PVR Inox’s Food And Beverages Revenue Grows More Than Ticket Sales
India’s top multiplex chain PVR Inox registered a faster growth in food and beverage sales than movie ticket sales, on last financial year. According to reports, the company has experienced revenue from food and beverages (F&B) products have marked a surge in 21% in last year, while movie ticket sales have registered 19% growth, comparing to FY23. While the box office revenue has reached Rs 3915.8 crore from Rs 3295.2 crore in FY23, the revenue from F&B stood at Rs 1958.4 crore from Rs 1618 crore on last year.
According to Nithin Sood, Chief Financial Officer of PVR Inox, “The box office has a mixed bag, as a result which F&B revenue outpaced the box office revenue growth. And F&B will do better than ticket revenue,” as reported by Money Control.
The annual report also mentioned that, the company’s expense on rent has increased 14 percentage, reaching Rs 1192.8 crore in FY24 from Rs 1042.6 crore in FY23. While differentiating Common Area Expenses with last year, FY24 has also grew up to 15 percent.
Notably, earlier this month, the company has decided to bring down the total capital expenditure by 25 percent. Followingly, the exhibitor has announced that will shut down around 70 non-performing screens with net additions of 50-60 screens in FY25. Also the company has mentioned that out of news screens many will open at south states, as they are more focusing to expand in south.
On May 14, company has changed the formats of food and Beverages sector by joining hands with Devayani International Ltd. DIL operates KFC, Pizza hut and Costa Coffee outlets in India. PVR has claimed that the strategic partnership is for the purpose of development and operation of food courts in shopping malls.
Earlier this year, Informist media has reported PVR Inox will launch a lower priced monthly subscription plan that allows subscribers to watch a certain number of movies without having to pay anything more for tickets across properties of India.
(This news article is part of a Timeline Internship Programme)
