Village Roadshow: A profitable ride?

Theme parks, cinemas and film-making are fun, but are they profitable? Jason Prowd makes the case that they are, and may be far more so in the future.

Move over Apple and ExxonMobil. By 2037 Village Roadshow will become the world’s most profitable company, at least according to chairman Robert Kirby. In 1996 he emphatically, and equally unrealistically, declared a target of growing profits by ‘20% per year, forever’. 

Nice one, Robert. The chairman ignores the fact that any company, even one he chairs, struggles to grow earnings by 20% for 10 years, let alone forever. Village itself neatly proved the point. Net profit in 2012 was almost half that of 1996.



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