Bona Reports Fourth Quarter and Full Year 2013 Financial Results

Bona Reports Fourth Quarter and Full Year 2013 Financial Results

BEIJING, Feb. 27, 2014 (GLOBE NEWSWIRE) -- Bona Film Group Limited
(Nasdaq:BONA) ("Bona" or the "Company"), a leading film distributor and
vertically integrated film company in China, today announced its unaudited
financial results for the fourth quarter and full year ended December 31,
2013.

"We delivered solid results in 2013, driven by the theatrical release of 14
films domestically that generated an approximately 10% market share in
domestic box office receipts, making us one of the top three domestic
non-state-owned film distributors," said Bona founder, Chairman and CEO Mr. Yu
Dong. "We are also pleased with the progress we made in our theater segment in
2013, as our greenfield theaters matured and delivered solid results. We
opened 2 new movie theaters in 2013, signed contracts to construct 7 new
theater projects and reached a few preliminary agreements with first-tier
property developers on exciting future projects."

"2013 also marked a time when we significantly strengthened our corporate
structure through the successful launch of the RMB 1 billion Bona Film
Investment Fund and the strategic investment in our Company by Fosun Group.
These initiatives will help fortify our position in the market and create
opportunities for us to leverage in the future."

Fourth Quarter 2013 Financial Summary

  *Fourth quarter 2013 net revenues were US$42.8 million, compared with
    US$53.2 million in the fourth quarter of 2012.
  *Fourth quarter 2013 gross profit was US$16.9 million, compared with
    US$10.1 million in the fourth quarter of 2012.
  *Fourth quarter 2013 gross margin was 39.5%, compared with 19.0% in the
    fourth quarter of 2012.
  *Fourth quarter 2013 net income attributable to Bona Film Group Limited was
    US$0.4 million, or US$0.01 per basic and diluted ADS^1, compared with a
    net loss attributable to Bona Film Group Limited of US$(5.4) million, or a
    loss of US$(0.09) per basic and diluted ADS, in the fourth quarter of
    2012.
  *Fourth quarter 2013 non-GAAP net income^2 was US$1.5 million, compared to
    a non-GAAP net loss of US$(4.2) million in the fourth quarter of 2012.
  *Fourth quarter 2013 adjusted EBITDA, non-GAAP^2, was US$7.0 million,
    compared with an adjusted EBITDA loss, non-GAAP, of US$(2.4) million in
    the fourth quarter of 2012.
  *Cash and cash equivalents, term deposits and restricted cash totaled
    US$63.4 million as of December 31, 2013.
  *Fourth quarter 2013 cash generated from operating activities totaled
    US$9.5 million, compared with cash used in operating activities of US$3.6
    million in the fourth quarter of 2012.

Full Year 2013 Financial Summary

  *Full year 2013 net revenues were US$149.3 million, compared with US$142.3
    million for the full year 2012.
  *Full year 2013 gross profit was US$66.5 million, compared with US$56.2
    million for the full year 2012.
  *Full year 2013 gross margin was 44.5%, compared with 39.5% for the full
    year 2012.
  *Full year 2013 net income attributable to Bona Film Group Limited was
    US$5.7 million, or US$0.09 per basic and diluted ADS, compared with a net
    loss attributable to Bona Film Group Limited of US$(1.3) million, or a
    loss of US$(0.02) per basic and diluted ADS, for the full year 2012.
  *Full year 2013 non-GAAP net income was US$8.5 million, compared with
    non-GAAP net income of US$3.2 million for the full year 2012.
  *Full year 2013 adjusted EBITDA, non-GAAP, was US$20.4 million, compared
    with US$9.1 million for the full year 2012.
  *Full year 2013 cash used in operating activities totaled US$21.6 million,
    compared with cash used in operating activities of US$9.5 million for the
    full year 2012.

