Beijing - Chinese B.O. this year is shaping up for a bumper year, with total film industry revenues forecast at 29 billion yuan ($4.6 billion), of which B.O. will top 20 billion yuan ($3.17 billion) in 2012, an industry research group said in a report.
Last year, total film industry revenues were 17.8 billion yuan ($2.82 billion), up 16%, of which B.O. accounted for 13.15 billion yuan
($2.08 billion), EntGroup, a provider of information and consulting services on the Chinese biz, said in its "China Film Industry Report 2011."
Non-B.O. revenues were 2.6 billion yuan ($410 million), while the take from overseas revenue was 2 billion yuan ($320 million).
The strong rise in the Chinese biz has prompted massive interest from overseas in gaining access to this lucrative but difficult market.
Earlier this week, News Corp. bought a 20% stake in one of China's top private shingles, Bona.
The Entgroup figures for last year are in line with those from the film bureau at the State Administration of Radio, Film and TV (SARFT), which reported B.O. receipts of 13 billion yuan ($2.06 billion) in 2011.
Much of the rise of the Chinese film biz has been based on a sharp rise in the number of screens, as the real estate boom feeds into widescale theater construction.
Entgroup is forecasting a 28% rise in screen numbers for 2012 ito 11,800, while the number of theaters is expected to rise 20% to 3,370.
This marks a slowdown from last year, when the real estate sector was really cooking, prompting regs to tighten bank credit for real estate developers and other cooling measures.
Last year the number of screens rose 47% to 9,200, while the number of cinemas rose 40% to 2,800.
Entgroup is also anticipating a rise in the number of initial public offerings (IPOs) because of the strong rise in the market. Big names in the biz like Huayi Brothers, Bona Film Group and Enlight have already listed on stock exchanges.
"The rapid expansion of China's film market and the government's efforts to promote the market, means many film- related companies are seeking IPOs for the future development and to gain profits," Entgroup said in an emailed statement.