Revenue down 39.4% drove a $56.7m NPAT loss as debtor days more than doubled

What changed

Revenue fell 39.4% to $87.5m from $144.5m as cinema-industry disruption flowed through Vista's customer base. EBITDA swung to a $11.4m loss, which management notes includes $13.0m of non-cash expected credit loss and credit risk provisions. PBT fell to -$64.3m from $18.4m and NPAT to -$56.7m from $10.8m. Operating cash flow dropped to $3.0m from $15.5m (-80.6%). The balance-sheet story moved the opposite direction: cash ended at $67.1m versus $19.5m, net cash widened to roughly $49.0m from $7.7m, and gross borrowings rose to $18.1m. No final dividend was declared, versus a 2.1c final in FY19. Segment disclosure shows Cinema at $56.8m of revenue (64.9% of group, EBITDA margin ~-6.2%), Movio $14.8m, AGC $14.4m, and Corporate carrying the -$7.5m overhead loss — all four segments were EBITDA-negative.

What matters

• Receivables quality. Trade receivables rose to $47.5m from $35.4m even as revenue fell 39.4%, lifting debtor days from 89 to roughly 198. The $13m of credit provisions sits alongside this, and the gap between the EBITDA loss (-$11.4m) and operating cash inflow (+$3.0m) is carried largely by non-cash charges rather than by collection discipline.
• Liquidity was rebuilt off-P&L. Year-end cash of $67.1m plus $39m undrawn debt is a defensive position, but the $47.6m cash build came alongside rising borrowings and flat equity of $163.1m, not from trading. Management's disclosed second-half burn of ~$3.7m/month frames the runway rather than profitability.
• Recurring mix improved as a by-product. Recurring revenue of $66m held at 74% of 2019, lifting the recurring share of the mix to about 75% from 62%. That is a defensive positive, but it reflects cyclical revenue collapsing faster than recurring revenue, not an earned strategic shift.

Expectations

No quantitative revenue or earnings guidance was disclosed. The only forward markers are the stated $3–4m/month H2 cash burn range (FY20 landed at $3.7m/month, within range) and a product launch flagged for H1 2022. Seasonality within FY20 was slightly first-half weighted on revenue (HY20 = 51.2% of FY20), but the loss profile improved materially into H2: HY20 carried 74.8% of the full-year NPAT loss, implying an H2 NPAT loss of roughly $14.3m versus $42.4m in H1, and an H2 EBITDA loss of about $4.9m versus $6.5m. The release supports a read that sequential bleeding slowed; it does not support any view on the pace or shape of recovery.

Quality of result

Low durability signal in the P&L and mixed signal in cash. The $11.4m EBITDA loss already absorbs $13m of non-cash credit provisions, so the "underlying" figure cited by management is meaningfully less negative — but that same credit provisioning is what makes the receivables book hard to read, with debtor days at 198. The $3.0m of operating cash flow and $1.6m of pre-lease FCF (after $1.4m capex) are technically positive, yet operating cash conversion deteriorated sharply (OCF fell 80.6% on a 39.4% revenue decline) and the implied H2 operating cash flow is negative at approximately -$13.7m after HY20's $16.7m inflow. The strengthened cash balance is primarily financing-driven rather than earned. The reported tax credit of $7.6m on a $64.3m pre-tax loss (effective rate -11.8%) is low for a loss year, reinforcing PBT down 449.5% as the cleaner operating read versus NPAT down 625%.

Unresolved

• What portion of the $47.5m trade receivables book is past due, and how much incremental provisioning sits behind the $13m charge already taken?
• Why did H2 operating cash flow reverse to roughly -$13.7m after a strong HY20 inflow of $16.7m — collections, deferrals rolling off, or working-capital unwind?
• With all four segments EBITDA-negative, what is the cost base that remains variable versus fixed heading into FY21, and at what revenue level does group EBITDA turn?
• No FY21 revenue, cost, or margin targets were disclosed; the H1 2022 launch reference is directional only.
• This briefing cannot assess customer-level exposure, cinema-chain credit status, or FY21 trading conditions because concentration disclosure and post-balance-date trading detail are not in the supplied extraction.

Key metrics

Segment breakdown

Analytical metrics

This analysis was generated using Annolyse, an AI-powered tool that analyses NZX company announcements. The analysis is based on available company filings and standard Annolyse calculations. This is general information only and does not constitute financial advice. The analysis may contain errors. Always read the original company filings and consult a licensed financial adviser before making investment decisions.