PVR Inox Shares in Focus: Announced Q2 FY25 Results

PVR INOX Limited has released its unaudited standalone and consolidated financial results for the second quarter (Q2 FY25) and the first half of the fiscal year ending September 30, 2024 (1HFY25). 

PVR Inox Q2FY25 Results

For the quarter ending September 30, 2024, PVR Inox reported revenue of ₹16,419 million, with an EBITDA of ₹2,069 million and a profit after tax (PAT) of ₹224 million. During this period, PVR Inox opened 16 new screens across two properties, bringing its total to 356 cinemas with 1,747 screens in 111 cities. In Q2, the company recorded 38.8 million admissions with an average ticket price (ATP) of ₹ 257 and a spend per head (SPH) of ₹ 136. The Indian box office saw a remarkable 40% QoQ growth in Q2 FY25, driven by strong audience turnout and the performance of various film releases. 

PVR Inox 1HFY25 Performance

For the first half of the fiscal year, PVR Inox’s revenue reached ₹28,505 million, while EBITDA stood at ₹1,870 million, though the company faced a PAT loss of ₹1,142 million. In this six-month period, the total number of patrons was 69.2 million, with an ATP of ₹247 and an SPH of ₹135. Notably, the company successfully reduced its net debt by ₹1,409 million, down from ₹12,940 million as of March 2024.

Operational Highlights

The growth was particularly fueled by Hindi films, which experienced a significant 91% increase in collections from the previous quarter, largely thanks to the record-breaking success of “Stree 2,” now the highest-grossing Hindi film ever. Additionally, “Kalki,” released at the end of Q1 FY25, continued to perform well in both Hindi and Telugu markets, contributing to the strong box office results.

On the international front, “Deadpool” and “Wolverine” achieved a milestone as the highest-grossing R-rated film worldwide, bringing in an impressive USD 1.3 billion in global box office revenue. Regional hits like “G.O.A.T.” (Tamil) and “Devara” (Telugu) also played a significant role in the quarter’s success.

PVR INOX’s strategy to re-release popular films proved beneficial, attracting audiences during quieter periods. About 6% of Q2 admissions came from the re-release of classics such as “Tumbbad,” “Laila Majnu,” “Rehnaa Hai Terre Dil Mein,” and “Veer Zaara.” This strong performance from both new and classic films underscores the importance of quality content in driving cinema attendance.

Moreover, National Cinema Day on September 20 saw a tremendous turnout, with PVR INOX hosting nearly 1 million guests across over 4,000 screens, marking one of the year’s busiest days.

The upcoming quarter is set to be exciting with a slate of anticipated releases. Recently launched films include “Vicky Vidya Ka Woh Wala Video,” starring Rajkumar Rao and Tripti Dimri, and “Jigra,” featuring Alia Bhatt. Looking ahead to November’s Diwali, two major Hindi films will debut: “Singham Again,” a multistarrer featuring Ajay Devgan and Kareena Kapoor, and “Bhool Bhulaiyaa 3,” starring Kartik Aryan and Tripti Dimri. December will see the release of “Baby John,” featuring Varun Dhawan and Jackie Shroff.

So far this fiscal year, PVR INOX has opened 71 new screens while closing 42 underperforming ones, resulting in a net gain of 29 screens. The company now operates 1,747 screens across 356 cinemas in 111 cities in India and Sri Lanka. PVR INOX remains committed to enhancing free cash flow, improving return metrics, and reducing debt. Despite a relatively slow first half in FY25, the company generated positive free cash flow and reduced net debt by ₹ 1,409 million.

Commenting on the results and performance, Mr. Ajay Bijli, Managing Director, PVR INOX Ltd., said, “The performance in this quarter, highlights the enduring appeal of cinema and the power of compelling content. Our strategy of combining fresh blockbusters with nostalgic rereleases has resonated strongly with audiences, reinforcing our position as a leader in the multiplex industry.”

On October 16, 2024, PVR Inox shares opened at ₹1603.90  and touched the day low of ₹1600.00 at 10:30 AM

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