I’m in Hollywood Chapter 504: Market value of Firefly
Remember [lnmao.org] in one second, fast update, no pop-up window, free to read!
North America ’s media interested in Firefly ’s revenue status failed to obtain the Firefly ’s public annual financial report, sent interview invitations to Firefly executives, and refused. In order to gain attention, they began to collect data from other sources. Self-analysis of the data that comes.
The data given by the professional financial media is relatively reliable, and the non-professional entertainment has basically no evidence for the media. It is completely fabricated according to the model of how to attract attention and how to write it. The speculation of Firefly Pictures's business situation is all over the large and small media, and most of them are unfoundedly exaggerated in order to attract eyeballs, and the sales of these magazine often have not been small. In just a few days, the annual profit of Firefly Pictures in the media even skyrocketed to a maximum of 2.6 billion USD, and even Eric did not know how those magazines were calculated.
Jeffrey pushed open the door of the Eric office and saw that the whole body of Eric was trapped in a leather chair, with his legs propped on a dark red desk, holding a thick printed document in his hand and reading it leisurely. , So he knocked on the door again.
Eric put away the sitting position, put the documents in his hand on the table before reaching out to Jeffrey: "Jeffrey, is there anything?"
Jeffrey walked across Eric, took a chair and sat down, glanced at the document that Eric just read, curiously: "New script?"
"No," Eric smiled and pushed the document over: "Look at it, Chris sent it."
When I heard something sent by my son, Jeffrey picked it up curiously, and found out that it was originally a contract on the equity incentive plan for the management of IE. After turning a few pages, Jeffrey was dizzy. I have n’t looked at it anymore. It ’s just a contract. It has more than 110 pages. Like a thick book, it is more complicated than the contract signed by Hollywood Star and Film Studio.
"When I was in Thanksgiving, I discussed with Chris, and I plan to give IE, Yahoo, and Hotmail management companies a share award of about 20% in 1995. This is a draft contract issued by Chris," Eric Seeing that Jeffrey quickly put down the printout in his hand, he actively explained the sentence.
Based on the market expansion rate shown by IE and Yahoo, the valuation of the market value of the two companies that have withdrawn from the product has exceeded 100 million USD in the capital market. Therefore, the 20% equity incentive plan is not a trivial matter. Chris negotiated with the management of the three companies for a month before it was finalized, and the contract has nothing to do with various terms and possibilities According to regulations, there are more than one hundred pages. Even Eric was a bit surprised when I saw it for the first time, but after reading it, I felt that there was no clause in it that was unfounded and unfounded. It can be seen that Chris spent a lot of energy for this matter.
"I do n’t understand all the things you did," Jeffrey smiled and shook his head before saying: "Carolyn has already produced the annual financial report, please take a look first." Say, Jeffrey just Passed the documents brought in when I just walked in to Eric.
"Oh, so fast, I thought it would be another week." Eric took over and said that the New Year had just passed, and it was less than a week after work after the holiday. Eric did not expect the efficiency of the Finance Department to be so tall.
"I specifically urged Carolyn a few times," Jeffrey looked at Eric and looked at the document: "It ’s so outrageous outside, I always feel relieved to make it earlier, Eric, is Carolyn holding a meeting? Press conference, a little news to the outside world, otherwise the media will not stop. "
Eric looked down at Firefly's 1992 financial report. Said: "They have touted the annual profit of Firefly to 2.6 billion. Anyone with a little brain knows this is nonsense, so let them guess it. We have no obligation to satisfy their curiosity. "
Jeffrey smiled. With satisfaction on his face, he said: "Although the figure of 2.6 billion USD is indeed somewhat outrageous, if North America and overseas film and television entertainment markets expand according to the current situation, it may not take a few years to achieve this level of Firefly. "
"Of course, this is sooner or later," Eric followed.
