Everyman defies cinema blues with velvet sofas and table service
Upmarket UK chain increases first-half revenues by more than a fifth as investments in premium experience pay off
Upmarket cinema chain Everyman increased its revenues by more than a fifth in the first half of the year, as the UK group bucked the trend of declining admissions by investing in table service and plush seating.
First-half revenues at Everyman, which offers cinemagoers velvet sofas and footrests, rose 21 per cent to £56.5mn, as admissions grew 15 per cent to 2.2mn.
The London-listed group has been a rare success in the wider cinema industry, which has struggled to recover from the pandemic and found it difficult to compete against the explosion in streaming services.
There were 127mn admissions to UK cinemas in 2024, down from 176mn in 2019, according to the UK Cinema Industry Association.
Everyman chief executive Alex Scrimgeour told the Financial Times that Everyman’s premium seating and dining options were central to its continued growth in the age of streaming.
Food and drinks, including the company’s new range of smashed burgers and its hibiscus strawberry daiquiri, are delivered directly to guests’ seats.
“A lot of people have good AV [audiovisual] equipment at home now: you need to do more than just show good films to get people out of their homes,” said Scrimgeour.
Everyman also boosted its revenues by increasing ticket prices by 6 per cent. The average price paid for a ticket to an Everyman cinema in the first half was £12.46 — more than 50 per cent higher than the industry average price, according to the UK Cinema Industry Association. Customers also spent an average of £11.09 each on food and drinks.
Despite healthy demand Everyman reported operating profits of just £102,000 in the first half, its first half-year profit since 2022, as a result of increased costs. The company’s shares were little changed on Wednesday morning.
Scrimgeour acknowledged that UK consumers were facing “a lot of uncertainty” but insisted that Everyman offered an “affordable luxury” that could still attract budget-conscious customers.
The cinema industry’s recovery from the pandemic was stalled by the US writers’ and actors’ strikes, which shut down production in Hollywood for six months in 2023.
Empire Cinemas and Cineworld both went into administration in 2023, and Cineworld said last year it would close 11 cinemas in the UK after agreeing a sweeping restructuring deal.
Everyman, by contrast, is continuing to expand, increasing its share of the UK cinema market to 5.8 per cent in the first half. The chain, which operates 49 cinemas, plans to open four further locations in 2026 and 2027.
Mark Photiades, an analyst at Canaccord Genuity, said he was optimistic that Everyman had “plenty of further UK expansion potential” for its “differentiated and elevated brand offer”.
The pipeline of major studio releases is finally “akin to the pre-pandemic film slate for the first time”, said Scrimgeour.
He referenced the upcoming release of Universal’s Wicked: For Good. The first instalment of the musical was the UK’s highest-grossing film in 2024, netting £59.6mn.