Full Year 2013 Business Updates and Recent Highlights

  *Distributed and/or invested in a total of 18 films in 2013, 14 of which
    were for domestic theatrical distribution and generated a total of RMB 1.3
    billion in box office receipts. For the year, Bona's films accounted for
    approximately 10% of total domestic box office receipts.
  *Distributed three new films theatrically in 4Q 2013 – The White Storm, Red
    2 and The Game of Hide and Seek; as well as Out of Inferno,which was
    released on September 30^th:
    -- Released The White Storm, formerly known as The Cartel War, on November
    29, 2013. A crime thriller starring three of Hong Kong's most popular film
    stars – Sean Lau, Louis Koo and Nick Cheung, the film has been widely
    praised for its high production quality. The White Storm opened the Hong
    Kong Asian Film Festival and generated more than RMB 225.3 million in box
    office receipts in 2013.
    -- Released Hollywood comedic action drama Red 2, starring Bruce Willis,
    Helen Mirren, John Malkovich and Anthony Hopkins, on November 15, 2013.
    -- Released the low-budget horror/thriller The Game of Hide and Seek on
    October 11, 2013.
  *Recognized for artistic value: three Bona-invested films were included in
    the recently announced list of nominees for the 2014 Hong Kong Film Awards
    – The Grandmaster, Unbeatable and The White Storm, which received 14, 11
    and 8 nominations, respectively. Also in 2013, Bona distributed films
    received 6 awards at the 15^th China Huabiao Awards and top acting awards
    at the 16^th Annual Shanghai International Film Festival.
  *Launched the Bona Film Investment Fund (the "Film Fund"), an RMB 1 billion
    (approximately US$165.2 million) investment vehicle funded through a
    partnership with Sequoia Capital Management Ltd. and Noah Holdings Ltd.
    The Film Fund considerably enhances Bona's ability to finance the
    development and production of its films and TV projects over the next
    two-three years.
  *Expanded the ownership structure of the Company with an investment by
    Fosun Group, which acquired 2,000,000 Bona ordinary shares, representing a
    6.4% equity stake. Bona and Fosun are working together to leverage each
    other's resources.
  *Opened two new theaters in Shandong Zibo and Shenzhen Huangting in 2013,
    and signed contracts for seven additional locations, most of which are
    expected to open by the end of 2014. Bona owned and operated 22 theaters,
    representing 182 screens as of December 31, 2013, compared with 20
    theaters, representing 163 screens as of December 31, 2012.
  *Distributed two films to date in 1Q 2014 – The Mortal Instruments: City of
    Bones and The Man From Macau. The Film Fund made its first investment in
    The Man From Macau, and the film has already generated roughly RMB 500
    million in domestic box office receipts.
  *Major films undergoing post-production in 1Q 2014 include Horseplay, The
    White Haired Witch, Overheard 3, Insanity, Sunspot and I Am Somebody.
  *Major films undergoing production in 1Q 2014 include The Taking of Tiger
    Mountain (formerly referred to as Tracks in the Snowy Forest) and Daydream
    Believer.
  *Bona is also pursuing the quota application process for two foreign films
    – Nonstop and Pompeii.

Fourth Quarter 2013 Financial Results

Net Revenues

                     4Q13 4Q12 Y-o-Y%
Net Revenues (US$mm) 42.8 53.2 (19.7%)

Net revenues for the fourth quarter of 2013 were US$42.8 million, 19.7% lower
than the fourth quarter of 2012. Despite strong box office performance by
Bona's films Out of Inferno and The White Storm, net revenues were lower
year-on-year because the Company did not release any TV series in the fourth
quarter of 2013, compared with sales generated from the Bona TV series The
King's Battle in the fourth quarter of 2012.

Net Revenues by Segment Operations

            Film         Investment Movie  Talent Intersegment Consolidated
            Distribution &           Theater Agency Elimination  
                          Production
Net Revenues
from
External     26.9         0.3         15.4    0.2    --           42.8
Customers
(US$mm)
Intersegment
Revenues     0.8          3.0         --      --     (3.8)        --
(US$mm)
Total Net
Revenues     27.7         3.3         15.4    0.2    (3.8)        42.8
(US$mm)

Net revenues from distribution totaled US$27.7 million. During the fourth
quarter of 2013, Bona distributed three new films theatrically – Red 2, The
White Storm and The Game of Hide and Seek, as well as Out of Inferno, which
was released on September 30, 2013.