Firefly's current main profitable businesses include film and television entertainment, peripheral products, theme parks and TV business. Unlike more than ten years later, the profits of film and television entertainment accounted for only a small percentage of the revenue of the media group. At present, the film and television entertainment income of the seven major Film Studio of Hollywood is still the most important piece of profit.
In the Firefly financial report for 1992, the total revenue of the three major sectors, including North America Box Office revenue, overseas Box Office revenue and video tape distribution, was 4.2 billion USD. Although overseas Box Office accounted for the highest share, reaching 1.8 billion USD, overseas Box Office The profit margin is the lowest. After deducting the costs of the overseas theater companies ’share and issuance budget, the overseas profit margin is only 14%, and the profit is about 250 million USD, while the profit margin of North America Box Office is higher. North America Box Office of 1.5 billion USD Revenue, deducting announcement and production costs, Firefly can get 520 million USD in total. The final video tape distribution profit rate is the highest, because it is self-published, 900 million USD video tape income Firefly deducts the distribution cost, the profit reaches 5. 800 million USD. This figure is almost the same as the Box Office income, and even more than the North America local income, but this is not too surprising. As early as the late 1980s, the big Film Studio's video tape income has been equal to the Box Office income.
The next revenue of peripheral products mainly depends on Disney peripheral product stores. After the completion of the acquisition of Disney, Firefly handed over the development of peripheral products of "Toy Story" sold last year by Box Office to the relevant departments of Disney's, so this year Disney stores The sales of the store are in 1.6 billion USD, and the total profit is 330 million. The revenue of theme parks and resorts is 3.7 billion USD, but because of the huge operating costs, the profit margin is only about 10%, and the income is 360 million USD.
In addition, the finance department allocated the TV series authorized revenue of the Firefly movie to the TV business, and the total TV programs of 《Friends》, "X file" and "Who Wants to Be a Millionaire?" and Firefly held Fox TV Network10% shares The total profit is 7.200 million USD.
If operating expenses are not taken into account at all, all of the above profits add up to a total of 27.600 million USD, which is almost the same as the 2.6 billion USD annual profits advertised in the media.
However, although some costs have been deducted from this figure, the salaries of thousands of employees within the Firefly system and other software and hardware expenditures are still quite large. Moreover, Firefly also has to provide a continuous flow of technology research and development funds for its digital field and the technical department of Pixar studio, plus Firefly must also pay off part of the principal and interest of the 2 billion USD liability that was carried by the original acquisition of Disney, minus these expenses, 27.600 million USD The profit is only about 1.5 billion USD.
This is not yet a profit that Firefly will eventually fall into the pocket. Do n’t forget that North America ’s business tax ratio is up to 35%, and after deducting the taxes that should be paid, Firefly ’s annual net profit is only 9.800 million.
"980 million!" Eric couldn't help but sigh. I have an impulse to work hard with the United States IRS.
"Yeah, 980 million!" Jeffrey's tone is quite exciting. At present, the Hollywood seven majors, because of the high profit TV Station such as Turner broadcaster, Warner's annual profit only reached 9.500 million USD Warner has been in the position of Hollywood overlord for almost ten years, and the financial report in the hands of Eric also announced that from the beginning of this year, Firefly finally drove Warner out of the position of Hollywood boss. Thinking of these, Jeffrey could not bear Live asked: "Eric. What are you going to do next?"
Eric put down the financial report file and shook his head: "At the moment I have no further plans, at least I have to wait until next year."
Jeffrey unexpectedly said: "Why, we already have so much cash in hand, it would be a pity if we do n’t invest."
"But we can't simply invest for investment, and the cash cannot meet my needs," Eric said. According to the historical trajectory, the investment scale of the movie is getting higher and higher. It also means that the profit of the business segment of film and television entertainment will rapidly decrease. In contrast, the profit of TV Network has been rising, even after more than ten years. It may reach more than half of all media group revenue.
Therefore, Firefly's next expansion plan will definitely develop to the TV business.
