Robust box office collections for Jawan, Gadar 2, Jailer, others to drive PVR Inox growth in Q2, says Kotak Equities

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₹500 crore+ hits - Gadar 2 and Jawan - one ₹300 crore+ movie - Jailer - and five ₹100 crore+ movies. There were several other regional hits in sub- ₹100 crore bucket as well. Moreover, the pipeline of Hindi and regional movies over the next 3-6 months appears healthy, with potential hits such as The Vaccine War (September 28), Tiger 3 (November 10), Animal (December 1), Dunki (December 22) and Fighter (January 25) in Hindi and Salaar and Leo (October 19) in regional.

Also Read: Jawan Box Office collection Day 21: Shah Rukh Khan’s movie keeps minting money In August, PVR Inox reported footfalls of 1.9 crore with Gross Box Office Collections (GBOC) of around ₹532 crore. This was the highest ever monthly footfall and GBOC figure for the cinema chain. Analysts at Kotak Institutional Equities believe a broad-based comeback of Bollywood Net Box Office Collections (NBOC) in the current quarter suggests normalization of consumer behavior and recovery of multiplexes post Covid.

Kotak Institutional Equities now expects PVR Inox to report occupancy of 31% versus 25.5% earlier and footfalls of 4.74 crore versus 3.9 crore earlier. Exciting news! Mint is now on WhatsApp Channels Subscribe today by clicking the link and stay updated with the latest financial insights! Click here! It expects ATP (average ticket price) of ₹258 and SPH (spend per head) of ₹133 as compared to ₹246 and ₹130 in Q1. Ad revenues are estimated at ₹130 crore versus ₹120 crore earlier.

Pre-Ind AS 116 EBITDA and margin of ₹390 crore and 21% versus ₹220 crore and 14.3% earlier. The brokerage expects net profit of ₹300 crore for the quarter. Moreover, PVR Inox is assessing its entire portfolio from a rental renegotiation standpoint; management has identified