised for issue on 28 April 2026 and signed on its behalf by:
Sheree Manning
Chief Financial Officer
Consolidated statement of changes in equity for the year ended 01 January 2026
Share capital £000 Share premium £000 Merger reserve £000 Other reserve £000 Accumulated losses Total Equity £000
£000
Note
Balance at 28 December 2023 9,118 57,112 11,152 83 (33,072) 44,393
Loss for the year - - - - (8,535) (8,535)
Total comprehensive loss - - - - (8,535) (8,535)
Share-based payments 29 - - - - 594 594
Total transactions with owners of the parent - - - - 594 594
Balance at 02 January 2025 9,118 57,112 11,152 83 (41,013) 36,452
Loss for the year - - - - (10,346) (10,346)
Total comprehensive loss - - - - (10,346) (10,346)
Share-based payments 29 - - - - 541 541
Total transactions with owners of the parent 541 541
Balance at 01 January 2026 9,118 57,112 11,152 83 (50,818) 26,647
Consolidated cash flow statement for the year ended 01 January 2026
01 January 02 January
2026 2025
Note £000 £000
Cash flows from operating activities
Loss for the year (10,346) (8,535)
Adjustments for:
Financial expenses 12 7,244 6,855
Tax charge/ (credit) 27 164 (1,682)
Operating (loss) (2,938) (3,362)
Depreciation and amortisation 15,16,17 14,963 14,867
Loss on disposal of property, plant and equipment 15 265 241
Impairment 18 2,946 2,626
Gain on lease disposal 16 (288) -
Share-based payment expense 29 541 594
15,489 14,966
Changes in working capital:
Decrease/(increase) in inventories 28 (106)
Decrease/(increase) in trade and other receivables (284) (2,330)
(Decrease)/increase in trade and other payables (185) 9,045
Net cash generated from operating activities 15,048 21,575
Cash flows from investing activities
Acquisition of property, plant and equipment (11,543) (15,433)
Acquisition of long leasehold 16 (1,084) -
Acquisition of intangible assets (347) (640)
Net cash used in investing activities (12,974) (16,073)
Cash flows from financing activities
Repayment of bank borrowings 22 (1,000) (3,000)
Drawdown of bank borrowings 22 3,000 5,000
Lease payments - interest 16 (4,764) (4,363)
Lease payments - capital 16 (3,080) (3,330)
Landlord capital contributions received 16 4,473 5,680
Interest paid (2,168) (2,251)
Net cash used in financing activities (3,539) (2,264)
Net (decrease)/increase in cash and cash equivalents (1,465) 3,238
Cash and cash equivalents at the beginning of the year 9,883 6,645
Cash and cash equivalents at the end of the year 8,418 9,883
At the period-end, the Group had £5,000,000 of undrawn funds available of a
£35,000,000 revolving credit facility (2024: £7,000,000 of a £35,000,000
revolving credit facility).
Notes to the financial statements
1 General information
Everyman Media Group PLC and its subsidiaries (together, the Group) are
engaged in the ownership and management of cinemas in the United Kingdom.
Everyman Media Group PLC (the Company) is a public company limited by shares
registered, domiciled and incorporated in England and Wales, in the United
Kingdom (registered number 08684079). The address of its registered office is
Studio 4, 2 Downshire Hill, London NW3 1NR. All trade takes place in the
United Kingdom.
2 Basis of preparation and accounting policies
This final results announcement for the year ended 01 January 2026 has been
prepared in accordance with the UK adopted International Accounting Standards.
The accounting policies applied are consistent with those set out in the
Everyman Media Group plc Annual Report and Accounts for the year ended 01
January 2026.
The financial information contained within this final results announcement for
the year ended 01 January 2026 and the year ended 2 January 2025 is derived
from but does not comprise statutory financial statements within the meaning
of section 434 of the Companies Act 2006. Statutory accounts for the year
ended 2 January 2025 have been filed with the Registrar of Companies and those
for the year ended 01 January 2026 will be filed following the Company's
annual general meeting. The auditors' report on the statutory accounts for the
year ended 01 January 2026 is unqualified, does not draw attention to any
matters by way of emphasis and does not contain any statement under section
498 of the Companies Act 2006.
The consolidated financial statements of the Group have been prepared in
accordance with UK adopted International Accounting Standards.
The financial statements are prepared on the historical cost basis.
The preparation of financial statements in compliance with UK adopted
International Accounting Standards requires the use of certain critical
accounting estimates, it also requires Group management to exercise judgements
and estimates in preparing the financial statements. Their effects are
disclosed in the notes below.
The accounting policies set out below have, unless otherwise stated, been
applied consistently to all periods presented in these Group financial
statements. The Group prepares its financial statements on a 52/53 week basis.
The year end date is determined by the 52nd Thursday in the year. A 53rd week
is reported where the year end date is no longer aligned with 7 days either
side of 31st December. The year ended 01 January 2026 is a 52-week period. The
comparative period is a 53-week period.
These financial statements are presented in British pounds, which is the
functional currency of all entities in the Group. All financial information
has been rounded to the nearest thousand, unless otherwise stated.
Going concern
Current trading is in line with management expectations. Given the increased
number of wide releases year-on-year, commitment to the theatrical window from
distributors and new investment from streamers in content for cinema,
management expect admissions to continue to recover towards pre-pandemic
levels. Paid for Average Ticket Price and Spend per Head have continued to
grow steadily despite well-publicised concerns over consumer spends.
Banking
The Group retains its £35.0m RCF facility with Barclays Bank and National
Westminster Bank Plc, which was agreed on 17 August 2023. The facility also
includes an additional £5m accordion element, subject to lender consent. In
December 2025, the Group agreed to extend the facility to 30 August 2027 to
ensure that the Group had certainty over its banking facilities and ensure it
was well positioned to take advantage of opportunities moving forwards.
Covenants on the facility are based on Adjusted Leverage and Fixed Charge
Cover. The Group has operated within these covenants all year and expects to
continue to do so going forward.
At the period-end, the Group had drawn down £30.0m on its Revolving Credit
Facility ("RCF") and held £8.4m in cash; therefore, the net banking debt was
£21.6m and the undrawn RCF was £5m.
The Group's RCF has leverage and fixed charge cover covenants. The Board has
reviewed forecast scenarios and is confident that the business can continue to
operate with sufficient headroom. These forecasts include prudent assumptions
around increased to admissions, as well as wage increases and inflation.
In light of this, the Board consider it appropriate to adopt the going concern
basis of accounting in preparing the financial statements.
Base case Scenario
The Directors assessed the prospects of the Group over a five-year period
which reflects the projections for 2026 to 2031 in line with the planning
cycle adopted by the Group. The assessment considers the Group's current
financial position and the principal risks and uncertainties facing the Group
including those that would threaten the business model, future performance,
solvency and liquidity.
Sensitivity analysis is applied to the projections to determine the potential
effects should the principal risks and uncertainties occur, individually or in
combination. The Board also assessed the likely effectiveness of any proposed
mitigating actions.
The Directors are satisfied that the Group will be able to operate with
sufficient financial flexibility and headroom for the foreseeable future,
which comprises the period of at least 12 months from the approval of the
financial statements, up to 30 April 2027.
The forecast assumes that admissions grow as the film slate recovers towards
pre-pandemic levels, as well as the full year benefit from the two venues
opened mid-2025. The forecast also assumes the opening of a new venue in
Lichfield in the first quarter of 2027. Corresponding capital investment has
been included for all new openings.
In this scenario the Group maintains significant headroom in its banking
facilities.
Stress testing
The Board considers assumptions on admissions to be realistic, particularly
considering current trading and the stronger, more consistently-phased 2026
film slate. A reduction in admissions of 2.9% during 2026 and 2027 has been
modelled. This scenario would not cause a breach in the Adjusted Leverage and
Fixed Cover Charge covenants.
If such a scenario were to occur, where the covenants were at risk of
breaching, Management would be able to temporarily reduce administrative
expenditure to increase EBITDA and avoid a breach, without material impact to
the Group's operations and the quality of the guest experience. The Group also
has the ability to delay the deployment of capital expenditure.
The Directors believe that the Group is well-placed to manage its financing
and other business risks satisfactorily and have a reasonable expectation that
the Group will have adequate resources to continue in operation for at least
12 months from the signing date of these consolidated financial statements.
The Board considers that a 2.9% reduction in admissions is very unlikely,
particularly in light of business performance in the first quarter of 2026. As
a result, the Board does not believe this to represent a material uncertainty,
and therefore consider it appropriate to adopt the going concern basis of
accounting in preparing the financial statements.
Use of non-GAAP profit and loss measures
The Group believes that along with operating loss, adjusted EBITDA provides
additional guidance to the statutory measures of the performance of the
business during the financial year. The reconciliation between operating loss
and adjusted EBITDA is shown on page 46.
