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Boss of Everyman cinema chain departs weeks after profit warning
Boss of Everyman cinema chain departs weeks after profit warning
The boss of cinema chain Everyman has stepped down less than three weeks after the company warned trading had been weaker than expected.
Everyman Media Group said on Monday that Alex Scrimgeour was leaving with immediate effect and would be replaced on an interim basis by non-executive director Farah Golant.
His sudden departure comes after the firm issued a trading update on 10 December where it cut its forecasts for revenue and earnings, sending its shares down 20%.
The cinema chain runs 49 venues across the UK and is known for its luxury seating and food menus.
Mr Scrimgeour became chief executive of Everyman Media Group in January 2021 after heading French restaurant chain Cote Brasserie since 2015.
In its trading update earlier this month, the firm said trading at the end of the year had been "weaker than anticipated". As a result, it expected revenues of £114.5m for 2025 and underlying earnings of at least £16.8m, down from previous forecasts of £121.5m and £19.9m respectively.
Chairman Philip Jacobson said Mr Scrimgeour had "played a pivotal role in the team that successfully led the business through its recovery from Covid, more than doubling revenue".
Dan Coatsworth, head of markets at AJ Bell, said the outgoing boss had to "deal with a succession of crises from day one" including the cost-of-living, as well as the the pandemic.
However, he added: "The share price fell by 76% during his tenure and time had run out.
While the cinema industry did manage to regain some of its sparkle post-pandemic, Everyman lost its edge in the market.
Mr Coatsworth said the upmarket chain had once offered "a unique proposition", but had since been copied by rivals, including Vue and Odeon, which have installed reclining seats and "also rolled out bars inside their cinemas".
He added that it would be interesting to see if Blue Coast Private Equity, which owns a 29% stake in Everyman, would buy the chain, "opting to remove it from the public spotlight to enact a turnaround programme".
Source: BBC
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