Net revenues from film investment and production were US$3.3 million, which
were mainly derived from the sale of continuous broadcasting rights for
several Bona films that were released in the third quarter of 2013 to networks
and TV stations.

Net revenues from the movie theater segment totaled US$15.4 million. The
Company owned and operated 22 theaters as of December 31, 2013, compared with
20 as of December 31, 2012.

Gross Profit and Gross Margin

                    4Q13  4Q12  Y-o-Y%
Gross Profit (US$mm) 16.9  10.1  67.2%
Gross Margin         39.5% 19.0% --

For the fourth quarter of 2013, gross profit increased to US$16.9 million from
US$10.1 million in the fourth quarter of 2012. The year-over-year increase in
gross profit was primarily attributable to the strong box office performance
of Out of Inferno and The White Storm, compared with lower gross margin in the
fourth quarter of 2012 that resulted from the higher acceleration of the
amortization of production costs based on the economic performance and public
acceptance of certain films and the higher impairment of production costs
using a discounted cash flow approach, and lower-than-expected box office
performance from The Last Tycoon.

Segment Profit^3 and Segment Margin

                        Film         Investment  Movie   Talent Consolidated
                        Distribution & Production Theater Agency 
Segment Profit (US$mm)   8.9          (0.4)        9.0     0.2    17.7
As % of Total Segment    50.3%        (2.1%)       51.0%   0.8%   100.0%
Profit
Segment Margin           32.0%        (10.8%)      58.5%   100%   41.3%

Segment margin for the film distribution segment decreased to 32.0% in the
fourth quarter of 2013 from 43.4% in the fourth quarter of 2012, primarily due
to a lower percentage of print and advertising expenses to be withdrawn from
film distribution revenue generated from Bona distributed films, in particular
Out of Inferno and The White Storm, in the fourth quarter of 2013.

Segment margin from the Company's investment and production business decreased
to (10.8)% in the fourth quarter of 2013, compared with segment margin of
(2.0)% in the fourth quarter of 2012. The decrease in segment margin in this
business was a result of the acceleration of the amortization of production
costs based on the economic performance and public acceptance of certain films
and impairment of production costs using a discounted cash flow approach, and
the absence of revenue generated from the investment in TV series in the
fourth quarter of 2013, compared with the successful sale of the Bona TV
series The King's Battle in the fourth quarter of 2012.

Segment margin from the Company's movie theater business was 58.5% in the
fourth quarter of 2013, compared with 56.7% in the fourth quarter of 2012,
which is in-line with Bona's expanded theater operations.

Operating Income and Operating Margin

                               4Q13 4Q12    Y-o-Y%
Operating Expenses (US$mm)      16.9 18.8    (10.3%)
Operating Income (Loss) (US$mm) 3.3  (5.7)   158.6%
Operating Margin                7.8% (10.7%) --

Total operating expenses, including participation expenses, general and
administrative expenses, and selling and marketing expenses, decreased 10.3%
to US$16.9 million from US$18.8 million in the fourth quarter of 2012. The
year-over-year decrease in operating expenses was primarily due to a decrease
in selling and marketing expenses of print and advertising costs associated
with the four films theatrically distributed in the fourth quarter of 2013,
compared with three films and one TV series released in the fourth quarter of
2012.

Fourth quarter 2013 operating margin was 7.8% compared to (10.7)% in the
fourth quarter of 2012. The year-over-year improvement in operating margin was
primarily due to the strong performance of Out of Inferno and The White Storm,
compared with lower-than-expected box office performance of The Last Tycoon in
the fourth quarter of 2012.

