Cineworld maintains guidance as it looks ahead to bumper slate of films
Cineworld has said it is on track to deliver full-year revenue in line with expectations, as it looks ahead to a string of hit releases later in the year.
The London-based cinema chain posted a 9.4 per cent drop in revenue over the first quarter, which it blamed on the timing of major releases such as Black Panther and Avengers: Infinity War in the same period last year.
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But the firm said it has seen box office performance pick up over the last three weeks due to the release of Avengers: Endgame, which has grossed more than $2.5bn (£1.9bn) worldwide to date.
Cineworld also pointed to major upcoming releases including Toy Story 4, The Lion King and Star Wars: The Rise of Skywalker, which it said would boost trading for the rest of the year.
“The relatively slow start to the year in the first four months has come as no surprise as the comparative period in 2018 was extremely strong,” said chief executive Mooky Greidinger.
“We are confident that the strong film release line up in the balance of the year will enable us to achieve results that meet our expectations for the full year.”
Shares in Cineworld slipped marginally following the update.
In a separate announcement Cineworld said it has signed a $286m deal to sell 17 of its US cinemas and lease them back over a 15-year period.
Read more: Black Panther breaks Cineworld's box office record but UK sales slip
The firm said it will use proceeds of the transaction to cut its net debt as part of a wider deleveraging strategy.
Cineworld also said it had made good progress in its refurbishment and integration plans for Regal cinemas after buying the US chain for £2.7bn earlier this year.