The lifting of the ban on food and beverage consumption in cinemas from today will ease chains' financial woes, but the 50-person limit in each hall will continue to throttle revenues, cinema operators told The Straits Times.

Revenues of cinemas here fell by an estimated 70 per cent last year, compared with 2019.

Audience numbers recovered somewhat when Singapore entered phase three of its economic reopening towards the end of last December, but plunged by 80 per cent during the recent phase two (heightened alert) period, according to industry insiders.

A spokesman for Filmgarde Cineplexes, which has three outlets, said the chain is now operating at less than 50 per cent capacity.

"Such capacity limits are not tenable for business continuity, especially given the industry's high fixed operating costs," said the spokesman.

Since May 16, under phase two (heightened alert) rules, up to 50 people have been allowed in a cinema hall for each screening without pre-event testing (PET), and with safe distancing and group sizes limited to two people. Food and beverages have not been allowed to be consumed in halls.

Typically, a cinema hall seats between 100 and 200 people. A cap of 50 means each hall is operating at one-quarter to half its capacity.

From today, the ban on food consumption in halls is lifted, which means the return of a much-needed revenue stream, the Filmgarde spokesman said.

Ms Karen Tan, founder of independent cinema The Projector, said that food sales are "not merely ancillary but critical to the cinema business model and sustainability of cinemas".

"Having concessions allows another revenue stream and also makes cinema-going more attractive, thereby hopefully translating into more customers."

But that relief will mean little as long as the 50-person cap remains, said Ms Tan.

While it is possible to increase capacity to 250 people per hall with PET, that option is unfeasible for cinema operators, as each test kit costs more than a movie ticket.

Operators also have to consider the cost and logistics of dealing with trained test administrators and crowd control in cinema lobbies, Ms Tan said.

PET might work for one-off events such as weddings, but patrons are unlikely to put up with the cost and inconvenience of PET for a movie, she said.

She hopes that the previous eight months of data showing no Covid-19 clusters linked to cinemas will persuade the authorities to allow a return to the phase three limit of 50 per cent capacity per hall.

Meanwhile, cinema operators are confident that once the pandemic-postponed blockbusters start screening, crowds will return.

A spokesman for Singapore's largest operator, Golden Village Multiplex, said that "moviegoers will be spoilt for choice" in the coming weeks, beginning with the release of car-racing thriller Fast And Furious 9, which begins sneak previews on Thursday.

Cathay Cineplexes is also getting ready for the coming slate of films, which includes the Marvel superhero film Black Widow, which will be released on July 9.

"We are feeling optimistic as Singapore continues to open up," said a Cathay spokesman.