Net Income and Net Income Attributable to Bona Film Group Limited per ADS

                                                                  4Q13 4Q12
Net Income (Loss) Attributable to Bona Film Group Limited (US$mm)  0.4  (5.4)
Net Income (Loss) Attributable to Bona Film Group Limited per      0.01 (0.09)
basic and diluted ADS (US$)
                                                                      
                                                                  4Q13 4Q12
Non-GAAP Net Income (Loss) (US$mm)                                 1.5  (4.2)
Non-GAAP Net Income (Loss) Attributable to Bona Film Group Limited 0.03 (0.07)
per basic and diluted ADS (US$)

Excluding share-based compensation expense of US$1.2 million and US$1.4
million for the fourth quarters of 2013 and 2012, respectively, non-GAAP net
income for the fourth quarter of 2013 was US$1.5 million, compared with a
non-GAAP net loss of US$(4.2) million in the fourth quarter of 2012.

                                 4Q13 4Q12
Adjusted EBITDA, non-GAAP (US$mm) 7.0  (2.4)

Adjusted EBITDA, non-GAAP, in the fourth quarter of 2013 was US$7.0 million,
compared with an adjusted EBITDA, non-GAAP, of US$(2.4) million in the fourth
quarter of 2012.

Full Year 2013 Financial Results

Net Revenues

                     FY13  FY12  Y-o-Y%
Net Revenues (US$mm) 149.3 142.3 5.0%

Net revenues for the full year 2013 increased 5.0% year-over-year to US$149.3
million. The increase in net revenues was primarily attributable to an
increase in revenues from the Company's movie theater segment and better box
office performance by the 14 films theatrically released in 2013, compared
with 2012.

Net Revenues by Segment Operations

            Film         Investment Movie   Talent Intersegment Consolidated
            Distribution &           Theater Agency Elimination  
                          Production
Net Revenues
from
External     74.6         12.6        61.5    0.6    --           149.3
Customers
(US$mm)
Intersegment
Revenues     2.0          28.4        --      --     (30.4)       --
(US$mm)
Total Net
Revenues     76.6         41.0        61.5    0.6    (30.4)       149.3
(US$mm)

Net revenues from distribution totaled US$76.6 million in 2013, compared with
US$64.1 million in 2012. During 2013, Bona distributed 18 new films
domestically. The increase in net revenues from the distribution segment was
mainly due to the strong box office performance of the films released in 2013,
in particular Unbeatable, My Lucky Star, Out of Inferno, The White Storm,
among others.

Net revenues from film investment and production were US$41.0 million in 2013,
compared with US$73.7 million in 2012. The decrease was mainly due to the
absence of revenue generated from investing in TV series in 2013, compared
with the successful sale of the Bona TV series The King's Battle in 2012.

Net revenues from the movie theater segment increased to US$61.5 million in
2013, compared with US$41.7 million in 2012. The increase was primarily a
result of the increase in the number of theaters and screens from Bona's
strategic expansion efforts.

Top-five Films in Terms of Revenue Contribution

Film Title              Release Date       Box Office
                                         RMB (millions)
1. The White Storm      November 29, 2013  225.3
2. Bring Happiness Home January 15, 2013   153.7
3. My Lucky Star        September 17, 2013 134.8
4. Out of Inferno       September 30, 2013 131.4
5. Unbeatable           August 16, 2013    118.0

The top-five films in 2013 contributed US$54.1 million, which includes all
revenue streams from Bona's theatrical and non-theatrical releases, or 36.3%
of full-year 2013 revenues, compared to the top-five films in 2012, which
accounted for 37.4% of full-year revenues.

Gross Profit and Gross Margin

                    FY13  FY12  Y-o-Y%
Gross Profit (US$mm) 66.5  56.2  18.3%
Gross Margin         44.5% 39.5% --

For the full year 2013, gross profit increased to US$66.5 million from US$56.2
million for the full year 2012. The year-over-year increase in gross profit
was primarily attributable to strong performance from Bona's films released in
2013 and the expansion of Bona-owned movie theaters.

