- 13 May 2025
- ICICIdirect Research
PVR INOX PERFORMANCE WAS IMPACTED BY WEAK CONTENT PERFORMANCE IN Q4FY25
PVRINOX - 964 Change: 9.25 (0.97 %)News: PVR Inox performance was impacted by weak content performance in Q4FY25, with Chhaava being only major super hit movie. Reported revenue came in at ₹ 1250 crore, (down 0.5% YoY) with box office revenue of ₹ 645 crore (up 1.5% YoY). The footfalls were down 6% YoY at 30.5 million and (Average Ticket Prices) ATP at ₹ 258 was up 10.7% YoY. Ad revenues were down 8% YoY at ₹ 96 crore. F&B spends per head was down 3% YoY at ₹ 125. EBITDA loss (without impact of Ind AS116) was at ₹ 11 crore, given the weak operating performance
View: The company expects FY26 to be better with Hollywood content supply likely to improve after ~1.5 years coupled with expectations of better Hindi content performance. We note that near term monitorable is content performance consistency as it has disappointed in last few quarters. For the medium to long term, key trigger will be operating leverage led benefits, management measures on deleveraging and rationalising capex (companies trying out capital efficient capex models like Franchise owned, Company Operated and capex sharing).
Impact: Neutral