PVR Inox Sold More Food & Beverages Than Movie Tickets In FY24; Will Shut 70 Non-Performing Screens In FY25

Think PVR Inox and you’d instantly think of plush movie screens. Well interestingly, the multiplex’s revenue from F&B sales grew 21 per cent in FY24. This has surpassed its sales from movie tickets which recorded a 19 per cent growth in the last financial year. With a ₹2000 Crore F&B business, PVR Inox is giving tough competition to many quick-service restaurants. Here’s more about this interesting shift in the food and entertainment industry.

PVR Inox: Higher Growth In F&B Revenue Than Ticket Sales

A report by Moneycontrol highlights a shift in the revenues of India’s top multiplex chain PVR Inox. The brand’s F&B business grew faster than movie ticket sales in the last fiscal year. In FY24, F&B revenue increased to ₹1,958.4 crore from ₹1,618 crore a year ago. Movie ticket revenue stood at ₹3,279.9 crore from ₹ 2,751.4 crore in FY23.

Group Chief Financial Officer, PVR Inox, Nitin Sood informed Moneycontrol that the box office has been a mixed bag for the company lately. So, F&B revenue growth has out-paced box-office revenue growth rate. They expect F&B to do better than ticket revenue. The company also observed a lot of volatility in box office collections during the year. To coax cinephiles to the theatres and increase box office revenue, earlier, the company promised ad-free theatre experience in certain metropolitan cities.

Also Read: Bengaluru Gets South India’s Biggest Cinema! PVR INOX Launches 14-Screen Megaplex At Phoenix Mall Of Asia

F&B Business Expansion To Hedge Unpredictable Box Office Risk

Cutting short on ad length gave PVR Inox the opportunity to add another show to increase revenue. Moreover, the company plans to shut 70 per cent of its non-performing screens and expand in the promising south market in FY25. Senior vice-president of Elara Capital, Karan Taurani highlighted the reason for PVR Inox’s burgeoning F&B growth. He stated that the multiplex chain has opened a lot of places in metros and non-metros where people can enjoy the food without watching a movie.

Also Read: Lights, Camera, Ad-Free Films! PVR INOX Reduces Ads From 35 Min To 10 Min To Increase Theatre Footfall

Moreover, the company has also started experimenting with food delivery in selective markets. So, these have contributed to higher F&B growth. To tackle the uncertainty of ticket sales, PVR is eager to grow its F&B business. Nitin Menon of NV Capital stated it will “hedge theatrical risk”.

Meanwhile, have you ever visited PVR Inox, enjoyed the delish food and walked out without watching a film?

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