Adjusted EBITDA post IFRS16 is calculated by adding back depreciation,
amortisation, profit or loss on disposal of Property, Plant & Equipment,
pre-opening expenses, certain exceptional items and to remove Week 53, 2024
trading. Adjusted EBITDA post IFRS16 is an internal measure used by management
as they believe it better reflects the underlying performance of the Group
beyond generally accepted accounting principles.
Basis of consolidation
The consolidated financial statements include the results of the Company and
all its subsidiary undertakings made up to the same accounting date.
Subsidiaries are entities controlled by the Group. Where the Group has
power, either directly or indirectly so as to have the ability to affect the
amount of the investor returns and has exposure or rights to variable returns
from its involvement with the investee, it is classified as a subsidiary.
Intra-Group balances and transactions, and any unrealised income and expenses
arising from intra-Group transactions, are eliminated. Unrealised losses are
eliminated in the same way as unrealised gains, but only to the extent that
there is no evidence of impairment.
Merger reserve
On 29 October 2013 the Company became the new holding company for the Group.
This was put into effect through a share-for-share exchange of 1 Ordinary
share of 10 pence in Everyman Media Group PLC for 1 Ordinary share of 10 pence
in Everyman Media Holdings Limited (previously, Everyman Media Group Limited),
the previous holding company for the Group. The value of 1 share in the
Company was equivalent to the value of 1 share in Everyman Media Holdings
Limited.
The accounting treatment for group reorganisations is presented under the
scope of IFRS 3. The introduction of the new holding company was accounted for
as a capital reorganisation using the principles of reverse acquisition
accounting under IFRS 3. Therefore, the consolidated financial statements are
presented as if Everyman Media Group PLC has always been the holding company
for the Group. The Company was incorporated on 10 September 2013.
The use of merger accounting principles has resulted in a balance in Group
capital and reserves which has been classified as a merger reserve and
included in the Group's shareholders' funds.
The Company recognised the value of its investment in Everyman Media Holdings
Limited at fair value based on the initial share placing price on admission to
AIM. As permitted by s612 of the Companies Act 2006, the amount attributable
to share premium was transferred to the merger reserve.
Revenue recognition
Revenue for the Group is measured at the fair value of the consideration
received or receivable. The Group recognises revenue for services provided
when the amount of revenue can be reliably measured and it is probable that
future economic benefits will flow to the entity.
Most of the Group's revenue is derived from the sale of tickets for film
admissions and the sale of food and beverage, and therefore the amount of
revenue earned is determined by reference to the prices of those items. The
Group's revenues from film and entertainment activities are recognised on
completion of the showing of the relevant film. The Group's revenues for food
and beverages are recognised at the point of sale as this is the time the
performance obligations have been met.
Private hire and event bookings, gift cards and similar income which are
received in advance of the related performance are classified as deferred
revenue and shown as a liability until completion of the performance
obligation.
Contractual-based revenue from Everywhere (unlimited tickets) memberships is
initially classified as deferred revenue and subsequently recognised on a
straight-line basis over the year. Revenue from Everyman and EveryIcon
memberships are classified as deferred revenue and subsequently recognised in
line with ticket usage.
Advertising revenue is recognised at the point the advertisement is shown in
the cinemas.
Fees charged for advanced ticket bookings are recognised at the point when the
tickets are purchased.
Goodwill and intangible assets
Goodwill is stated at cost less any accumulated impairment losses. Goodwill is
allocated to cash-generating units and is not amortised but is tested annually
for impairment. Goodwill represents the excess of the costs of a business
combination over the acquisition date fair values of the identifiable assets,
liabilities and contingent liabilities acquired. Goodwill is capitalised as an
intangible asset.
The recoverable amount of an asset or cash-generating unit (CGU) is the
greater of its value-in-use and its fair value less costs to sell. In
assessing value-in-use, the estimated future cash flows are discounted to
their present value using a pre-tax discount rate that reflects current market
assessments of the time value of money and the risks specific to the asset.
For the purpose of impairment testing, assets that cannot be tested
individually are grouped together into the smallest group of assets that
generates cash inflows from continuing use that are largely independent of the
cash inflows of other assets or groups of assets (the CGU), this is usually an
individual cinema venue. The goodwill acquired in a business combination, for
the purpose of impairment testing, is allocated to CGUs. Subject to an
operating segment ceiling test, for the purposes of goodwill impairment
testing, CGUs to which goodwill has been allocated are aggregated so that the
level at which impairment is tested reflects the lowest level at which
goodwill is monitored for internal reporting purposes. Goodwill acquired in a
business combination is allocated to groups of CGUs that are expected to
benefit from the synergies of the combination.
An impairment loss is recognised if the carrying amount of an asset or its CGU
exceeds its estimated recoverable amount. Impairment losses are recognised in
the profit and loss. Impairment losses recognised in respect of CGUs are
allocated first to reduce the carrying amount of any goodwill allocated to the
units, and then to reduce the carrying amounts of the other assets in the
unit/group of units on a pro-rata basis. Once goodwill has been impaired, the
impairment cannot be reversed in future periods.
Impairment
The carrying amounts of the Group's assets are reviewed at each Balance Sheet
date to determine whether there is any indication of impairment. If any such
indication exists, the asset's recoverable amount is estimated. For goodwill
assets that have an indefinite useful economic life, the recoverable amount is
estimated at each Balance Sheet date.
An impairment loss is recognised whenever the carrying amount of an asset or
its cash-generating unit ('CGU') exceeds its recoverable amount. Impairment
losses are recognised in the Consolidated Statement of Profit or Loss.
Impairment losses recognised in respect of CGUs are allocated first to reduce
the carrying amount of any goodwill allocated to CGUs and then to reduce the
carrying amount of the other assets in the unit on a pro-rata basis.
A CGU is the smallest identifiable group of assets that generates cash inflows
that are largely independent of the cash inflows from other assets or groups
of assets and relates to an individual cinema venue.
Property, plant and equipment
Items of property, plant and equipment are recognised at cost less accumulated
depreciation and accumulated impairment losses. As well as the purchase price,
cost includes directly attributable costs.
Depreciation on assets under construction does not commence until they are
complete and available for use. These assets represent fit-outs. Depreciation
is provided on all other leasehold improvements and all other items of
property, plant and equipment so as to write off their carrying value over the
expected useful economic lives. The estimated useful lives are as
follows:
Leasehold improvements - straight line on cost over the remaining
life of the lease
Plant and
machinery - 5
years
Fixtures and
fittings - 8 years
Provisions
A provision is recognised in the balance sheet when the Group has a present
legal or constructive obligation as a result of a past event, that can be
reliably measured and it is probable that an outflow of economic benefits will
be required to settle the obligation. Lease dilapidation provisions are
recognised when entering into a lease where an obligation is created. This
obligation may be to return the leasehold property to its original state at
the end of the lease in accordance with the lease terms. Leasehold
dilapidations are recognised at the net present value and discounted over the
remaining lease period.
Leases
At inception of a contract, the Group assesses whether a contract is, or
contains, a lease. A contract is, or contains, a lease if the contract conveys
the right to control the use of an identified asset for a period of time in
exchange for consideration. The majority of leases entered into determine the
lease commencement to be dependent on the date in which access to the property
is provided by the landlord, at this point we assess the Group gains control.
To assess whether a contract conveys the right to control the use an
identified asset, the Group assesses whether:
· the contract involves the use of an identified asset i.e. a
cinema venue (this may be specified explicitly or implicitly, and should be
physically distinct or represent substantially all of the capacity of a
physically distinct asset).
· the Group has the right to obtain substantially all of the
economic benefits from use of the asset throughout the period of use, which
will be the Group's use of the venue; and
· the Group has the right to direct the use of the asset. The
Group has this right when it has the decision-making rights that are most
relevant to changing how and for what purpose the asset is used. This is
evident through the fit out of the venue for its intended use as a cinema.
Lease liabilities are measured at the present value of the contractual
payments due to the lessor over the lease term, with the discount rate
determined by reference to the rate inherent in the lease unless this is not
readily determinable, in which case the Group's incremental borrowing rate on
commencement of the lease is used, the incremental borrowing rate is most
commonly used in the Groups recognition of leases.
Right of use assets are initially measured at the amount of the lease
liability, reduced for any lease incentives received, and increased for:
· lease payments made at or before commencement of the lease;
· initial direct costs incurred; and
· the amount of any provision recognised where the Group is
contractually required to dismantle, remove or restore the leased asset
(typically leasehold dilapidations - see note 26.)
Subsequent to initial measurement lease liabilities increase as a result of
interest charged at a constant rate on the balance outstanding and are reduced
for lease payments made. Right-of-use assets are amortised on a straight-line
basis over the remaining term of the lease.
