A Big Loss to PVR

PVR cinemas is a Film Entertainment Public Limited Company in the country named as India. The company is currently running as a joint venture between Priya Exhibitors Private Limited & village roadshow limited since 1995 for a ratio of 60:40. PVR began its commercial work or you can say its operations in the year 1997. Ajay Bijli is one of the persons who is the CEO of our Entertainment Screen Place where one can sit & enjoy their movies while having snacks & soft drinks too.

What is the current financial stability of PVR after the Lockdown?

• PVR is the one which is currently operating 845 screens among 176 properties across a huge number of cities, that would be 71.
• Multiplex chain operator PVR Ltd on Monday reported a consolidated net loss worth of Rs 74.61 crore for the fourth quarter which ended in March 2020. This one is a huge loss PVR is going through.
• The film exhibition business was impacted because of COVID-19 pandemic.
• Revenue from operations during the quarter under review was standing at Rs 645.13 crore.
• It was Rs 837.63 crore in the corresponding quarter a year ago.

In the begging of the month of March in 2020as directed by the government all the PVR’s were shut down due to the safety reasons. The pandemic was at a peak at that point of time.

Besides, PVR has taken one-time write off of perishable inventory of Rs 1.83 crore in March 2020, on account of spoilage due to closure of cinemas pursuant to COVID-19, it added.

What are the officials of PVR saying?

• The total expense of the multiplex was worth Rs 731.84 crores in the fourth quarter of the financial year 2019-2020.
• Revenue from the movie was of Rs 628.88 crore and Rs 29.89 crore from others which includes movie production, distribution as well as gaming.
• PVR said its results for the year ended March 31, 2020, are not comparable with the year ended March 31, 2019, on account of the acquisition of SPI Cinemas”. For the fiscal year 2019-20, PVR’s net profit was at Rs 26.85 crore. It was Rs 189.40 crore in 2018-19. Its revenue from operations in FY20 was Rs 3,414.44 crore. It stood at Rs 3,085.56 crore in FY19.
• Meanwhile, in a separate filing PVR has informed the BSE that its board in a meeting held on Monday has approved to raise Rs 300 crore through a rights issue.

src:- Indian Express, Wiki