Event Hospitality & Entertainment Ltd (ASX: EVT) shares dropped 5.4% to $11.36 today after it reported a full year profit from continuing operations of $104.3 million on revenue from continuing operations of $998 million. The continuing profit and revenue were down 6.7% and up 2% on the prior corresponding period.
Statutory net profit after tax from discontinued operations was $111.9 million and flat on the prior year. The group is in the process of selling its German cinemas business which reflects the reporting of profits on a continuing basis or otherwise.
The group will pay a final dividend of 31 cents per share to take full year dividends to 52 cents per share all of which is flat on the prior fiscal year.
The weak spot from continuing operations was the group's Australian Event cinemas business that suffered from a lack of blockbuster new movies over the period to draw in the crowds. In this section normalised profit before tax landed 12.2% lower at $60.2 million.
The hotels business under the popular Rydges, QT and Artura brands posted 0.3% profit before tax growth to $69.5 million which is a new record.
The Thredbo alpine resorts business grew profit before tax 14.6% to $25.6 million thanks to a good 'snow season' and the growing popularity of the destinations over the summer months.
On my calculations basic earnings per share came in at 69.6c to mean at $11.36 the stock trades on 16x FY 2019's EPS with a 4.5% yield. This is roughly in line with historical averages.
Another leisure focused business to report some strong numbers today is Flight Centre Travel Group Ltd (ASX: FLT).