If the Group revises its estimate of the term of any lease it adjusts the
carrying amount of the lease liability to reflect the payments to make over
the revised term, which are discounted using a revised discount rate. An
equivalent adjustment is made to the carrying value of the right-of-use asset,
with the revised carrying amount being amortised over the remaining (revised)
lease term. If the carrying amount of the right-of-use asset is adjusted to
zero, any further reduction is recognised in profit or loss.
Taxation
Tax on the profit and loss for the year comprises current and deferred tax.
Tax is recognised in the profit and loss except to the extent that it relates
to items recognised directly in equity, in which case it is recognised in
equity. Current tax is the expected tax payable or receivable on the taxable
income or loss for the year, using tax rates enacted or substantively enacted
at the balance sheet date, and any adjustment to tax payable in respect of
previous years.
Deferred tax assets and liabilities are recognised where the carrying amount
of an asset or liability in the consolidated balance sheet differs from its
tax base, except for differences arising on:
· The initial recognition of goodwill.
· The initial recognition of an asset or liability in a
transaction which is not a business combination and at the time of the
transaction affects neither accounting nor taxable profit.
· Investments in subsidiaries and jointly controlled entities
where the Group is able to control the timing of the reversal of the
difference and it is probable that the difference will not reverse in the
foreseeable future.
Recognition of deferred tax assets is restricted to those instances where it
is probable that taxable profit will be available against which the difference
can be utilised.
The amount of the asset or liability is determined using tax rates that have
been enacted or substantively enacted by the reporting date and are expected
to apply when the deferred tax liabilities or assets are settled or recovered.
Deferred tax balances are not discounted.
Deferred tax assets and liabilities are offset when the Group has a legally
enforceable right to offset current tax assets and liabilities and the
deferred tax assets and liabilities relate to taxes levied by the same tax
authority on either:
· The same taxable Group company; or
· Different company entities which intend either to settle
current tax assets and liabilities on a net basis or to realise the assets and
settle the liabilities simultaneously, in each future period in which
significant amounts of deferred tax assets and liabilities are expected to be
settled or recovered.
Operating segments
The Board, the chief operating decision maker, considers that the Group's
primary activity constitutes one reporting segment, as defined under IFRS8.
The total profit measures are operating profit and profit for the year, both
disclosed on the face of the consolidated profit and loss. No differences
exist between the basis of preparation of the performance measures used by
management and the figures used in the Group financial information.
All of the revenues generated relate to cinema tickets, sale of food and
beverages and ancillary income, an analysis of which appears in the notes
below. All revenues are wholly generated within the UK. Accordingly, there are
no additional disclosures provided to the financial information.
Pre-opening expenses
Overhead expenses incurred prior to a new site opening are expensed to the
profit and loss in the year that they are incurred. Similarly, the costs of
training new staff during the pre-opening phase are expensed as incurred.
These expenses are included within administrative expenses, right-of-use
depreciation and financing expenses.
Employee benefits
Defined contribution plans
A defined contribution plan is a post-employment benefit plan under which the
company pays fixed contributions into a separate entity and will have no legal
or constructive obligation to pay further amounts. Obligations for
contributions to defined contribution pension plans are recognised as an
expense in the profit and loss in the periods during which services are
rendered by employees.
Share-based payments
Certain employees (including Directors and senior executives) of the Group
receive remuneration in the form of equity-settled share-based payment
transactions, whereby employees render services as consideration for equity
instruments (equity-settled transactions, through the Growth Share Scheme,
Approved and Unapproved Options Schemes). The cost of share-based payments is
recharged by the Company to subsidiary undertakings in proportion to the
services recognised.
Equity-settled share based schemes are measured at fair value, excluding the
effect of non-market based vesting conditions, at the date on which they are
granted. The fair value is determined by using an appropriate pricing model.
The cost of equity-settled transactions is recognised, together with a
corresponding increase in equity, over the period in which the performance
and/or service conditions are fulfilled, ending on the date on which the
relevant employees become fully entitled to the award
(the vesting date). The profit or loss charge or credit for a period
represents the movement in cumulative expense recognised as at the beginning
and end of that period.
No expense is recognised for awards that do not ultimately vest, except for
awards where vesting is conditional upon a market condition, which are treated
as vesting irrespective of whether or not the market condition has been
satisfied, provided that all other performance and/or service conditions are
satisfied. The dilutive effect of outstanding options is reflected as
additional share dilution in the computation of earnings per share.
3 Financial Instruments
The Group is exposed through its operations to the following financial risks:
· Credit risk
· Interest rate risk
· Liquidity risk
In common with all other businesses, the Group is exposed to risks that arise
from its use of financial instruments. This note describes the Group's
objectives, policies and processes for managing those risks and the methods
used to measure them. Further quantitative information in respect of these
risks is presented throughout these financial statements.
There have been no substantive changes in the Group's exposure to financial
instrument risks, it's objectives, policies and processes for managing those
risks or the methods used to measure them from previous periods unless
otherwise stated in this note.
The principal financial instruments used by the Group, from which financial
instrument risk arises are as follows:
· Trade receivables
· Cash and cash equivalents
· Trade and other payables
· Floating rate bank revolving credit facilities and lease
liabilities
Financial assets
All the Group's financial assets are subsequently accounted for at amortised
cost. These assets arise principally from the provision of goods and services
to guests (e.g. trade receivables), but also incorporate other types of
financial assets where the objective is to hold these assets in order to
collect contractual cash flows and the contractual cash flows are solely
payments of principal and interest. They are initially recognised at fair
value plus transaction costs that are directly attributable to their
acquisition or issue, and are subsequently carried at amortised cost using the
effective interest rate method, less provision for impairment.
The Group recognises an allowance for expected credit losses (ECLs) on
financial assets measured at amortised cost. The financial assets comprises
trade and other receivables. Impairment provisions for trade receivables are
recognised based on the simplified approach within IFRS 9 using a provision
matrix in the determination of the lifetime expected credit losses. During
this process the probability of the non-payment of the individual trade
receivables is assessed. This probability is then multiplied by the amount of
the expected loss arising from default to determine the lifetime expected
credit loss for the trade receivables. For trade receivables, which are
reported net, such provisions are recorded in a separate provision account
with the loss being recognised in profit or loss. On confirmation that the
trade receivable will not be collectable, the gross carrying value of the
asset is written off against the associated provision. At the year end, there
are no provisions against trade receivables as the Group has limited exposure
to ECLs due to its business model.
The Group's financial assets measured at amortised cost comprise trade and
other receivables and cash and cash equivalents in the consolidated balance
sheet.
Cash and cash equivalents comprise cash balances, deposits and cash amounts in
transit due from credit cards which are settled within seven days from the
date of the reporting period.
Financial liabilities and
equity
Financial instruments issued by the Group are treated as equity only to the
extent that they meet the following conditions:
· They include no contractual obligations upon the Group to
deliver cash or other financial assets or to exchange financial assets or
financial liabilities with another party under conditions that are potentially
unfavourable to the Group
· Where the instruments may be settled in the Group's own equity
instruments, they are either a non-derivative that include no obligation to
deliver a variable number of the Group's own equity instruments or they are a
derivative that will be settled by the Group exchanging a fixed amount of cash
or other financial assets for a fixed number of its own equity instruments.
To the extent that this definition is not met, the proceeds of issue are
classified as a financial liability and initially recognised at fair value net
of any transaction costs directly attributable. Such interest-bearing
liabilities are subsequently measured at amortised cost using the effective
interest rate method, which ensures that any interest expense over the period
to repayment is at a constant rate on the balance of the liability carried in
the consolidated statement of financial position. For the purposes of each
financial liability, interest expense includes initial transaction costs and
any premium payable on redemption, as well as any interest or coupon payable
while the liability is outstanding.
Credit risk
Credit risk is the risk of financial loss to the Group if a customer or
counterparty to a financial instrument fails to meet its contractual
obligations. The Group is mainly exposed to credit risk from credit sales. It
is Group policy, to assess the credit risk of new customers before entering
material contracts.
Credit risk also arises from cash and cash equivalents and deposits with banks
and financial institutions. For banks and financial institutions, only
independently rated parties with minimum rating "A" are accepted.
Further disclosures regarding trade and other receivables, which are neither
past due nor impaired, are provided in note 25.
Interest rate risk
The Group is exposed to cash flow interest rate risk from its revolving credit
facility at variable rates. During 2025 and 2024, the Group's borrowings at
variable rate were denominated in GBP.
The Group analyses the interest rate exposure on a monthly basis. A
sensitivity analysis is performed by applying various reasonable expectations
on rate changes to the expected facility drawdown.
Liquidity risk
Liquidity risk arises from the Group's management of working capital and the
finance charges and principal repayments on its debt instruments. It is the
risk that the Group will encounter difficulty in meeting its financial
obligations as they fall due. The Group's policy is to ensure that it will
always have sufficient cash to allow it to meet its liabilities when they
become due.