Segment Profit and Segment Margin

                        Film         Investment  Movie   Talent Consolidated
                        Distribution & Production Theater Agency 
Segment Profit (US$mm)   23.1         8.6          35.5    0.6    67.8
As % of Total Segment    34.0%        12.7%        52.4%   0.9%   100.0%
Profit
Segment Margin           30.1%        21.1%        57.7%   100.0% 45.4%

Segment margin for the distribution segment decreased to 30.1% in the full
year 2013 from 39.2% for the full year 2012, primarily due to a lower
percentage of print and advertising expenses to be withdrawn from film
distribution revenue generated from Bona distributed films in 2013.

Segment margin from the Company's investment and production business improved
to 21.1% for the full year 2013, compared with a segment margin of 8.7% for
the full year 2012. The improvement in segment margin for this business was
mainly due to the higher acceleration of the amortization of production costs
based on the economic performance and public acceptance of certain films and
the higher impairment of production costs using a discounted cash flow
approach, and lower-than-expected box office performance from The Last Tycoon
in 2012.

Segment margin from the Company's movie theater business increased to 57.7%
for the full year 2013, compared with 56.6% for the full year 2012, which is
in-line with Bona's expanded theater operations.

Operating Income and Operating Margin

                               FY13 FY12   Y-o-Y%
Operating Expenses (US$mm)      62.9 60.8   3.4%
Operating Income (Loss) (US$mm) 8.6  (0.8)  1,241.0%
Operating Margin                5.8% (0.5%) --

Total operating expenses, including participation expenses, general and
administrative expenses, and selling and marketing expenses, increased 3.4% to
US$62.9 million from US$60.8 million for the full year 2012. The
year-over-year increase in operating expenses was primarily due to an increase
in general and administrative expenses relating to expanding Bona's movie
theater segment, partially offset by a decrease in selling and marketing
expenses to promote Bona's distributed films.

Full year 2013 operating margin was 5.8% compared to (0.5)% for the full year
2012. The year-over-year improvement in operating margin was primarily due to
the strong performance of the films released in the second half of 2013 and
the greenfield theaters gradually maturing in 2013.

Net Income and Net Income Attributable to Bona Film Group Limited per ADS

                                                                  FY13 FY12
Net Income (Loss) Attributable to Bona Film Group Limited (US$mm)  5.7  (1.3)
Net Income (Loss) Attributable to Bona Film Group Limited per      0.09 (0.02)
basic and diluted ADS (US$)
                                                                      
                                                                  FY13 FY12
Non-GAAP Net Income (US$mm)                                        8.5  3.2
Non-GAAP Net Income Attributable to Bona Film Group Limited per    0.16 0.06
basic and diluted ADS (US$)

Excluding share-based compensation expense of US$4.0 million and US$4.8
million for the full year 2013 and 2012, respectively, non-GAAP net income for
the full year 2013 was US$8.5 million, compared with non-GAAP net income of
US$3.2 million for the full year 2012.

                                 FY13 FY12
Adjusted EBITDA, non-GAAP (US$mm) 20.4 9.1

Adjusted EBITDA, non-GAAP was US$20.4 million for the full year 2013, compared
with adjusted EBITDA, non-GAAP of US$9.1 million for the full year 2012.

Cash and Cash Flow

As of December 31, 2013, Bona had cash, cash equivalents and restricted cash
totaling US$63.4 million, compared with US$28.0 million as of December 31,
2012. Net cash used in operating activities for 2013 was approximately US$21.6
million, compared with net cash used in operating activities of US$9.5 million
for 2012. The change in cash flow from operations was mainly attributable to
the investment in several films released in 2013 or scheduled for release in
2014.

Business Outlook

Based on current market and operating conditions, the Company expects non-GAAP
net income for the first quarter of 2014 to be in the range of US$1.0 million
to US$1.5 million.

"We have a robust slate of films scheduled for release in 2014, and our
business segments are on track to demonstrate progressive growth throughout
the year. Our first two film releases, The Mortal Instruments: City of Bones
and The Man From Macau, have kicked-off the year in top form, generating
strong box office results, particularly during the Chinese New Year season. We
expect the Chinese film industry to generate strong box office returns again
in 2014, and believe that Bona's solid slate of films and vertically
integrated business model make us well positioned to capitalize on this growth
in the market," concluded Mr. Yu.