However, although North America three Major TV Networks has not yet fallen into the hands of the media group, the market value has not started to skyrocket, but it wants to acquire. The asking price will still not be too low. The oil crisis of the Gulf War, such as making a fortune, is not so easy to meet for the second time. Eric does not want to borrow heavily from investment institutions. The best way is of course Rely on your own strength to accumulate funds.
Although the profitability of Firefly this year has excited the company internally, as long as next year's "Jurassic Park" can achieve the sensational effect and record-breaking Box Office as the original space and time, then the profit of Firefly will soar again next year. For some other operations, Firefly will certainly be able to raise enough funds to spend on the acquisition of TV Network.
Eric is talking to Jeffrey about his future plans. Alan knocked on the office door a few times and walked in with permission.
"Eric, here is an invitation to interview. It is for you. I think you need to see it?" Alan nodded toward Jeffrey and walked over.
Eric has some doubts. He told Alan long ago that all interview invitations from the media were pushed away. Since Alan still sent the invitation letter to himself, it would definitely not be a simple invitation.
"" Forbes "magazine?" Eric was surprised to see raised the eyebrow when he saw the invitation letter for the interview.
Alan nodded, but his expression was quite happy: "This is an invitation sent by Steve Forbes, editor-in-chief of" Forbes "magazine, and there are some materials below."
Eric yelled, but continued reading.
"Forbes" has launched a sensational United States rich list since the early 1980s, and since 1985, with the rapid rise of the Walmart supermarket chain, Sam Walton, the founder of Walmart, has occupied the richest man in the United States rich list position.
However, unfortunately, Sam Walton died in April last year, and his wealth of more than 20 billion USD was evenly distributed to his wife and several children. In this case, although Walton Family is still It is the richest family in United States, but in terms of personal wealth, it is impossible for anyone in Walton Family to take the position of the richest man in North America.
At this time, in the information attached to the invitation letter delivered by magazine of "Forbes", an overall valuation of the Firefly Pictures Group was carried out. The final number was 105.0 billion USD, "Forbes" magazine also based on the information collected from various channels, except for the liabilities of Firefly Pictures, plus the assets owned by Eric in the Firefly investment company, the valuation of the value of Eric is 9.5 billion USD, and this number can be won. North America ranks first in the rich list.
In the original time and space, in 1995, Bill Gates, with the success of Win95, soared and rose to the top of the North America rich list with a value of more than 12 billion USD, but now the North America economy has not started to recover, plus creative management The miracle of Sam Walton passed away, Eric's worth of 9.5 billion USD has already been able to get the throne of the rich list.
Carefully, Eric currently holds more than 98% of the assets of Firefly. The original Firefly shares held by Jeffrey and Michael Lynn were also diluted after the acquisition of Disney, and the shareholding ratio of Jeffrey is only remaining. One, Michael Lynn is even less, while Pixar executives John Lasseter, Ed Carmore and Stan Winston in charge of the digital field, etc. are only holding some shares of the corresponding branch, so it can be said that Eric almost completely owns Firefly.
If Firefly is a listed company, with this year's performance, after the annual financial report is released, the market value easily breaks through the 10.5 billion USD valuation given by "Forbes" magazine is basically not a problem, but "Forbes" magazine obviously also knows the investment of film and television Strong uncertainty, so the valuation given is relatively accurate, and this figure minus the liabilities of Firefly Pictures is obviously the net worth obtained by Eric with this company. However, Eric still has some other high-tech industries. Investment, Cisco After a number of expansion-type enterprise mergers and acquisitions, the number of shares held by Firefly investment has slightly decreased, but it still maintains 36% of the shareholdings. Based on the current market value of Cisco, it is also probably around 1 billion USD, which is also an investment of Firefly The most valuable business at present.
And Firefly's cash reserves of 1 billion USD, "Forbes" magazine obviously could not be heard.
Calculate like this, 9.5 billion USD, on the surface, it is indeed more in line with Eric's current net worth. (To be continued.)