The Board receives rolling 12-month cash flow projections on a monthly basis
as well as information regarding cash balances. At the end of the financial
year, these projections indicated that the Group expected to have sufficient
liquid resources to meet its obligations under all reasonably expected
circumstances, through utilisation of its revolving credit facility.
4 Changes in accounting policies
New standards, interpretations and amendments adopted from 01 January 2026
There are a number of standards, amendments to standards, and interpretations
which have been issued by the IASB that are effective in future accounting
periods that the Group has decided not to adopt early.
The following new standards and interpretations are effective for the year
ended 1 January 2026, but have not had a material impact on the Group:
· Amendments to IAS 1 - Classification of Liabilities as Current
or Non-current;
· Amendments to IAS 1 - Non-current Liabilities with Covenants;
· Amendments to IFRS 16 - Lease Liability in a Sale and
Leaseback;
· Amendments to IAS 7 - Statement of Cash Flows and IFRS 7
Financial Instruments: Disclosures - Supplier Finance Arrangements.
· IAS 21 - Lack of Exchangeability; and
· Amendments to IFRS 9 and IFRS 7 Classification and measurement
of financial instruments.
The following standards and interpretations, which have not been applied and
when adopted are not expected to have a material impact on the Group, were in
issue and will be effective from 1 January 2027 (which will apply to the
Group's 2027 financial reporting), unless stated below:
· IFRS 18 Presentation and Disclosure in Financial Statements 1
January 2027
· IFRS 19 Amendments to IFRS 19 'Subsidiaries without Public
Accountability: Disclosures
5 Critical accounting estimates and judgements
The Group makes certain estimates and assumptions regarding the future.
Estimates and judgements are continually evaluated based on historical
experience and other factors, including expectations of future events that are
believed to be reasonable under the circumstances. In the future, actual
experience may differ from these estimates and assumptions. The estimates and
assumptions that have a significant risk of causing a material adjustment to
the carrying amounts of assets and liabilities within the next financial year
are discussed below.
Impairment of cinemas (accounting estimate)
The Group determines whether its cinema asset and associated goodwill are
impaired when impairment indicators exist or based on the annual impairment
assessment. The annual assessment requires an estimate of the value in use of
the CGUs to which the intangible and tangible fixed assets are allocated,
which is at the individual cinema site level.
Estimating the value in use requires the Group to make an estimate of the
expected future cash flows from each cinema and discount these to their net
present value at an appropriate discount rate. All venues are located in the
UK and therefore a single discount rate has been used for all CGUs. The
resulting calculation is sensitive to the assumptions in respect of future
cash flows and the discount rate applied. The Directors consider that the
assumptions made represent their best estimate of the future cash flows
generated by the CGUs and that the discount rates used are appropriate given
the risks associated with the specific cash flows. A sensitivity analysis has
been performed over the estimates (see Note 18)
Deferred tax assets (accounting estimate)
The Group recognizes deferred tax assets to the extent that it is probable
that future taxable profits will be available against which temporary
differences can be utilised. The recognition of deferred tax assets based on
future taxable profits requires significant management judgment and
estimation.
In assessing the probability of future taxable profits, management considers
historical profitability, forecasts, and business plans. These assessments are
based on various factors including, but not limited to, expected future market
conditions, industry trends, regulatory environment, and specific operational
strategies.
The Group reviewed its forecasts for a three year period based on management
expectations and projections to assess the likelihood of future taxable
profits and adjusts the recognition of Deferred Tax assets accordingly.
However, actual results may differ from these forecasts due to changes in
economic conditions, market dynamics, or other unforeseen events.
Incremental borrowing rate (accounting estimate)
The Group determines the incremental borrowing rates used to discount lease
payments for the purpose of measuring the lease liability and right-of-use
asset under IFRS 16, Leases. The determination of incremental borrowing rates
involves significant judgment and estimation by management. Key factors
considered are the nature and term of lease, market conditions and
availability of comparable financing.
6 Revenue
52 weeks ended 53 weeks ended
01 January 02 January
2026 2025
£000 £000
Film and entertainment 55,601 51,849
Food and beverages 49,926 45,881
Venue Hire, Advertising and Membership Income 11,069 9,443
116,596 107,173
All trade takes place in the United Kingdom.
The following table provides information about opening and closing
receivables, contract assets and liabilities from contracts with customers.
Contract balances 52 weeks 53 weeks ended
ended 02 January
01 January
2026 2025
£000 £000
Trade receivables 3,526 2,641
Deferred income 7,970 5,757
Deferred income relates to advanced consideration received from customers in
respect of memberships, gift cards and advanced screenings. The movement in
deferred income relates predominantly to increases in memberships, gift cards
and advertising contracts.
7 Loss before taxation
Loss before taxation is stated after charging / (crediting):
52 weeks 53 weeks
ended ended
01 January 02 January
2026 2025
£000 £000
Depreciation of tangible assets 9,849 10,013
Amortisation of right-of-use assets 4,261 4,073
Amortisation of intangible assets 853 781
Loss on disposal of property, plant and equipment 265 241
Share-based payment expense 541 594
Impairment charge 4,108 2,626
Impairment (reversal) (1,162) -
8 Staff numbers and employment costs
The average number of employees (including Directors) during the year,
analysed by category, was as follows:
52 weeks 53 weeks
ended ended
01 January 02 January
2026 2025
Number
Number
Management 293 276
Operations 1,541 1,352
1,834 1,628
At the period end the number of employees (including Directors) was 1,940
(2024: 1,989). Management staff represent all full-time employees in the
Group.
52 weeks 53 weeks
ended ended
01 January 02 January
2026 2025
£000 £000
Wages and salaries 32,024 28,193
Social security costs 3,254 2,288
Pension costs 468 422
Share-based payment expense 541 594
36,287 31,497
Wages and salaries include bonus costs. There were pension liabilities
outstanding as at 01 January 2026 of £95,000 (02 January 2025: £89,000)
which were settled on 12 January 2026.
9 Directors' remuneration
The remuneration of the Directors, who are the key management personnel of the
Group, is set out below in aggregate for each of the categories specified in
IAS24 Related Party Disclosures:
52 weeks 53 weeks
ended ended
01 January 02 January
2026 2025
£000 £000
Salaries/fees 894 829
Bonuses 16 76
Other benefits 14 11
Pension contributions 20 19
944 935
Share-based payment expense 141 638
1,085 1,573
Information regarding the highest paid Director is as follows:
52 weeks 53 weeks
ended ended
01 January 02 January
2026 2025
£000 £000
332 324
Salaries/fees
Bonuses - 39
Other benefits 11 9
Pension contributions 10 10
353 382
Share-based payment expense 80 580
433 962
Directors' remuneration for each Director is disclosed in the Remuneration
Committee report. The costs relating to the Directors remuneration are
incurred by Everyman Media Limited for the wider Group. No Directors exercised
options over shares in the Company during the year (2024: None).
10 Auditor's remuneration
52 weeks 53 weeks
ended ended
01 January 02 January
2026 2025
£000 £000
Fees payable to the Group's auditor for:
Audit of the Company's financial statements 28 26
Audit of the subsidiary undertakings of the Company 196 189
224 215
11 Other Operating Income
52 weeks 53 weeks
ended ended
01 January 02 January
2026 2025
£'000 £'000
Landlord compensation 698 506
Gain on disposal of lease 288 -
986 506
12 Financial expenses
52 weeks 53 weeks
ended ended
01 January 02 January
2026 2025
£000 £000
Interest on bank loans 2,405 2,303
Bank loan arrangement fees 54 178
Interest on lease liabilities 4,763 4,363
Interest on dilapidations provision 22 11
7,244 6,855
13 Taxation 52 weeks 53 weeks
ended ended
01 January 02 January
2026 2025
£000 £000
Deferred tax charge / (credit) 164 (1,682)
Total tax charge / (credit) 164 (1,682)
The reasons for the difference between the actual tax credit for the period
and the standard rate of corporation tax in the United Kingdom applied to the
loss for the year are as follows:
Reconciliation of effective tax rate 52 weeks 53 weeks
ended ended
01 January 02 January
2026 2025
£000 £000
Loss before tax (10,182) (10,217)
Tax at the UK corporation tax rate of 25% (2024:25%) (2,545) (2,554)
Permanent differences (expenses not deductible for tax purposes) 1,489 1,310
Impact of difference in overseas tax rates - -
Effect of change in expected future statutory rates on deferred tax - -
Other (250) -
Changes in prior year capital allowance estimate 97 (468)
Tax losses/temp. differences of deferred tax previously unrecognised 1,373 30
Total tax charge / (credit) 164 (1,682)
14 Earnings per share
52 weeks 53 weeks
ended ended
01 January 02 January
2026 2025
Loss used in calculating basic and diluted earnings per share (£000) (10,346) (8,535)
Number of shares (000's)
Weighted average number of shares for the purpose of basic earnings per share 91,181 91,178
Number of shares (000's)
Weighted average number of shares for the purpose of diluted earnings per 91,181 91,178
share
Basic loss per share (pence) (11.35) (9.36)
Diluted loss per share (pence) (11.35) (9.36)
52 weeks 53 weeks
ended ended
01 January 02 January
2026 2025
Weighted Weighted average
average
no. 000's no. 000's
Issued at beginning of the year 91,181 91,178
Share options exercised - -
Weighted average number of shares at end of the year 91,181 91,178
Weighted average number of shares for the purpose of diluted earnings per
share
Basic weighted average number of shares 91,181 91,178
Effect of share options in issue - -
Weighted average number of shares at end of the year 91,181 91,178
Basic earnings per share values are calculated by dividing net loss for the
year attributable to Ordinary equity holders of the parent by the weighted
average number of Ordinary shares outstanding during the year. The shares
issued in the year in the above table reflect the weighted number of shares
rather than the actual number of shares issued.
