Why EVT (ASX:EVT) Reported Higher First Quarter EBITDA and an Ongoing Structure Review

Sonal Goyal

23 October 2026 05:42 PM AEDT

Why EVT (ASX:EVT) Reported Higher First Quarter EBITDA and an Ongoing Structure Review

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Key Highlights

EVT reported normalised first quarter FY27 group EBITDA of $72.5 million, up $10.7 million on the prior comparable quarter.
Rothschild & Co was appointed to assess management's recommendations on the group's future structure, overseen by an independent board committee.
EVT is targeting roughly $800 million of non-core divestments over three years and guided to Thredbo full-year EBITDA of $16 million to $20 million.

EVT Limited (ASX:EVT) used its Annual General Meeting on 23 October 2026 to report normalised first quarter FY27 group EBITDA of $72.5 million, up $10.7 million on the prior comparable quarter, excluding AASB 16 leases. The company said a recovery in cinemas more than offset a poor ski season at Thredbo, and confirmed that hotels remain its growth priority as a review of the group's future structure continues.

Entertainment EBITDA was $32.0 million, up $20.2 million, with a 19 per cent rise in admissions and films including The Odyssey and Spider-Man: Brand New Day. EVT described it as the second-highest first quarter box office on record, with about 30 fewer locations than before COVID.

Hotels EBITDA was $23.9 million, down $0.4 million, because the prior quarter included the British and Irish Lions tour. Occupancy was 80 per cent and average room rate rose 3.2 per cent. Thredbo EBITDA was $20.0 million, down $9.0 million, after what the company called the worst snow conditions in more than 40 years.

Structure review and property recycling

Rothschild & Co was appointed, as announced in August 2026, to assess management's recommendations on the group's future structure, overseen by an independent board committee of Brett Chenoweth, Peter Coates and David Grant. EVT said cinemas and Thredbo are not strategic priorities. The board is satisfied with progress against the FY27 timeline and will update the market as required.

The independently valued property portfolio was about $2.25 billion at 30 June 2026. EVT is targeting roughly $800 million of non-core divestments over three years on a value-first basis, with no obligation to sell, and said proceeds would go to hotels growth and Debt reduction, with special dividends considered during the program. The Arawa Park Hotel in Rotorua sold for NZ$18 million, NZ$5 million above book value, and LyLo Fremantle has been agreed for $8 million, in line with book value, with a long-term management agreement retained. CBRE is in discussions with interested parties over 525 George Street, and the George and Market Street precinct is to go to market later in calendar 2027, subject to conditions.

Hotels pipeline

Atura Oran Park was due to open the week after the announcement, followed by QT Parramatta in early 2027 and the QT Queenstown upgrade around October 2027. Further projects include Rydges Tauranga in late 2028, Rydges Resort Wailoaloa Beach in Fiji in 2029, a 165-room Rydges Bangkok under a 15-year management agreement opening in 2028, and LyLo properties in Bangkok and on the Gold Coast.

FY27 outlook

EVT (ASX:EVT) expects group EBITDA growth, depending on film performance, weather and market conditions. For hotels it expects another record result, with about $13 million of incremental EBITDA from Connect Hospitality, QT Auckland and the return of QT Queenstown, net of the Geelong and Rotorua divestments, and said the first half is weaker because it laps the Lions and Ashes tours. For entertainment, the Christmas slate includes Avengers: Doomsday and Dune: Part Three; the second-half slate is not yet set. For Thredbo, EVT guided to full-year EBITDA of $16 million to $20 million, subject to summer weather and June 2027 winter conditions.

Prior-year results and AGM votes

For FY26, normalised EBITDA was $174.4 million, up 8.4 per cent, and normalised net profit after tax was $54.3 million. Dividends totalled 41 cents per share fully franked. Net debt was $476.1 million, and the core Facility was refinanced in March 2026 for three years with a $750 million limit.

The AGM proxy summary shows the remuneration report received 66.46 per cent of votes for and 30.92 per cent against. Re-elections and the proportional Takeover provisions each passed with at least 90 per cent support, and the CEO performance rights resolution received 98.49 per cent.

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