Fourth Quarter and Full Year 2013 Conference Call Details

Bona management will hold the earnings conference call at 8:00 p.m. Eastern
Time on Thursday, February 27, 2014 (9:00 a.m. Beijing/Hong Kong Time on
Friday, February 28, 2014). Management will discuss results and highlights of
the quarter and answer questions from investors.

The dial-in numbers for the earnings conference call are as follows:

U.S. Toll Free: +1-855-500-8701
Hong Kong Toll Free: 800-903-737
China, Domestic: 400-120-0654
International: +65-6723-9385

The conference ID # is 50072564.

A live and archived webcast of the earnings conference call will be available
on the IR Calendar page of the Bona investor relations website at
http://ir.bonafilm.cn/events.cfm.

About Bona Film Group Limited

Bona Film Group Limited (Nasdaq:BONA) is a leading film distributor in China,
with an integrated business model encompassing film distribution, film
production, film exhibition and talent representation. Bona distributes films
to Greater China, Korea, Southeast Asia, the United States and Europe, invests
and produces movies in a variety of genres, owns and operates twenty-two movie
theaters and manages a range of talented and popular Chinese artists.

For more information about Bona, please visit http://www.bonafilm.cn.

To be added to Bona's email list to receive Company news, please send your
request to bona@tpg-ir.com.

The Bona Film Group Limited logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=15750

Forward Looking Statements

This news release may contain certain "forward-looking statements" within the
meaning of Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended, and as defined in the
U.S. Private Securities Litigation Reform Act of 1995. These forward-looking
statements can be identified by terminology such as "will," "expects,"
"anticipates," "future," "intends," "plans," "believes," "estimates" and
similar statements. All statements other than statements of historical fact in
this press release are forward-looking statements and involve certain risks
and uncertainties that could cause actual results to differ materially from
those in the forward-looking statements. These forward-looking statements are
based on management's current expectations, assumptions, estimates and
projections about the Company and the industry in which the Company operates,
but involve a number of unknown risks and uncertainties, Further information
regarding these and other risks is included in the Company's filings with the
U.S. Securities and Exchange Commission. The Company undertakes no obligation
to update forward-looking statements to reflect subsequent occurring events or
circumstances, or changes in its expectations, except as may be required by
law. Although the Company believes that the expectations expressed in these
forward-looking statements are reasonable, it cannot assure you that such
expectations will turn out to be correct, and actual results may differ
materially from the anticipated results. You are urged to consider these
factors carefully in evaluating the forward-looking statements contained
herein and are cautioned not to place undue reliance on such forward-looking
statements, which are qualified in their entirety by these cautionary
statements.

Non-GAAP Financial Measures

To supplement Bona's consolidated financial results presented in accordance
with GAAP, Bona uses the following measures defined as non-GAAP financial
measures by the SEC: non-GAAP net income, non-GAAP net income attributable to
Bona Film Group Limited per ADS, which exclude share-based compensation
expenses, and adjusted EBITDA, non-GAAP, which excludes share-based
compensation expenses, interest, taxes, and non-cash depreciation and
amortization charges. The presentation of these non-GAAP financial measures is
not intended to be considered in isolation, as a substitute for, or to be
superior to the financial information prepared and presented in accordance
with GAAP. In addition, Bona's definition of non-GAAP net income may be
different from the definitions used by other companies, and therefore
comparability may be limited.

Bona believes that these non-GAAP financial measures provide meaningful
supplemental information regarding its performance by excluding certain
expenses and expenditures that may not be indicative of its operating
performance and a supplemental liquidity measure which is useful for
understanding and evaluating the Company's capacity for servicing its debt,
and otherwise meeting its cash needs. Adjusted EBITDA, non-GAAP, excludes
depreciation and amortization, so it does not reflect any cash requirements
for the replacement of the assets, which will often have to be replaced in the
future. The Company believes that both management and investors benefit from
referring to these non-GAAP financial measures in assessing the Company's
performance and liquidity, and when planning and forecasting future periods.
The table appears at the end of this press release has more details on the
reconciliations between GAAP financial measures that are comparable to
non-GAAP financial measures.