At the period-end the Company has 5.3m potentially issuable Ordinary shares
(2024: 5.1m) all of which relate to the potential dilution from share options
issued to the Directors and certain employees and contractors, under the
Group's incentive arrangements (note 29). In the current year these options
are anti-dilutive as they would reduce the loss per share and so have not been
included in the diluted losses per share.
The Company made a post-tax profit for the year of £1,729,000 (2024:
£1,192,000).
15 Property, plant and equipment
Leasehold Plant & Fixtures & Assets under
improvements machinery Fittings construction Total
£000 £000 £000 £000 £000
Cost
At 28 December 2023 97,487 19,268 20,792 8,190 145,737
Acquired in the year 8,365 2,070 1,603 2,786 14,824
Disposals (11) (4) (650) - (665)
Transfer on completion 2,796 402 1,655 (4,853) -
At 02 January 2025 108,637 21,736 23,400 6,123 159,896
Acquired in the year 496 1,759 1,759 7,537 11,551
Disposals (440) (182) (267) (520) (1,409)
Transfer on completion 5,014 430 1,762 (7,206) -
At 01 January 2026 113,707 23,743 26,654 5,934 170,038
Depreciation
At 28 December 2023 24,354 12,523 7,316 - 44,193
Charge for the year 4,795 2,897 2,321 - 10,013
Impairment 1,047 65 416 - 1,528
On Disposals (1) (2) (421) - (424)
At 02 January 2025 30,195 15,483 9,632 - 55,310
Charge for the year 4,975 2,399 2,475 - 9,849
Impairment 1,941 96 348 - 2,385
On Disposals (199) (179) (248) - (626)
At 01 January 2026 36,912 17,799 12,207 - 66,918
Net book value
At 01 January 2026 76,795 5,944 14,447 5,934 103,120
At 02 January 2025 78,442 6,253 13,768 6,123 104,586
At 28 December 2023 73,133 6,745 13,476 8,190 101,544
Impairment considerations of tangible fixed assets were determined using the
value in use basis disclosed in Note 18.
16 Leases
Nature of leasing activities
The Group leases all properties in the towns and cities from which it
operates. In some locations, depending on the lease contract signed, the lease
payments may increase each year by inflation or and in others they are reset
periodically to market rental rates. For some property leases the periodic
rent is fixed over the lease term. The Group also leases certain vehicles.
Leases of vehicles comprise only fixed payments over the lease terms.
The percentages in the table below reflect the current proportions of lease
payments that are either fixed or variable. The sensitivity reflects the
impact on the carrying amount of lease liabilities and right-of-use assets if
there was an uplift of 5% on the balance sheet date to lease payments that are
variable.
01 January 2026 Lease contract Fixed Variable Sensitivity
No. payments payments (+/-)
% % £'000
Property leases with payments linked to inflation 25 - 47% 3,131
Property leases with periodic uplifts to market rentals 23 - 43% 1,660
Property leases with fixed payments 8 9% - -
Vehicle leases 3 - - -
59 9% 90% 4,791
During 2025 the Group entered into three property leases and exited one lease,
including the acquisition of the long leasehold interest at Barnet for the sum
of £1,100,000 (including associated costs) and disposal of the Barnet
occupational lease. The Barnet long leasehold runs until 22 December 2032.
02 January 2025 Lease contract Fixed Variable Sensitivity
No. payments payments (+/-)
% % £'000
Property leases with payments linked to inflation 26 - 10% 3,039
Property leases with periodic uplifts to market rentals 23 - 73% 1,718
Property leases with fixed payments 5 15% - -
Vehicle leases 5 2% - -
59 17% 83% 4,757
Right-of-Use Assets Land & Buildings £'000 Motor Vehicles £'000
Total £'000
At 28 December 2023 68,039 49 68,088
Additions 1,410 58 1,468
Negative addition* (1,504) - (1,504)
Amortisation (4,047) (26) (4,073)
Impairment (1,098) - (1,098)
Effect of modification to lease terms 634 - 634
At 02 January 2025 63,434 81 63,515
Additions 1,425 - 1,425
Amortisation (4,213) (48) (4,261)
Impairment (561) - (561)
Effect of modification to lease terms 399 - 399
Disposals (1,240) - (1,240)
At 01 January 2026 59,244 33 59,277
*Negative right-of-use asset and lease liabilities addition relates to a lease
in which lease incentives exceeded present value of fixed rent payments
resulting in a negative right-of-use asset. This materialised due to the
nature of the lease agreement in which rent payments are made up of turnover
based rent and quarterly rent. Turnover rent is excluded from the present
value of lease liabilities on recognition of the lease.
Lease incentives received prior to lease commencement during the year are
deducted directly from the right of use, these amounted to £0 (2024:
£250,000).
Lease liabilities Land & Buildings £'000 Motor Vehicles £'000
Total £'000
At 28 December 2023 103,226 12 103,238
Additions 1,334 58 1,392
Negative addition* (1,541) - (1,541)
Interest expense 4,361 2 4,363
Effect of modification to lease terms 789 - 789
Lease payments (7,669) (24) (7,693)
Landlord contributions 5,680 - 5,680
At 02 January 2025 106,180 48 106,228
Additions 546 - 546
Interest expense 4,761 2 4,763
Effect of modification to lease terms (275) - (275)
Lease payments (7,802) (42) (7,844)
Landlord contributions 4,473 - 4,473
Disposals (1,528) - (1,528)
At 01 January 2026 106,355 8 106,363
*Negative right-of-use asset and lease liabilities addition relates to a lease
in which lease incentives exceeded present value of fixed rent payments
resulting in a negative right-of-use asset. This materialised due to the
nature of the lease agreement in which rent payments are made up of turnover
based rent and quarterly rent. Turnover rent is excluded from the present
value of lease liabilities on recognition of the lease.
01 January 2026 02 January 2025
£'000 £'000
Lease liabilities
Current 3,633 2,146
Non-current 102,730 104,082
106,363 106,228
Maturity analysis of lease payments
01 January 2026 02 January 2025
£'000 £'000
Contractual future cash outflows
Land and buildings
Less than one year 8,362 8,413
Between one and five years 34,512 33,910
Over five years 122,393 124,343
165,267 166,666
Motor Vehicles
Less than one year 9 42
Between one and five years - 9
9 51
17 Goodwill and intangible assets
The Group is required to test, on an annual basis, whether goodwill has
suffered any impairment. The recoverable amount is determined based on value
in use calculations. The use of this method requires the estimation of future
cash flows and the determination of a discount rate in order to calculate the
present value of the cash flows. The Group has determined there is no
impairment on goodwill for the period ending 01 January 2026.
Goodwill £'000 Software £'000 Total
£'000
Cost
At 28 December 2023 8,951 4,765 13,716
Acquired in the year - 640 640
At 02 January 2025 8,951 5,405 14,356
Acquired in the year - 401 401
At 01 January 2026 8,951 5,806 14,757
Amortisation and impairment
At 28 December 2023 1,599 2,729 4,328
Charge for the year - 781 781
At 02 January 2025 1,599 3,510 5,109
Charge for the year - 853 853
At 01 January 2026 1,599 4,363 5,962
Net book value
At 01 January 2026 7,352 1,443 8,795
At 02 January 2025 7,352 1,895 9,247
At 28 December 2023 7,352 2,036 9,388
Amortisation is applied to write down the carrying value of assets over
expected useful economic lives. The estimated useful economic life for
software intangible assets is 3 years, which commences when the asset is
available for use.
Goodwill is allocated to the following CGUs:
01 January 02 January
2026 2025
£000 £000
Baker Street 103 103
Barnet 1,309 1,309
Esher 2,804 2,804
Gerrards Cross 1,309 1,309
Islington 86 86
Muswell Hill 1,215 1,215
Oxted 102 102
Reigate 113 113
Walton-On-Thames 94 94
Winchester 217 217
7,352 7,352
The Company evaluates assets for impairment annually in relation to goodwill,
or when indicators of impairment exist for other defined life assets.
