Movies

Multiplex operators post weak recovery in FY’10

The multiplex operators were up against the wall in FY’10. The first quarter was gobbled by a bitter row with the film producers, freezing fresh movie content from the Bollywood studios. Revenues went for a toss as they tried to source alternate content and tapped regional language movies.

The bruise didn’t disappear in a hurry as the revenue-share arrangement increased their content costs. The release window shortened as film producers had to find space in the clutter. The situation worsened as most of the movies bombed at the box office.

Corrective measures were taken and the major players hiked ticket prices while their expenses also deepened. Revenue for the fiscal jumped but operating profit took a knock.

Revenue soars

The combined turnover of the five listed cinema exhibitors stood at Rs 13.73 billion in FY’10, up 21.47 per cent over the earlier year. The major reason was hike in the ticket prices and some blockbuster movies in between (like 3Idiots, Ajab Prem Ki Gajab Kahani etc).

Reliance Mediaworks, Fame India and Cinemax saw maximum growth in revenues, jumping 39.5 per cent, 28.7 per cent and 25 per cent for each of them. Inox Leisure saw a moderate 12.6 per cent growth, while PVR had a measly 3.2 per cent increase in its income.

Higher expenses as distributor payout increases

Multiplex operators had to cough out more to the film distributors due to the new revenue share agreement.

Though the companies kept control over personnel costs, their interests in organic and inorganic growth led them to invest to build or acquire properties. This resulted in increase in expenses.

Expenses in the fiscal stood at Rs 13.59 billion, up 24 per cent, from Rs 10.98 billion in FY09. (Disclaimer: All expenses figure are on approximate basis barring PVR, as the companies have not given the expenses for the exhibition segment separately.).

Fame India, Reliance MediaWorks and Cinemax had seen over 30 per cent increase in their expenses during the fiscal, compared to the year-ago period.

Inox saw a 16.5 per cent rise in expenses over the year-ago period, while PVR kept the expenses under control with just over one per cent increase over the earlier year.

At the operational level, all the exhibitors had a bad year as between the two fiscals, their profit narrowed by 58.3 per cent in FY’10 over the year-ago period. The FY’10 operating profit stood at Rs 179.09 million as compared to operating profit of Rs 429.69 million.

The companies who suffered the most were Fame India (down 80.3%), and Cinemax (down 64.07%). However, Reliance MediaWorks, which had suffered an operating loss from the exhibition sector during FY’09 (Rs 454.56 million), increased the losses by nine per cent to Rs 495.37 million in the fiscal 2009-10.

The cinema exhibitors are expected to put up a better show in FY’11 with an increase in ticket prices and, hopefully, more successful movies.

Latest Reads

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/04/28/bhaubali2.jpg?itok=VlaAyJ5-
Baahubali 2: The Conclusion -- Spectacular!

Baahubali 2: The Conclusion is a sort of prequel as well as the sequel to the earlier film, Baahubali: The Beginning, the epic fiction fantasy. In that, this film lets the viewer into some of the unrevealed parts of the earlier saga including the general curiosity about, why did Katappa kill...

Movies Hindi
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/04/29/Cinepolis.jpg?itok=PlmuJC3p
With Ghaziabad multiplex, Cinepolis crosses 300 screens

NEW DELHI: With the opening of the 10-screen multiplex in Ghaziabad, Cinépolis crossed the 300 milestone India, with the total screen count now standing at 303 screens. Caiming to be India’s first International and the world’s fourth largest movie theatre circuit, Cinépolis has opened the ten...

Movies Hindi
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/04/28/miraj.jpg?itok=jpDicZzx
Miraj Cinemas adds four multiplexes in 15 days, inches closer to '100' plan

Miraj Cinemas has strengthened its position in Punjab, Gujarat and Delhi NCR by adding four multiplexes with 13 screens in a record time of just 15 days. With this addition, Miraj Cinemas has now secured 77 screens across India.

Movies Hindi
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/04/26/Cannes_1.jpg?itok=wnOU24ow
Cannes jury to have nine members headed by Pedro Almodovar

NEW DELHI: The renowned American actor and producer Will Smith and famous French composer Gabriel Yared are among the members of the jury for the 70th Festival de Cannes under the presidency of Spanish director, screenwriter and producer Pedro Almodóvar. The Jury will be made up of eight key...

Movies International
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/04/24/noor%20%281%29.jpg?itok=QoA11S32
Sequels & the need to cash in on previous successes

The film industry is going through its worst period in a long time. Nothing seems to be working as film after films flop losing almost total investments. This, when private investors are staging a comeback to invest in film distribution business as the big houses have curtailed their activities.

Movies Hindi
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/04/24/newton.jpg?itok=pk4idYkH
Newton wins HK jury prize for intelligent presentation of political situation

MUMBAI: After impressing the audience and critics alike at the 67th Berlin International Film Festival 2017 where Newton made its world premiere and also won the CICAE Art Cinema Award, Drishyam Film’s upcoming film is now making waves at its Asia premiere in Hong Kong. The film produced by Manish...

Movies International
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/04/22/Payal-Kapadia_0.jpg?itok=RVfBiQVY
Cannes: Thurman to preside over Un Certain Regard Jury, Indian 'Afternoon Clouds' in shortlist

American actress Uma Thurman will preside over the Un Certain Regard jury of the 69th Cannes Film Festival next month.

Movies International
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/04/21/noor%20%281%29.jpg?itok=AsY_F_na
Noor...Insipid...

Noor is based on a book by the Pakistani journalist- writer Saba Imtiaz, ‘Karachi, You Are Killing Me!’ The book in itself does not really tell a story, it is more like a diary of a journalist of day-to-day experiences and adventures along with a bit of her personal life.

Movies Hindi
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/04/19/Macbeth.jpg?itok=MgGdmOj-
Macbeth on 23 April: Sony Le Plex HD remembers the Bard

MUMBAI: “Be not afraid of greatness: some are born great, some achieve greatness, and some have greatness thrust upon them,” said Shakespeare (the Bard of Avon). Legends never die. One such legend is William Shakespeare. An English poet, playwright, and actor, he passed away 400 years ago, but his...

Movies Hollywood

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories