Popcorn index drops at Cineworld

The nation's consumers have emptier wallets, and that's starting to affect the London-focused cinema chain Cineworld.

The group enjoyed a blistering recession, with double-digit growth as Britons saw a night at the movies as cheap entertainment. But the squeeze on consumers is now having an impact. Operating profit fell 12% to £13 million in the six months to July. Cineworld blamed that on a £3.2 million charge, which was mainly spent on converting its screens to digital, and fewer blockbuster films.

But there was a fall, too, in the popcorn index of discretionary spending - average retail spend per customer dipped from £1.71 to £1.67. And although box office receipts were up - 2% higher than last year at £113.9 million, the average ticket price was 2p lower at £4.91. Still, chief executive Steve Wiener pointed to a better film schedule in the second half, and the interim dividend was raised 6% to 3.6p a share. Wiener said: "The fourth quarter brings an exciting line-up of releases such as Twilight Saga: Breaking Dawn Part 1, Mission Impossible: Ghost Protocol and Sherlock Holmes 2 underpinning our confidence in performing in line with market expectations."