ASX:VRL

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Village Roadshow

Executive Summary

Village Roadshow Limited engages in theme park and water park, cinema exhibition, film distribution, and sales promotion and loyalty program operations businesses in Australia, the United States, Europe, and internationally.


Snowflake Analysis

Reasonable growth potential and fair value.


Similar Companies

Share Price & News

How has Village Roadshow's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: VRL's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-5.5%

VRL

-4.0%

AU Entertainment

0.3%

AU Market


1 Year Return

-25.4%

VRL

-32.1%

AU Entertainment

-10.9%

AU Market

Return vs Industry: VRL exceeded the Australian Entertainment industry which returned -32.1% over the past year.

Return vs Market: VRL underperformed the Australian Market which returned -10.9% over the past year.


Shareholder returns

VRLIndustryMarket
7 Day-5.5%-4.0%0.3%
30 Day1.0%-5.4%2.7%
90 Day42.0%12.8%18.6%
1 Year-24.1%-25.4%-29.6%-32.1%-7.2%-10.9%
3 Year-45.8%-47.9%-33.9%-39.7%17.2%1.7%
5 Year-61.8%-66.0%-35.3%-45.0%35.7%6.4%

Price Volatility Vs. Market

How volatile is Village Roadshow's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Village Roadshow undervalued compared to its fair value and its price relative to the market?

26.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VRL (A$2.08) is trading below our estimate of fair value (A$2.83)

Significantly Below Fair Value: VRL is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: VRL is unprofitable, so we can't compare its PE Ratio to the Entertainment industry average.

PE vs Market: VRL is unprofitable, so we can't compare its PE Ratio to the Australian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate VRL's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: VRL is good value based on its PB Ratio (1.2x) compared to the AU Entertainment industry average (1.4x).


Next Steps

Future Growth

How is Village Roadshow forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

102.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VRL is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.3%).

Earnings vs Market: VRL is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: VRL's is expected to become profitable in the next 3 years.

Revenue vs Market: VRL's revenue (7.4% per year) is forecast to grow faster than the Australian market (4.5% per year).

High Growth Revenue: VRL's revenue (7.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VRL's Return on Equity is forecast to be low in 3 years time (0.9%).


Next Steps

Past Performance

How has Village Roadshow performed over the past 5 years?

-46.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VRL is currently unprofitable.

Growing Profit Margin: VRL is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: VRL is unprofitable, and losses have increased over the past 5 years at a rate of -46.2% per year.

Accelerating Growth: Unable to compare VRL's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: VRL is unprofitable, making it difficult to compare its past year earnings growth to the Entertainment industry (4%).


Return on Equity

High ROE: VRL has a negative Return on Equity (-11.03%), as it is currently unprofitable.


Next Steps

Financial Health

How is Village Roadshow's financial position?


Financial Position Analysis

Short Term Liabilities: VRL's short term assets (A$255.0M) do not cover its short term liabilities (A$359.7M).

Long Term Liabilities: VRL's short term assets (A$255.0M) do not cover its long term liabilities (A$793.5M).


Debt to Equity History and Analysis

Debt Level: VRL's debt to equity ratio (79.9%) is considered high.

Reducing Debt: VRL's debt to equity ratio has reduced from 97.4% to 79.9% over the past 5 years.

Debt Coverage: VRL's debt is well covered by operating cash flow (39%).

Interest Coverage: VRL is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Village Roadshow current dividend yield, its reliability and sustainability?

2.40%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: VRL's dividend (2.4%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.61%).

High Dividend: VRL's dividend (2.4%) is low compared to the top 25% of dividend payers in the Australian market (6.38%).


Stability and Growth of Payments

Stable Dividend: VRL's dividend payments have been volatile in the past 10 years.

Growing Dividend: VRL's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: VRL is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: VRL's dividends in 3 years are not forecast to be well covered by earnings (94.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

14.1yrs

Average management tenure


CEO

Clark Kirby

0.50

Tenure

AU$1,027,757

Compensation

Mr. Clark J. Kirby has been the Chief Executive Officer at Village Roadshow Limited since January 01, 2020 and has been its Director since February 2020. Mr. Kirby has been the Chief Executive Officer at V ...


