The Fantasy Entertainment Empire

Chapter 230 Acquisition

Fan Zhe is looking forward to playing the beta version of "Taiwu Painted Scroll 2" a week later, but before that, he still has a work report to listen to.

Ye Jiayi approached him and talked about the income of the movie "Hell Apartment".

At present, "Hell Apartment" has basically been released from major theaters, and the total box office is fixed at 380 million yuan.

At present, the domestic film market is already a huge ticket warehouse that can be compared with North America. All kinds of movies with a box office of 20 to 3 billion came out frequently, which was something that was impossible to imagine a few years ago, let alone "Wolf Warrior 2" with a box office of more than 5 billion.

In this environment, the box office of "Hell Apartment" of 380 million yuan is not very impressive.

It's just that words can't be counted like that.

In name, "Hell Apartment" is only a movie with an investment of 20 million yuan, and it has earned nearly 20 times the box office, which is already a very good result.

At least, it can definitely be considered a success.

"...The division of box office profits between us and Lotus Leaf Films has come to an end. In the past week, the relevant funds have been credited to the account one after another."

"Deducting the funds for theaters, deducting taxes and fees, and then calculating according to the distribution share between us and Lotus Leaf Films, we recovered about 96 million yuan of funds through the box office."

"At the same time, copyrights for derivative products, online broadcasting, and broadcasting copyrights for TV stations were sold separately, and the total revenue reached 50 million yuan. According to the agreement, 20% of the profits in this area belong to Lotus Leaf Pictures. Here we can Harvest 30 million yuan."

"On the movie "Hell Apartment", our total domestic revenue has reached more than 126 million, which is very rich compared to our investment."

"Ten percent of the 126 million profit, or 12.6 million, belongs to Lotus. The real profit we got is about 114 million."

"At the same time, we are currently promoting the release of this work overseas. It is expected to be released on a small scale in North America and Europe, but there should be a relatively large release scale in Asia. All our copyrights in Europe and the United States are bought out. It sold five million US dollars. In Asia, it operates on a box-office basis, and it is expected that the film will be released globally after the end of the year."

This is another income of tens of millions of RMB.

"Overall, on the movie "Hell Apartment", we can probably make more than 150 million profits."

After Fan Zhe heard what Ye Jiayi said, he couldn't help nodding.

In fact, Dimension Entertainment's serious investment in the project "Hell Apartment" is only 3 million.

The real rate of return has reached 50 times!

Even with a nominal investment of 20 million yuan, the rate of return is 7.5 times.

This is real profiteering!

Fan Zhe is also quite complacent, this is the first movie he directed!

To have such an achievement, in fact, even he himself did not expect it.

At the beginning, he started the filming of this movie with the idea of ​​practicing his hands. At that time, he didn't really think much about profit, he just tried it out and purely practiced it. Even in his heart, he was prepared to lose money in the end.

It turned out that I didn't expect to earn so much.

However, after thinking about it again, Fan Zhe felt that some things were quite painful.

"Heye Films, when our film was released, did they get a little dirty with us?"

"Um."

"Then...we are at a loss. We took the risk, shot the movie, and distributed it to them. The publicity cost they invested was not high, and they took away more than 100 million in the profit of the movie! It's really uncomfortable..."

This is indeed very uncomfortable, and it is also the most uncomfortable place for many companies in the industry without distribution channels.

A lot of money was invested, a lot of energy was spent, and a movie was made. If it fails, the distributor will not suffer too much loss; if it succeeds, the theater chain will be the grandfather, the distributor will be the father, and the profits left to the producer in the end will not be much at all.

Large distribution companies are the upstream of this industrial chain, so they are naturally able to exploit the producers.

Dimension Entertainment suffered a loss in this regard.

At the beginning, if Lotus Leaf Films had done its best to do a good job in distribution, why would "Hell Apartment" be so dismal in the early stage of its release? If the box office exploded in the early stage, will the final box office be much higher than it is now?

No one knew about this, but it didn't prevent Ye Jiayi from thinking so.

Under such circumstances, it is really uncomfortable to distribute so much money to Heye Films according to the contract.

It was this discomfort that gave her an idea.

"Fan Zhe, I want to buy a publishing company."

Hearing Ye Jiayi's thoughts, Fan Zhe didn't hesitate at all, and directly agreed: "Okay."

His idea is very simple, in the future, Dimension Entertainment will inevitably make a lot of movies. In the cultural and entertainment industry, film is undoubtedly the most influential and profitable category, the top cultural product, and the main battlefield for "Dimensional Entertainment" in the future.

Establish a distribution channel by yourself, and you will not encounter such things as being disgusted by the distribution company in the future, and at the same time, the profits generated by the film can be attributed to yourself as much as possible.

Building distribution channels from scratch is slow and has many difficulties. A better way is to directly acquire a distribution company, which is more appropriate.

Ye Jiayi was not surprised that Fan Zhehui agreed so readily. She continued: "I already have a goal, Xinmo Media, do you remember this company?"

"Remember, when Du Zhengde filmed "Phantom Wars", he invested in this company and produced it."

"They are a company that integrates investment, production and distribution. It was established ten years ago and had a good performance at the beginning. However, after "Magic Shadow Wars", successive failures have seriously affected them. The capital chain. They have raised money many times, but they still haven’t curbed the company’s decadence, and many shareholders have withdrawn their capital. I roughly figured out that we can take this opportunity to acquire this company. Although they did The film is not very good, but the distribution channels are relatively complete.”

"How much will it cost?"

"If it was acquired four years ago, it would have been at least 6 billion. Now, their assets have shrunk severely. It is said that most of the film copyrights have been sold by them, and the distribution channels have also shrunk. It is estimated that after a wholly-owned acquisition, maybe About 1.5 billion can be won."

"1.5 billion?" Hearing this figure, Fan Zhe frowned, "Do we...have so much money?"

——

The previous chapter has been modified. After the continuous filming of "Martial Arts Master", it will be divided into two parts and launched online. Thanks to [Chocolate Bones] for the reminder, I feel that this is indeed more reliable.

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