^1 "ADS" is American depositary share. Each two ADSs represent one ordinary
share.

^2 As used in this press release, non-GAAP net income and non-GAAP net income
attributable to Bona Film Group Limited per ADS exclude share-based
compensation expenses. Adjusted EBITDA, non-GAAP, excludes share-based
compensation expenses, interest, taxes and non-cash depreciation and
amortization charges. See "Non-GAAP Financial Measures" and "Reconciliation of
Non-GAAP Measures" at the end of this press release.

^3 Segment profit is gross profit less film participation expense by segments
for the periods indicated.

BONA FILM GROUP LIMITED
Unaudited Condensed Consolidated Statement of Operations
(in U.S. dollars, except share data)
                                                               
                          Three-months ended December Twelve-months ended
                           31,                         December 31,
                          2013          2012          2013        2012
                                                               
Net revenue                42,762,288    53,226,173    149,335,580 142,282,919
Cost of revenue            25,884,572    43,130,900    82,839,980  86,085,046
Gross profit               16,877,716    10,095,273    66,495,600  56,197,873
                                                               
Film participation         (781,588)     (436,890)     (1,319,749) 438,636
(income) expenses
Sales and marketing        4,142,294     6,174,117     14,374,421  18,490,433
expenses
General and administrative 13,530,453    13,083,391    49,853,700  41,890,064
expenses
Total operating expenses   16,891,159    18,820,618    62,908,372  60,819,133
                                                               
Government subsidies       3,360,670     3,011,685     5,022,424   3,866,700
Operating income (loss)    3,347,227     (5,713,660)   8,609,652   (754,560)
                                                               
Interest income            184,211       (10,016)      282,221     246,423
Interest expenses          (48,517)      (178,231)     (1,382,683) (399,319)
Exchange gain (loss)       796,203       635,081       1,779,231   373,265
Other income               71,429        71,429        285,716     288,157
Loss on disposal of an     --           --            --        (5,584)
equity method investment
Income (loss) before
income tax provision and
equity in earnings of      4,350,553     (5,195,397)   9,574,137   (251,618)
equity method investments,
net of tax
                                                               
Provision for income taxes 4,085,308     333,611       5,130,025   1,322,368
Equity in earnings of
equity method investments, 91,183        --          78,362      5,604
net of tax
Net income (loss)          356,428       (5,529,008)   4,522,474   (1,568,382)
                                                               
Less: Net loss
attributable to the        (62,312)      (165,499)     (1,133,792) (284,500)
noncontrolling interests
Net income (loss)
attributable to Bona Film  418,740       (5,363,509)   5,656,266   (1,283,882)
Group Limited
Net income (loss)
attributable to Bona Film                                       
Group Limited per ADS
Basic                      0.01          (0.09)        0.09        (0.02)
Diluted                    0.01          (0.09)        0.09        (0.02)
                                                               
Weighted average shares
used in calculating net                                         
income (loss) per ordinary
share
Basic                      30,106,487    29,666,695    29,870,809  29,514,979
Diluted                    30,796,988    29,666,695    30,436,728  29,514,979
                                                               
                                                               

BONA FILM GROUP LIMITED
Unaudited Condensed Statement of Consolidated Comprehensive Income
(in U.S. dollars)
                                                             
                           Three-months ended   Twelve-months ended December
                            December 31,          31,
                           2013      2012        2013           2012
Net income (loss)           356,428   (5,529,008) 4,522,474      (1,568,382)
Other comprehensive income,                                   
net of tax
Foreign currency           1,219,002 842,939     3,057,062      1,030,733
translation adjustments
Comprehensive income (loss) 1,575,430 (4,686,069) 7,579,536      (537,649)
Less: comprehensive loss
attributable to the         (64,059)  (150,142)   (1,124,577)    (282,552)
noncontrolling interests
Comprehensive income (loss)
attributable to Bona Film   1,639,489 (4,535,927) 8,704,113      (255,097)
Group Limited
                                                             
