PVR Inox has revealed a financial setback, reporting a loss of ₹125 crore in the fourth quarter of FY25. While this figure marks a slight improvement—down 3.47% from ₹129.5 crore in the same quarter of FY24—the company continues to face challenges in revenue generation.

Revenue Trends and Performance

Despite a reduction in losses, PVR Inox’s revenue experienced a 0.5% decline year-on-year. The multiplex chain recorded consolidated revenues of ₹1,249.8 crore for Q4, compared to ₹1,256.4 crore in the previous year’s corresponding quarter. This small dip highlights ongoing difficulties in the entertainment sector.

EBITDA Margins Show Minor Improvement

Interestingly, PVR Inox did see a slight uptick in its EBITDA margins, which rose to 22.70% in Q4, up from 22.20% a year earlier. The company’s EBITDA amounted to ₹283.3 crore, marking a 1.5% increase from ₹279.2 crore reported in Q4 of FY24. This improvement might suggest operational efficiencies despite the overall revenue challenges.

Key Revenue Drivers in Q4

PVR Inox operates 352 cinemas with a total of 1,743 screens across 111 cities in India. During the fourth quarter, the company welcomed approximately 3.05 crore patrons, contributing to a total footfall of 13.69 crore for the entire FY25.

The primary revenue contributors for PVR Inox remain ticket sales and food and beverage purchases. In Q4, the average ticket price was noted at ₹258, while customers spent roughly ₹125 on snacks and drinks.

Box Office Performance Impact

The company has indicated that revenue losses can be largely attributed to the disappointing performance of films at the box office. Specifically, the Hindi film sector saw a 26% decline, and Hollywood films dipped by 28% in FY25. Conversely, dubbed movies experienced a remarkable 153% increase in box office collections, showcasing a shift in audience preferences.

Share Market Response

In response to these financial disclosures, PVR Inox’s shares experienced a notable uptick of around 4% on May 12. Opening at ₹943, the shares climbed to ₹958 by 3:15 PM, reflecting investor optimism as they note the company’s efforts to reduce its losses.

Overall, PVR Inox continues to navigate a challenging market landscape, working to bolster its financial standing while adapting to shifting consumer behaviors in the cinematic experience.