- 22 Jul 2022
- ICICIdirect Research
Strong box office drives robust performancePVR - 1516 Change: 21.20 (1.42 %)
News: PVR reported strong performance with box office revenue of Rs 530.2 crore (up 80% QoQ; 16% higher than precovid). The company reported Rs 323.8 crore of F&B revenues, up 90% QoQ, with SPH at Rs 134 was up 10% QoQ. The ad revenues of Rs 62.7 crore (68% of precovid). The footfalls were up ~75% QoQ at 25 million and ATP at Rs 250 was up ~3% QoQ owing to slate mix. EBITDA (ex- Ind AS116) was at Rs 189 crore with margins of 19.3% (better than pre covid levels of 18%) given the strong box office performance.
Views: We continue to believe PVR is a proxy play on urban/semi urban discretionary spends. We believe that that with strong content pipeline recovery trend will continue ahead. Furthermore, merged entity (PVR Inox) will benefit from scale of expansion, faster growth trajectory and other revenues/cost synergy.