The annual impairment assessment requires an estimate of the value in use of
each cash-generating unit (CGU) to which goodwill, property plant and
equipment and right-of-use assets are allocated, which is the individual
cinema level. The recoverable amount of a CGU is the higher of value in use
and fair value less cost of disposal. The Company determines the recoverable
amount with reference to its value in use.
Estimating the value in use requires estimate of the expected future cash
flows from each CGU and discount these to their net present value at a
post-tax discount rate. Forecast cash flows are derived from adjusted EBITDA
(defined as earnings before interest, taxes, depreciation, amortisation,
profit/loss on disposal of plant & equipment, impairment, pre-opening
expenses and exceptional items, less capital expenditure) generated by each
CGU which is based on management's forecast performance. Cash flow forecasts
have been prepared for each CGU by applying growth assumptions to key drivers
of cash flows, including admissions, average ticket price, spend per
head, direct and overhead costs.
As required by IAS 36, the company assessed whether there was an
indication that a previously recognised impairment no longer exists or may
have decreased. A reversal of an impairment loss should only
be recognised if there has been a change in the estimates used
to determine the asset's recoverable amount since the last impairment loss
was recognised
A pre-tax WACC of 14.0% (2024: 15.0%) was used in the impairment
calculation. The equivalent post-tax WACC was 10.5%
(2024: 11.25%). Discount rates are based on the Group's WACC adjusted to
reflect management assessment of specific risks relating to the CGU.
Adjusted EBITDA used for 2026 is based on the Board approved projection
and represents the balanced and most likely outcome of future
cashflows in light of anticipated economic and
market conditions. The forecast period for each CGU
is determined based on the remaining length of the lease of the premises,
if the lease is due to expire within the next 10 years there has been an
assumed extension. The following assumptions have been applied except in
limited cases where adjustments have been made for venue-specific factors:
· Admissions: 3% like-for-like increase
year-on-year for 5 years followed by a long-term growth rate of 2% over
the remaining life of the lease. Admission levels are capped to ensure the
volumes do not exceed pre COVID-19 admissions levels during the forecast
period. (2024: 3% for the first 5 years plus terminal growth value)
· Average Ticket Price: 3% increase
year-on-year for 5 years followed by an inflationary increase of 3% over
the remaining term of the lease. (2024: 3% for the first 5 years plus
terminal growth value)
· Food and Beverage Spend Per Head: 3% increase
year-on-year for 5 years followed by an inflationary increase 3% over
the remaining term of the lease. (2024: 3% for the first 5 years plus
terminal growth value)
· Costs: Inflationary
increase year-on-year of 2% (2024: 1.5% for the first 5 years plus
terminal growth value)
At the year end, in determining the period over which to consider future
cash flows when calculating the value in use of a venue, management have used
remaining lease term as the basis of the value in use estimate. In the
prior period end, the terminal value approach was used, based on a 5
year forecast and a long term growth rate of 2%.
The net impairment charge recognised in the period is £2.9m (2024: £2.6m)
with £2.4m recognised against property, plant and equipment (2024:
£1.5m) and £0.6m recognised against right of use assets (2024: £1.1m).
The net impairment charge comprises:
· A £4.1m impairment charge (2024: £2.6m) relating
to 6 venues (2024: 4 venues), at which the recoverable amount
was deemed to be lower than the carrying value; partly offset by
· A £1.2m reversal of a previously identified impairment
(2024: nil), relating to one venue. The impairment reversal was supported
by the Board's assessment that the conditions which resulted in the initial
impairment no longer existed, and that the venues performance had improved.
The present value of future cash flows, representative of the operations of
the venue under the new environment, were higher than the carrying amount of
the assets which collectively supported the reversal of the historic
impairment charge.
The cumulative impairment charge (net of reversals) that have
been recognised in previous periods are summarised in the below table.
02 January Net Impairment Charge 01 January
2025 2025 2026
£000 £000 £000
Goodwill 1,599 - 1,599
Right-of-use 2,130 561 2,691
Property, plant & equipment 2,752 2,385 5,137
Total 6,481 2,946 9,427
Sensitivity analysis
Impairment reviews are sensitive to changes in key assumptions. Sensitivity
analysis has been performed by considering incremental changes in assumptions
of admission levels and discount rates. The scenarios reflect realistic
scenarios which management believe would have the most significant impact on
the cash flows of each CGU.
Scenarios
The following sensitivity scenarios have been applied to the cash flow
forecasts for stress testing purposes:
· Admissions levels were increased by 1% versus the base case in
each year in the upside case, and decreased by 1% versus the base case in
each year in the downside case; and
· Average ticket price was increased by 1% versus the base case
in the upside case, and decreased by 1% versus the base case in each year in
the downside case, in the years 2027-2029
· WACC was decreased by 1% versus the base case in the
upside case and increased by 1% versus the base case in the downside
case.
· Cost inflation adjustment was decreased by 1% versus the base
case in the upside case, and increased by 1% versus the base case in the
downside case The results of this were as follows:
Upside Impairment provision increase / (decrease) Number of venues Impaired* Downside Impairment provision increase / (decrease) Number of venues Impaired*
£,000 £,000
Admissions sensitivity (3,103) 3 4,333 10
Average ticket price (1,547) 6 1,761 7
WACC sensitivity (1,257) 6 1,395 7
Cost inflation (1,236) 6 1,530 7
Combined sensitivity (4,155) 2 11,632 14
* excludes venues with an impairment reversal
19 Inventories
01 January 02 January
2026 2025
£000 £000
Food and beverages 936 964
Finished goods recognised as cost of sales in the year amounted to
£11,936,000 (2024: £10,969,000).
20 Trade and other receivables
01 January 02 January
2026 2025
£000 £000
3,526 2,641
Trade receivables
Other receivables 374 512
Prepayments and accrued income 3,334 4,566
7,234 7,719
01 January 02 January
2026 2025
£000 £000
Included in current assets 6,931 7,386
Included in non-current assets 303 333
7,234 7,719
There were no receivables that were considered to be impaired. There is no
significant difference between the fair value of the other receivables and the
values stated above. Other debtors include deposits paid in respect of
long-term leases and have been recognised as non-current assets.
21 Trade and other payables
01 January 02 January
2026 2025
£000 £000
Trade creditors 5,582 5,850
Social security and other taxation 4,005 3,290
Other creditors 723 910
Accrued expenses 9,263 12,318
Deferred income 7,970 5,757
27,543 28,125
22 Loans and borrowings
01 January 02 January
2026 2025
£000 £000
Total Bank Debt 30,000 28,000
Cash (8,418) (9,883)
Net Bank Debt 21,582 18,117
Commitment fees are charged quarterly on any balances not drawn at 40% of the
applicable rate of drawn funds. The face value is deemed to be the carrying
value. The Group had drawn down £30 million of the £35 million debt facility
as at 01 January 2026 (2024: £28 million of the £35 million debt facility).
23 Changes in liabilities from financing activities
Non- current loans and borrowings Lease liabilities Total
£000 £000 £000
At 02 January 2025 28,000 106,228 134,228
Cash flows 2,000 (3,371) (1,371)
Non- cash flows:
Interest accruing in period - 4,763 4,763
Lease additions - 546 546
Effect of modifications to lease terms - (275) (275)
Lease Disposals - (1,528) (1,528)
At 01 January 2026 30,000 106,363 136,363
Non- current loans and borrowings Lease liabilities Total
£000 £000 £000
At 28 December 2023 26,000 103,238 129,238
Cash flows 2,000 (2,013) (13)
Non- cash flows:
Interest accruing in period - 4,363 4,363
Lease additions - (149) (149)
Effect of modifications to lease terms - 789 789
At 02 January 2025 28,000 106,228 134,228
24 Financial instruments
Investments, financial assets and financial liabilities, cash and cash
equivalents and other interest-bearing loans and borrowings are measured at
amortised cost and the Directors believe their present value is a reasonable
approximation to their fair value.
01 January 02 January
2026 2025
£000 £000
Financial assets measured at amortised cost
Cash and cash equivalents 8,418 9,883
Trade and other receivables 3,900 3,153
Accrued income 1,078 963
13,396 13,999
Financial liabilities measured at amortised cost
Bank borrowings 30,000 28,000
Trade creditors 5,582 5,850
Leases 106,363 106,228
Other creditors 723 910
Accrued expenses 9,263 12,318
151,931 153,306
25 Financial risks
The Board has overall responsibility for the determination of the Group's risk
management objectives and policies. The overall objective of the Board is to
set policies that seek to reduce risk as far as possible without unduly
affecting the Group's competitiveness and flexibility. The Group has not
issued or used any financial instruments of a speculative nature and the Group
does not contract derivative financial instruments such as forward currency
contracts, interest rate swaps or similar instruments.