                                                             

BONA FILM GROUP LIMITED
Unaudited Condensed Consolidated Balance Sheets
(in U.S. dollars)
                                                                
                                                    December 31, December 31,
                                                    2013         2012
                                                                
Cash and cash equivalents                            32,684,423   23,227,922
Restricted Cash                                      30,727,502   4,815,332
Accounts receivable, net of allowance for doubtful   39,409,151   40,307,672
accounts
Prepaid expenses and other current assets            17,325,791   23,329,262
Amount due from related parties                      510,116      343,817
Current deferred tax assets                          973,080      970,683
Inventories                                          312,907      276,436
Total current assets                                 121,942,970  93,271,124
                                                                
Distribution rights                                  6,554,057    11,406,692
Production costs                                     142,245,594  90,345,409
Prepaid film costs                                   4,406,013    7,426,915
Property and equipment, net                          63,678,652   60,208,609
Acquired intangible assets, net                      2,451,801    3,189,481
Non-current deferred tax assets                      509,730      311,102
Cost method investments                              1,479,113    1,296,307
Equity method investments                            26,277,613   --
Goodwill                                             50,540,017   49,110,021
Total assets                                         420,085,560  316,565,660
                                                                
Accounts payable                                     24,540,234   35,257,660
Accrued expenses and other current liabilities       32,634,753   28,145,099
Amounts due to related parties                       5,885,724    5,746,328
Income tax payable                                   6,460,253    2,420,443
Bank borrowing                                       60,703,791   12,542,161
Other borrowing                                      4,126,402    8,671,050
Current film participation financing liabilities     43,821,650   15,086,892
Total current liabilities                            178,172,807  107,869,633
                                                                
Bank borrowing                                       20,000,000   18,025,553
Deferred income                                      1,358,577    813,681
Non-Current film participation financing liabilities 17,675,141   --
Deferred tax liability                               23,626       211,203
Total liabilities                                    217,230,151  126,920,070
                                                                
Ordinary shares (par value of US$0.0005 per share,
85,000,000 shares authorized, 31,402,346 and
30,160,235 shares issued and outstanding as of       15,080       14,869
December 31, 2013 and 30,402,346 and 29,737,257
shares issued and outstanding as of December 31,
2012.)
Additional paid-in capital                           182,781,563  176,134,737
Statutory reserves                                   3,533,885    2,543,272
Accumulated profit                                   5,216,171    550,518
Accumulated other comprehensive income               9,512,937    6,465,090
Total Bona Film Group Limited's equity               201,059,636  185,708,486
                                                                
Noncontrolling interests                             1,795,773    3,937,104
Total equity                                         202,855,409  189,645,590
                                                                
Total liabilities and equity                         420,085,560  316,565,660
                                                                
                                                                

BONA FILM GROUP LIMITED
Unaudited Reconciliation of Non-GAAP Measures
(in U.S. dollars)
                                                            
                     Three-months ended December Twelve-months ended December
                      31,                         31,
                     2013         2012           2013          2012
Net income (loss)     356,428      (5,529,008)    4,522,474     (1,568,382)
                                                            
Share-based           1,172,324    1,367,266      3,958,407     4,803,163
compensation
Net income (loss),    1,528,752    (4,161,742)    8,480,881     3,234,781
Non-GAAP
                                                            
Interests             (135,694)    188,247        1,100,462     152,896
Taxes                 4,085,308    333,611        5,130,025     1,322,368
Depreciation &        1,482,285    1,212,750      5,723,479     4,370,679
Amortization
Adjusted EBITDA,      6,960,651    (2,427,134)    20,434,847    9,080,724
Non-GAAP
                                                            

CONTACT: In China:
         Lingzi Gui
         Bona Film Group Limited
         Tel: +86-10-5631-0700-398
         Email: ir@bonafilm.cn
        
         In the U.S.:
         The Piacente Group, Inc.
         Investor Relations
         Kathy Price
         Tel: (212) 481-2050
         Email: bona@tpg-ir.com

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