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## TO OUR SHAREHOLDERS 

## REFLECTING ON 2014 

The Board of Directors of Village Roadshow Limited (“VRL”) are pleased to report that the hallmarks of the 2014 financial year were robust performances in VRL’s core businesses, the continued development of international strategic partnerships, and innovative expansion both in our home markets and overseas. 

No greater example of this exists than in the opening season of the much anticipated Wet’n’Wild Sydney which has show- cased VRL’s ability to create one of the best water parks in the world. Opening well ahead of schedule, the inaugural season enjoyed capacity crowds and heralds the much anticipated second season from 20 September 2014. Standing alongside this achievement are the solid trading from the Gold Coast Theme Parks, the exceptional results from Cinema Exhibition, major film output contract renewals for Film Distribution and advancing the Company’s Asian Theme Park expansion plans through the continued building of critical relationships in China and South East Asia. 

These achievements are due in no small part to VRL’s over- arching, perennial vision of providing our customers with an escape from the everyday. 

## “People will always want to go out and be entertained”... 

Our customers expect the best in entertainment options and each of our business ventures offer their customers good value experiences that exceed their expectations. 

That it is why VRL embraces new technologies, creates new experiences and seeks out new modes of entertainment. With our well known brands in Theme Parks, Cinema Exhibition, Film Distribution and Film Production, VRL’s true expertise in delivering superlative entertainment, coupled with our benchmark marketing expertise, has never been stronger or more important. 

In a competitive marketplace vying for everyone’s attention, we believe the Company delivers immense value in the array of entertainments we offer. We strive to make what we offer so good, so memorable, so positive, that our customers come back for more - again and again. One of the abiding foundations on which our Company is built, is the power of ‘word of mouth’. We honour nothing more than hearing, for example, the glowing feedback from children to our rides at Warner Bros. Movie World or Wet’n’Wild or the heart-felt remembrances from someone who was lucky enough to swim with the dolphins at Sea World. Providing these experiences to our customers is, and will always be, one of the cornerstones of the Company. 

IMAGES: Clockwise from top - Wet’n’Wild Sydney; The LEGO Movie; Sea World: Storm Coaster; Village Cinemas 

VRL has delivered a solid set of earnings results in the 2014 financial year and is committed to delivering significant value to its shareholders through consistent operating results and dividends combined with an exciting, sustainable, long term growth strategy. 

The Company achieved an attributable net profit of $45.8 million for the year ended 30 June 2014, compared to the prior corresponding period result of $50.9 million. The 2014 financial year result includes attributable net losses from material items of $10.7 million, and a further $11.9 million (before tax) in one-off costs mainly associated with the opening of Wet’n’Wild Sydney and the Gold Coast joint marketing campaign. Net losses from material items were $6.3 million in the prior year. 

Earnings Before Interest, Tax, Depreciation and Amortisation excluding material items and discontinued operations (“EBITDA”) for the year ended 30 June 2014 was $170.9 million, up 4.2% on the prior year result of $164.0 million. Attributable net profit before material items and discontinued operations (“NPAT”) for the year ended 30 June 2014 was $56.5 million, slightly down on the prior year result of $57.2 million. Further details are provided in the Reconciliation of Results, forming part of the Directors’ Report, on page 16. 

Diluted earnings per share before material items and discontinued operations of 34.9 cents per share decreased by 3.6% compared to the prior year result of 36.2 cents per share, due mainly to an increase in the relevant number of shares on issue in the year ended 30 June 2014. 

The Board is pleased to continue the Company’s ongoing dividend and distribution program, having distributed $106.9 million in payments to shareholders in or in relation to the 2014 financial year. A fully- franked interim dividend of 13 cents per share was paid in March 2014, and additional payments to shareholders 

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CO-EXECUTIVE CHAIRMEN AND CO-CHIEF EXECUTIVE OFFICERS 

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