The Group is exposed to the following financial
risks:
· Credit
risk
· Liquidity
risk
· Interest rate
risk
To the extent financial instruments are not carried at fair value in the
consolidated Balance Sheet, net book value approximates to fair value at 01
January 2026 and 02 January 2025.
Trade and other receivables are measured at amortised cost. Book values and
expected cash flows are reviewed by the Board and there have been no
impairment losses recognised on these assets.
Cash and cash equivalents are held in sterling and placed on deposit in UK
banks. Trade and other payables are measured at book value and held at
amortised cost.
Credit risk
Credit risk is the risk of financial loss to the Group if a customer or
counterparty to a financial instrument fails to meet its contractual
obligations and arises principally from the Group's receivables from customers
and investment securities.
At 01 January 2026 the Group has trade receivables of £3,526,000 (2024:
£2,641,000). Trade receivables arise mainly from advertising and
sponsorship revenue. The Group is exposed to credit risk in respect of these
balances such that, if one or more of the customers encounters financial
difficulties, this could materially and adversely affect the Group's financial
results. The Group attempts to mitigate credit risk by assessing the credit
rating of new customers prior to entering into contracts and by entering into
contracts with customers with agreed credit terms. At 01 January 2026 the
Directors have recognised expected credit losses of £Nil (2024: £Nil) as
credit losses are assessed as immaterial.
The maximum exposure to credit risk at the balance sheet date by class of
financial instrument was:
01 January 02 January
2026 2025
£000 £000
Ageing of receivables
<30 days 3,412 2,011
31-60 days 107 513
61-120 days - 18
>120 days 7 99
3,526 2,641
In determining the recoverability of trade receivables, the Group considers
any change in the credit quality of the trade receivable from the date credit
was initially granted up to the reporting date. Credit risk is limited due to
the customer base being diverse and unrelated. There has not been any
impairment other than existing provisions in respect of trade receivables
during the year (2024: £nil). There were no material expected credit losses
in the year.
Liquidity risk
Liquidity risk arises from the Group's management of working capital. It is
the risk that the Group will encounter difficulty in meeting its financial
obligations as they fall due. The Group's policy is to ensure that it will
always have sufficient cash to allow it to meet its liabilities when they
become due. To achieve this aim, it seeks to maintain cash balances to meet
its expected cash requirements as determined by regular cash flow forecasts
prepared by management.
The Group's forecasts show sufficient headroom in banking covenants for the
next 12 months.
Exposure to liquidity risk
The following are the remaining contractual maturities of financial
liabilities at the reporting date. The amounts shown are gross, not discounted
and include contractual interest payments and exclude the impact of netting
agreements.
Contractual cash flows
01 January 2026 Carrying Less than Between one Between three Over five
amount one year and two years and five years years Total
£000 £000 £000 £000 £000 £000
Non-derivative financial liabilities
Secured bank facility 30,000 1,477 30,985 - - 32,462
Trade creditors 5,582 5,582 - - - 5,582
Leases 106,363 8,370 8,659 25,853 122,393 165,275
Other creditors 723 723 - - - 723
Accrued expenses 9,263 9,263 - - - 9,263
151,931 25,415 39,644 25,853 122,393 213,305
Contractual cash flows
02 January 2025 Carrying Less than Between one Between three Over five
amount one year and two years and five years years Total
£000 £000 £000 £000 £000 £000
Non-derivative financial liabilities
Secured bank facility 28,000 1,595 29,063 - - 30,658
Trade creditors 5,850 5,850 - - - 5,850
Leases 106,228 8,413 8,352 25,558 123,613 165,936
Other creditors 910 910 - - - 910
Accrued expenses 12,318 12,318 - - - 12,318
153,306 29,086 37,415 25,558 123,613 215,672
Interest rate
risk
Interest rate risk arose from the Group's holding of interest-bearing loans
linked to SONIA. The Group is also exposed to interest rate risk in respect of
its cash balances held pending investment in the growth of the Group's
operations. The effect of interest rate changes in the Group's
interest-bearing assets and liabilities is set out below.
In respect of interest-earning financial assets and interest-bearing financial
liabilities, the following indicates their effective interest rates at the end
of the year and the periods in which they mature:
Effective Maturing Maturing Maturing
interest within between 1 to between 2 to
rate 1 year 2 years 5 years
% £000 £000 £000
At 02 January 2025
Bank borrowings* 7.25% 234 - 28,000
Bank current and deposit balances 0.01% 9,883 - -
At 01 January 2026
Bank borrowings* 6.71% 236 - 30,000
Bank current and deposit balances 0.01% 8,418 - -
*Bank borrowings comprises SONIA of 3.72% (2024: 4.7%) and margin of 2.99%
(2024: 2.55%).
The following table demonstrates the sensitivity to a reasonably plausible
change in interest rates, with all other variables held constant, of the
Group's profit and loss before tax through the impact on floating rate
borrowings and bank deposits and cash flows:
Change in 01 January 02 January
rate 2026 2025
% £000 £000
Bank borrowings 0.5% (150) (140)
1.0% (300) (280)
1.5% (450) (420)
Bank current and deposit balances 0.5% 42 49
1.0% 84 99
1.5% 126 148
Capital management
The Group's capital is made up of share capital, share premium, merger reserve
and retained earnings totalling £26.5m (2024: £36.5m).
The Group's objectives when maintaining capital are:
· To safeguard the entity's ability to continue as a going concern so
that it can continue to provide returns for shareholders and benefits for
other stakeholders.
· To provide an adequate return to shareholders by pricing products
and services commensurately with the level of risk.
The capital structure of the Group consists of shareholders equity as set out
in the consolidated statement of changes in equity. All funding required to
set-up new cinema sites and for working capital purposes are financed from
existing cash resources where possible. Management will also consider future
fundraising or bank finance where appropriate.
26 Provisions
Leasehold Dilapidations
£,000
As at 28 December 2023 1,631
Additions 112
Revaluation of net present value (158)
Unwinding of discount 11
As at 02 January 2025 1,596
Additions 52
Revaluation of net present value (120)
Unwinding of discount 22
As at 01 January 2026 1,550
All provisions for lease dilapidations are classified as non-current as the
average remaining lease term as at 1 January 2025 is 17 years (2024: 17
years).
Leasehold dilapidations relate to the estimated cost of returning leasehold
property to its original state at the end of the lease in accordance with
lease terms. The cost is recognised as depreciation of leasehold improvements
over the remaining term of the lease. The main uncertainty relates to
estimating the cost that will be incurred at the end of the lease term.
27 Deferred tax
01 January 02 January
2026 2025
£000 £000
Deferred tax gross movements
Opening balance 4,487 2,805
Deferred tax asset recognised in period (164) 1,682
Closing balance 4,323 4,487
Recognised in profit and loss
Arising on loss carried forward (1,366) (1,658)
Net book value in excess of tax written down value 1,461 529
Amortisation of IFRS accumulated restatement 46 45
Prior year adjustment 97 (468)
Other temporary differences (74) (130)
Charge/ (Credit) to profit and loss 164 (1,682)
Deferred tax comprises:
Temporary differences on property, plant and equipment 9,112 7,618
Temporary differences on IFRS 16 accumulated restatement (464) (510)
Available losses (13,096) (11,719)
Other temporary and deductible differences 125 124
(4,323) (4,487)
Deferred tax is calculated in full on temporary differences under the
liability method using the tax rates that have been substantively enacted for
future periods, being 25% from 1 April 2023. The deferred tax liability has
arisen due to the timing difference on property, plant and equipment, the
deferral of capital gains tax arising from the sale of property and other
temporary and deductible differences.
Deferred tax assets have been recognised in respect of tax losses and other
temporary differences giving rise to deferred tax assets where the Directors
believe it is probable that they will be recovered. The Group has consulted
the FRC's thematic review of Deferred Tax Assets published in September 2022
and concluded that an asset should be recognised on the basis of a sufficient
level of probable future taxable profits. The Group has taken the decision to
recognise the Deferred Tax Asset in 2024 and 2025 due to increased certainty
over future trading performance.
Certain deferred tax assets and liability have been offset. The following is
an analysis of the deferred tax balances (before offset) for financial
reporting purposes.
Deferred tax assets 13,646 12,337
Deferred tax liabilities (9,323) (7,850)
Net deferred tax asset 4,323 4,487
The Group has £6.7m of deferred tax assets that are unrecognised at the
period-end.
28 Share capital and reserves
01 January 02 January
Nominal 2026 2025
value £000 £000
Authorised, issued and fully paid Ordinary shares £0.10
At the start of the year 9,118 9,118
Issued in the year - -
At the end of the year 9,118 9,118
Number of shares 01 January 02 January
2026 2025
Number Number
Authorised, issued and fully paid Ordinary shares
At the start of the year 91,180,760 91,177,969
Issued in the year - 2,791
At the end of the year 91,180,760 91,180,760
The holders of Ordinary shares are entitled to one vote per share. During the
year the Company did not issue any Ordinary shares (2024: 2,791)
Merger reserve
In accordance with s612 of the Companies Act, the premium on Ordinary shares
issued in relation to acquisitions is recorded as a merger reserve.
