China box office falls after subsidy cuts

The country's box office dropped 4.6 percent in the second quarter of 2016, according to statistics from the National Film Development Funds Management Committee. This compared with a record 44 billion yuan ($6.6 billion) box office for the same period last year.

The box office fall, the first in half a decade, is due to a subsidy reduction and therefore has weighed down the stock performance of the major listed film companies.

Wang Changtian, CEO of Enlight Media Co Ltd, one of China's top film companies, said that the shrinking box office in China is in large part the result of the subsidy reduction.