India’s leading cinema operator, PVR Inox, has reported disappointing financial results, with footfall at theaters being impacted by the growing popularity of streaming platforms. The company’s earnings for the recent quarter failed to meet expectations, reflecting a struggle to attract audiences back to the big screen.
The rise of digital streaming services has been a significant challenge for cinema chains, as viewers increasingly prefer the convenience of watching films at home. This had a negative impact on PVR Inox’s box office receipts as well as food and beverage sales. In contrast to a profit of 1.66 billion rupees a year earlier, the company—which was created by the merger of PVR and Inox labels—posted a combined net loss of 118 million rupees ($1.40 million) for the quarter that ended on September 30.
According to statistics provided by LSEG, analysts had projected a profit of 137.7 million rupees on average. Due to rising inflation and consumers’ reduced discretionary spending, multiplexes in India have been finding it difficult to fill their theaters. As a result, they have had to lower the price of their daily movie passes and slash the price of popcorn.
PVR Inox plans to install 110–120 screens by March 2025. This fiscal year, it has closed 42 screens and added 71 so far.
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