CEO Compensation Analysis

Compensation vs Market: Clark's total compensation ($USD710.46K) is above average for companies of similar size in the Australian market ($USD525.67K).

Compensation vs Earnings: Clark's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Robert Kirby
Executive Chairman1.92yrsAU$1.25m1.61% A$6.8m
Clark Kirby
CEO & Director0.50yrAU$1.03m0.48% A$2.0m
Julie Raffe
Finance Director & Joint Company Secretary8.17yrsAU$921.50k0.56% A$2.3m
Simon Phillipson
Director of Corporate Affairs24.17yrsAU$758.86k0.053% A$221.8k
Phil Oneile
Chief Marketing Officer of Roadshow Films4yrsno datano data
Graham McHugh
Chief Financial Officer of Warner Village Theme Parksno datano datano data
Eduardo Novillo Astrada
Managing Director - Argentina - Village Gold Class Cinemasno datano datano data
Antonio Maldonado
Managing Director of Italy - Village Gold Class Cinemasno datano datano data
Glen Barros
Chief Operating Officer of Concord Musicno datano datano data
Joel Pearlman
Chief Executive Officer of Roadshow Filmsno datano datano data

14.1yrs

Average Tenure

Experienced Management: VRL's management team is seasoned and experienced (14.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Robert Kirby
Executive Chairman1.92yrsAU$1.25m1.61% A$6.8m
Clark Kirby
CEO & Director0.50yrAU$1.03m0.48% A$2.0m
Julie Raffe
Finance Director & Joint Company Secretary8.17yrsAU$921.50k0.56% A$2.3m
Bruce Berman
Chairman & CEO of Village Roadshow Pictures Entertainment Inc20.5yrsAU$2.06mno data
John Kirby
Non-Executive Director31.92yrsAU$100.21k0.47% A$2.0m
Graham Burke
Non-Executive Director31.83yrsAU$1.25m0.61% A$2.6m
Jennifer Fox Gambrell
Independent Non-Executive Director4.67yrsAU$118.64k0.077% A$324.8k
Robert Le Tet
Independent Non Executive Director13.25yrsAU$121.59k0.19% A$793.8k
Peter Tonagh
Lead Independent Director0.58yrno data0.014% A$60.6k
Anna Duran
Independent NonExecutive Director0.58yrno datano data

6.4yrs

Average Tenure

69yo

Average Age

Experienced Board: VRL's board of directors are considered experienced (6.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: VRL insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Village Roadshow Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Village Roadshow Limited
  • Ticker: VRL
  • Exchange: ASX
  • Founded: 1954
  • Industry: Movies and Entertainment
  • Sector: Media
  • Market Cap: AU$419.793m
  • Shares outstanding: 195.25m
  • Website: https://www.villageroadshow.com.au

Location

  • Village Roadshow Limited
  • 500 Chapel Street
  • Level 1
  • South Yarra
  • Victoria
  • 3141
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
VRLASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJan 1992
VLRD.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
VRLCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJan 1992

Biography

Village Roadshow Limited engages in theme park and water park, cinema exhibition, film distribution, and sales promotion and loyalty program operations businesses in Australia, the United States, Europe, and internationally. The company owns and operates theme parks and water parks that provide entertainment, rides, and slides for families and thrill seekers in Queensland's Gold Coast, Australia, as well as Las Vegas. It also operates approximately 700 screens at 74 sites in Australia and internationally. In addition, the company distributes theatrical movies to cinema, pay television, and free to air television in Australia and New Zealand; and theatrical, television, and children's content for electronic sell and transactional video-on-demand through iTunes, Foxtel, Telstra Bigpond, and other online platforms, as well as DVD, Blu-ray, and digital products to the retail and rental channels, and online platforms. Further, it is involved in the television production business; production, distribution, and sale of films; and provision of digital platforms and rewards, and loyalty programs. The company was formerly known as De Laurentis Entertainment Limited and changed its name to Village Roadshow Limited in 1998. The company was founded in 1954 and is based in South Yarra, Australia. Village Roadshow Limited is a subsidiary of Village Roadshow Corporation Pty. Limited. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/02 10:34
End of Day Share Price2020/07/02 00:00
Earnings2019/12/31
Annual Earnings2019/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.