PVR back in red, posts Rs 71-crore loss in Q2 amid Bollywood flop show

Multiplex operator PVR on Monday reported a net loss of Rs 71.23 crore for the quarter ended September 30, 2022, which was more than what analysts had expected for the period. Bloomberg consensus estimates had pegged net loss at Rs 49.8 crore for the period amid a poor showing by Bollywood.

While net loss was higher in the year-ago quarter at Rs 153.1 crore, this was a period when cinemas saw a slump in business owing to Covid-19 related restrictions. PVR had reported a net profit of Rs 53.4 crore in the June quarter, supported by blockbusters such as KGF:Chapter 2, RRR, Bhool Bhulaiya 2, Dr. Strange 2, and Vikram (Tamil).

The September quarter had no major blockbuster apart from Brahmastra, said analysts.

This reflected in the company's revenue from operations, which came in at Rs 686.72 crore during the September quarter. It was Rs 120.32 crore in the corresponding period last year. While in the June quarter, revenue from operations came in at Rs 981.4 crore. Bloomberg consensus estimates had pegged PVR's revenue for the September quarter at Rs 785 crore.

“We remain focused on driving admissions back to our cinemas. India's love for movies was well demonstrated by the massive success of the National Cinema Day,” Ajay Bijli, chairman and managing director, PVR, said.

Held on September 23, PVR said it saw admissions of 650,000 on the National Cinema Day, with an occupancy level of 80 per cent. This was the second-highest attended day to date for the chain, PVR said.

Last month, the company's chief executive officer, Gautam Dutta, said the multiplex chain was on track to open 125 screens at an investment of Rs 400 crore in FY23. Shares of PVR closed trade down 0.28 per cent on the BSE on Monday at Rs 1,688.40 apiece.