Share premium
Share premium is stated net of share issue costs.
Dividends
No dividends were declared or paid during the period (2024: £nil).
29 Share-based payment arrangements
EMI, Non-Qualifying and LTIP Schemes
The Group operates three equity-settled share-based remuneration schemes for
employees. The schemes combine a long term incentive scheme, an EMI scheme and
an unapproved scheme for certain senior management, executive Directors,
non-executive Directors and certain contractors.
All equity-settled share options are measured at fair value as determined
through use of the Binomial technique, at the date of grant, aside from those
with market-based performance conditions, which are valued using the
Black-Scholes model. During the year, no equity-settled share options were
issued with market-based performance conditions.
The fair value determined at the grant date of the equity-settled share-based
payments is expensed on a straight-line basis over the vesting period, based
on the Groups estimate of shares that will eventually vest and adjusted for
the effect of non-market-based vesting conditions.
Weighted average exercise
price per share in the year ended
01 January 02 January 01 January 02 January
2026 2025 2026 2025
Pence Pence Number Number
Options at the beginning of the year 85.3 90.4 5,141,336 7,196,834
Options issued in the year 15.1 10 2,122,644 1,119,797
Options exercised in the year - - - (2,791)
Option forfeited in the year 70.6 70.4 (1,991,216) (3,172,504)
Options at the end of the year 62.6 85.3 5,272,764 5,141,336
The exercise price of options outstanding at 01 January 2026 ranged between
10.0 pence and 178.0 pence (2024: 10.0 pence and 184.0 pence) and their
weighted average contractual life was 10 years (2024: 10 years).
The weighted average share price (at the date of exercise) of options
exercised during the year was Nil (2024: 10.0 pence)
The weighted average fair value of each option granted during the year was
28.0p (2024: 49.7p).
No options lapsed beyond their contractual life in the year (2024: nil).
The following information is relevant in the determination of the fair value
of options granted during the year and equity-settled share-based remuneration
schemes operations by the Group:
Option scheme conditions for options issued in the year: 01 January 02 January
2026 2025
Option pricing model used Binomial Binomial
Weighted average share price at grant date (pence) 40.0 59.0
Weighted average option exercise prices (pence) 10 10
Expected volatility 30% 30%
Expected option life (years) 1.1 1.7
Weighted average contractual life of outstanding share options (years) 10 10
Risk-free interest rate 4.13% 4.12%
Expected dividend yield 0.0% 0.0%
Fair value of options granted in the year (pence) 28.0 49.7
Volatility has been calculated based on historical share price movements of
the Company as at each grant date.
The share-based remuneration expense applicable to key management personnel
was as follows:
01 January 02 January
2026 2025
£000 £000
Equity-settled schemes 248 637
Growth Shares
On 8th April 2021, the Group announced that Alexander Scrimgeour, Chief
Executive Officer of Everyman, had been issued 2,000,000 A ordinary shares
("Growth Shares") in a subsidiary company, Everyman Media Holdings Ltd. The
Growth Shares could be exchanged for new Ordinary Shares in the future,
subject to meeting certain vesting conditions and share price performance
criteria.
Subsequent to this, on 23rd January 2023, the Remuneration Committee resolved
that the share price performance condition attached to the Growth Shares was
no longer appropriate. The Company announced that, subject to vesting
conditions and financial performance targets being met, the Growth Shares
would entitle Mr. Scrimgeour to receive an amount equivalent to the market
value of an Ordinary Share in the Company less 86.0p, being the closing share
price of the Company on 20th January 2023.
On 18 August 2023, the Remuneration Committee has resolved that, due to equity
market conditions, the terms of the Growth Shares should be amended so that
Mr. Scrimgeour will now receive an amount equivalent to the market value of an
Ordinary Share less 60.0p, being the closing share price of the Company on 17
August 2023. All other terms and conditions relation the Growth Shares remain
unchanged.
On 15 April 2025, the Remuneration Committee has resolved that, due to equity
market conditions, the terms of the Growth Shares should be amended so that
Mr. Scrimgeour will now receive an amount equivalent to the market value of an
Ordinary Share less 37.5p, being the closing share price of the Company on 14
April 2025. All other terms and conditions relation the Growth Shares remain
unchanged. Details of the outstanding shares under the A Growth Share Scheme
are as follows:
01 January 02 January
2026 2025
Outstanding at beginning of year 2,000,000 2,000,000
Lapsed in year - -
Outstanding at end of year 2,000,000 2,000,000
Following the amendment to the terms of the Growth Shares on 15 April 2025,
the Binomial model was used for fair valuing the awards at the date of
modification. The inputs to the model were as follows:
A Growth Share Scheme
Target 1 Target 2
Number of shares 1,000,000 1,000,000
Adjusted EBITDA Target £20.0m £23.0m
Expected volatility 30.3% 30.3%
Risk free interest rate 4.20% 4.16%
Option life (years) 5 5
Share price at valuation date £0.375 £0.375
On 24 December 2025, Alex Scrimgeour stepped down as a director of the Group;
however, Mr Scrimgeour remained an employee of the Group until 31 March 2026.
Share-based payments charged to the profit and loss were as follows:
01 January 02 January
2026 2025
£000 £000
Share options charge 326 50
Growth shares charge 215 544
Administrative costs 541 594
The charge for the Company was £nil (2024: £nil) after recharging subsidiary
undertakings with a charge of £326,000 (2024: £594,000). The relevant charge
is included within administrative costs.
30 Commitments
There were capital commitments for tangible assets at 01 January 2026 of
£3,938,000 (2024: £11,950,000). The amount of landlord contributions
committed were £2,500,000 (2024: £7,015,000) which is not included in the
above figure.
31 Events after the balance sheet date
The following key management personnel changes occurred in 2026, as follows:
· On 24 December 2025, Alex Scrimgeour stepped down as a director
of the Group; however, Mr Scrimgeour remained an employee of the Group until
31 March 2026.
· Farah Golant was appointed as Interim Chief Executive Officer
on 1 January 2026, and Chief Executive Officer on 21 April 2026. On 11 March
2026, Farah Golant was granted 1,000,000 share options which are exercisable
on or after 9 March 2027, subject to certain financial and other performance
conditions being met.
· On 6 February 2026, Charles Dorfman moved from Non‑Executive
Director to Interim Creative Director with executive responsibilities.
· Sheree Manning joined the Group on 9 February 2026 as Chief
Financial Officer and was appointed as a director effective 24 February 2026.
Will Worsdell remained a director of the Company until 13 March 2026.
· Charles Dorfman increased his shareholding to 5,950,027 shares
at the date of this report (6.53%).
· Adam Kaye and his personally associated connections increased
their shareholding to 7,449,956 at the date of this report (8.17%).
· Michael Rosehill increased his shareholding to 337,228 shares
at the date of this report (0.37%). Michael is a Director of Blue Coast
Private Equity and therefore has an interest in its shareholding.
· Philip Jacobson increased his shareholding to 115,686 shares at
the date of this report (0.13%).
On 21 April 2026 the Group signed an RCF covenants amendment letter. At the
time of the accounts signing the Group has drawn down £29.0 million of the
£35.0 million debt facility, having repaid £1.0m of borrowings on 23 April
2026.
32 Related party transactions
In the period ending 1 January 2026, the Group engaged services from entities
related to the Directors and key management personnel, with total transactions
amounting to £679,000 (2024: £649,000). These comprised head office and call
centre rental of £140,000 (2024: £110,000) and venue rental for Bristol,
Harrogate and Maida Vale of £539,000 (2024: £539,000).
In addition, the Group incurred venue rental in respect of the
Stratford‑upon‑Avon site. This venue is classified as a related party due
to an entity controlled by an entity related to a Director of the Company.
These comprised venue rental of £204,000 (2024: £204,000).
The Group's commitment to leases is set out in the above notes. Within the
total contractual future cash outflow of £165,000,000 (2024: £167,000,000)
(Note 16) is an amount of £351,000 (2024: £386,000) relating to head office
rental, £3,910,000 (2024: £4,114,000) relating to Stratford-Upon-Avon,
£2,691,000 (2024: £2,865,000) relating to Bristol, £694,000 (2024:
£804,000) relating to Madia Vale and £3,898,000 (2024: £4,115,000) relating
to Harrogate. The landlords of the sites are entities related to the Directors
of the Company.
There were no other related party transactions. There are no key management
personnel other than the Executive Directors. Further information regarding
the remuneration of the Executive Directors is provided in the Remuneration
report on pages 29 to 31.
33 Ultimate controlling party
The Company has a diverse shareholding and is not under the control of any one
person or entity.
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