Credits roll for Village Roadshow chief Graham Burke after 63 years with the company

Village Roadshow is on the hunt for a new CEO after long-term boss Graham Burke flagged his exit at the end of 2019.

Outgoing Village Roadshow CEO Graham Burke AO at Warner Brothers Movie World on the Gold Coast. Luke Marsden/The Australian

Listed media and entertainment company Village Roadshow will search for a new chief executive after current CEO Graham Burke AO announced he would retire at the end of the calendar year.

Mr Burke, who started work for Roc Kirby, Village Roadshow’s founder, at the age of 14 as a ticket collector and floor sweeper, will remain on the company’s board as a non-executive director.

“It is an honour to lead Village Roadshow. I am exceptionally proud of everything that has been achieved,” Mr Burke said.

“From humble beginnings as a small cinema circuit, we’ve contributed hundreds of millions of dollars into the local economy, provided employment and careers for thousands of Australians, become a mainstay in Australia’s tourism industry and been involved in the production of some of the most iconic films of all time.

“Having said all of that, I firmly believe the best is yet to come.”

The move follows a boardroom division over the direction of the company, where chairman Robert Kirby and deputy chairman John Kirby have been at odds over asset sales.

The pair are major shareholders in Village (VRL), which was founded by their father.

Sources close to the executive said that Mr Burke had briefed directors on his intention to retire two years earlier but these plans were set back by the Dreamworld tragedy, which struck the rival Ardent operation and also spilled over to hit attendances at Village’s Gold Coast parks.

The company confirmed Clark Kirby, son of chairman Robert Kirby, and currently the chief executive of Village’s theme parks will be an internal candidate for chief executive.

The company will likely appoint Egon Zehnder to run a full process that will also include external candidates, with Mr Burke to remain in place while this occurs.

Village Roadshow Managing Director Graham Burke in 1996.

Mr Burke was the company’s inaugural chief executive when Village listed in 1988 and led the company into its theme parks investments.

He was the driving force behind the establishment of Roadshow, key to the production of more Australian films than the rest of the industry combined.

More recently, Mr Burke had been campaigning to tackle content piracy.

“Graham is a giant of our industry and has been an integral part of Village Roadshow,” executive chairman Robert Kirby said.

“Together we have seen the evolution of this company into the incredible entertainment business it is today, Graham having been a part of it for 63 years.

“Graham leaves an extraordinary legacy as CEO and we look forward to his continued involvement on the board.”

The announcement came as the company delivered a jump in first half earnings before interest, tax, depreciation and amortisation of 31 per cent to $65m.

The company’s operating cash flow was $52.9m and its free cash flow was $26.4m and it is calling a recovery at its Gold Coast theme parks, with first half ticket sales up on 27 per cent on last year.

The company said its cost reduction program was on track to deliver annualised savings of more than $10m and was taking steps to strengthen its balance sheet, with leverage reduced to 2.04 times at the end of December, with net debt reduced from $338.5m to $216.4m.

Village said that it intends to reinstate dividends at the full year if performance continues to meet expectations and it shares edged up 3c to $3.26.