China Entertainment: Starting from 07 Kuainan

Chapter 233 Money, money, money (please subscribe)
After Du Hua left, Financial Director Pan Min also walked into the office holding a pile of documents.

"Mr. Lu, you need to sign these documents."

Arriving at the desk, Pan Min classified the documents into categories as he spoke.

"The above payment is for suppliers. This one is more urgent. The total amount is 5000 million yuan."

"This is the box office split of "Cohabitation in Time and Space", this..."

"Split accounts?"

Hearing the words "box office division", Lu Yuan immediately looked up.

"Come down so soon?"

How long has it been?

"Mr. Lu."

Pan Min reminded with a smile: "You said last time that China Film will handle special matters, and the accounts for "Cohabitation in Time and Space" will be sent to the company in advance."

"I just didn't expect it to be so fast." Lu Yuan said with emotion.

Of course he would never forget this.

Generally speaking, movie box office accounts are not paid so quickly. The more common payment cycle in the industry is three to six months.

Counting starts from the day of release.

As for whether it is three months or six months, it depends on the ability of the producer.

The reason why it takes so long is mainly due to the settlement cycle. With so many theaters across the country, payment and approval take time.

This part of the work is carried out by China Film and a third-party accounting firm.

From the perspective of theaters, box office revenue is retained for one more day, and the money is in your own hands. Even if you do nothing and just put it in the bank to earn interest, it is still an extra income.

The longer you stay, the higher the interest rate spread.

The interest rate difference for one movie may not be much, but when dozens of movies are added up, it is significant.

The current payment period of three to six months is still the result of many parties’ efforts.

The release date of "Cohabitation in Time and Space" is February 2th, which is not even two months ago. Even if it is a special event, it is a little too soon.

Thinking of this, Lu Yuan first put down the supplier's payment bill and looked at the financial data of "Cohabitation in Time and Space".

As of the next painting, the cumulative box office of "Cohabitation in Time and Space" has just exceeded 3.4 million.

Looking through the files, the first thing that caught my eye was a set of data.

Business tax: 1122 million.

Film special development fund: 1700 million yuan.

The amount of box office share after deduction: 31178 million.

Share attributable to the producer: 1.34 million.

Star Media’s share: 1.07 million

Huayi Brothers’ share: 670 million.

Enlight Media, Hurray, and Wanda: Same as above.

Comprehensive rate of return: 152%
After quickly going through the document, Lu Yuan left his signature in the signature column.

In fact, Star Media made more than 7000 million yuan, and the real rate of return is a bit higher than the book figure. However, if the publicity and distribution costs are folded into cost accounting.

The yield dropped to 152%.

This is mainly done to avoid taxes.

Reasonable tax avoidance and tax evasion are two different things. The former is reasonable, legal and compliant tax avoidance within the framework of the financial system.

The latter, that is, freedom without prohibition by law, and trying to find ways to exploit loopholes in the law.

The concept is completely different.

After signing the separate payment, Lu Yuan picked up the supplier's payment bill.

The supplier's payment on the bill was used for the cinema renovation project.

These 5000 million may seem like a lot, but they only account for one-third of the contract, and there will be another [-] million in the future.

As the construction progress progresses, Star Media has to pay on time every once in a while.

after an hour.

Financial matters have been dealt with.

When Pan Min left the office, Lu Yuan couldn't help but sigh.

This money.It’s really inconvenient.

More than a month ago, the company's books still had 1.5 million idle funds for theater acquisitions, but now there are only [-] million left in the books.

If the sub-account had not been received in advance, there would only be 5000 million vacant funds left in the book.

Fortunately, the Yanjing Bank loan will be received by the end of the month, otherwise, Boss Lu would have to inject capital into Xingchen Media again.

In the past two months, although Lu Yuan has been staying in China and has not traveled to Europe and the United States to make announcements, his English albums are still selling well.

It has won several awards at the American Music Awards, Grammys, and Brit Awards. These honors alone are enough to support sales.

Although "Lucas·LU" has been released for more than a year, it is still firmly nailed on the America Billboard 200 list.

It has been on the list for more than 59 weeks.

So far, the single-week sales in North America can still maintain more than [-] copies.

The sales volume in Europe is a little higher than that in North America. After all, the album was released later, and the sales volume in a single week is between 2 and 3.

Added together, other regions such as Oceania, South America, Xiaobangzi, and Xiaorizi can sell thousands to [-] copies every week.

Calculating time, the album sales share should be recorded in the first quarter of 2009.

A few days ago, Universal has sent detailed reports to his mailbox.

The global album share in the first quarter was approximately US$400 million after tax.

The main reason why it is so high is because the album has just been released in Europe, which has boosted sales.

Half of this 400 million was contributed by Europe.

Thanks to the European veterans for supporting the ammunition.

However, Lu Yuan will not inject this part of the money into Xingchen Media for the time being.

Of this money, 400 million will be invested in Riot Games.

That's right.

Riot Games is out of money again.

The addition of Tengxun has greatly accelerated the development progress of "League of Legends", but corresponding to the progress, money is burning faster.

Riot Games is about to conduct Series B financing.

If Lu Yuan wants to keep his shares from being diluted, he must follow the investment.

With an investment of US$400 million, Lu Yuan holds 14.5% of the equity. Not only will it not be diluted, but it will increase to 15.8%.

The extra equity was, of course, cut from the founding team of Riot Games.

They don’t have the capital to invest.

Equity dilution is an inevitable result.

However, although the equity is partially diluted, the valuation of their equity holdings has increased in disguise, which can be regarded as a gain and a loss.

After deducting these 400 million US dollars, Lu Yuan still has 1000 million US dollars left.

This money is also not prepared for Star Media.

It is an ammunition depot prepared for Wang Xing and Zhang Yiming.

If nothing else, the surprise still came.

Recently, Fanfou.com received a notice from relevant departments. Due to inappropriate remarks, the website needs to conduct self-examination and strengthen platform review.

These days, there is no AI review. If you want to do a good job in review, you can only use manual work.

However, the number of registered users of Fanfou.com has exceeded 200 million, and the number of daily active users is close to one million. User stickiness is very high.

Highly active users also make auditing more difficult.

With the current size of Fanfou.com, it is simply unable to control it unless the number of reviewers is increased.

But how many people will be hired to review millions or even tens of millions of messages every day?
Obviously, this is a bottomless pit.

At this point, Lu Yuan was ready to suspend Fanfou.com for rectification.

When the notice comes, he will find Wang Xing and persuade him to change his career.

What do you do on Weibo?
Let’s go for group buying.

Mr. Lu not only thought about the name, but also prepared the money.

Angel wheel, $500 million.

(End of this chapter)