PVR Inox gains good box office collection of Gadar 2, Jailer and OMG 2

Shares of PVR have improved around 30% from its close at Rs 1,373 on August 30, 2023. Its benefits hyped to Rs 1,753.50 on Friday due to multiple blockbuster releases like Gadar 2, Jailer and OMG 2

Shares of PVR Inox have improved in the second quarter of the ongoing financial year (Q2FY24) with multiple blockbuster releases growing the viewer footfall exponentially in the last month.

“These feats were achieved on the back of solid box office performances from the stellar content released last week including ‘Gadar 2’ (Hindi), ‘Jailer’ (Tamil) & ‘OMG2’ (Hindi) and continued success of content released in earlier weeks including ‘Rocky aur Rani ki Prem Kahani’ (Hindi) and ‘Oppenheimer’ (English) which continued their steady performance," PVR Inox stated. 

The market outlook will stay positive on the stock with a strong lineup of a few mega-star movies slated to be released in the last leg of the quarter. On Friday, August 25, Ayushmann Khurrana starrer 'Dream Girl 2' showed up on the silver screen with positive reviews via social media.

Also Read: Gadar 2 vs Jailer Box Office Collection Day 14: Both continue to do well

PVR Inox Box Office collection: Overview 

Shares of PVR Inox have improved around 30% close to Rs 1,373 on August 30, 2023. The stock expanded its benefits to Rs 1,753.50 on Friday. The development saw the stock surging to more than 20% over the past month. The multiplex player boasts of an all-out market capitalization of over Rs 17,000 crore. Specialists following the stock continue to stay positive on the stock.

As per analysts, Q2FY24 had a strong beginning with films like Mission Impossible 7, Oppenheimer and Barbie having real success in the film industry, followed by Bollywood blockbusters like Gadar-2, Jailor, and Oh My God-2 which flooded the box office collections. Until this point, about six films have previously breached the net box office collections of over Rs 100 crore in the current quarter.

Also Read: Luxury viewing: How multiplexes are getting movie fans to theatres

PVR Inox 2023: Update

Q2FY24 could well end up being an astoundingly strong quarter, if not the best ever, said the analysts. They expect average ticket price (ATP) development can be higher this quarter as Oppenheimer saw great demand in IMOX organisation and advertising revenue is supposed to enlist excellent performance given solid box office collections.

Experts also believe that it isn't just the progress of Bollywood films as the regional and Hollywood movies have also assumed a crucial part in the renewed interest of the cinephile at theatres. Progress of films like Oppenheimer, Jailer, Barbie and Lost in the stars, propose the social change in content consumption.

PVR Inox: Insights

PVR-INOX is riding the wave of box office successes. The group has been able to improve cost efficiencies and ATP/SPH, which has improved screen economics making it viable, even at structurally lower occupancies. 

But, the ongoing performance is a positive surprise. Merger synergies have likewise begun working out. Given the high operating influence that works out around here, it accepts earnings development as essential. It has a purchase rating with an updated target cost of Rs 2,240.

Among other brokerage businesses, Nuvama Institutional Equities gave PVR Inox a 'buy' rating with an objective cost of Rs 2,080 each. At the same time, ShareKhan likewise had the same rating on the stock with an objective cost of Rs 1,780, which is already met. Kotak Institutional Equities fixes the stock at Rs 1,600 with an 'add' tag.