The multiplex chain operator posted a consolidated net loss of Rs 183.95 crore in Q2 September 2020 compared with net profit of Rs 47.88 crore recorded in Q2 September 2019.
Revenue from operations tumbled nearly 96% to Rs 40.45 crore in Q2 September 2020 from Rs 973 crore in the same period last year. The result was announced after market hours yesterday, 3 November 2020.The company posted a pre tax loss of Rs 279 crore in Q2 September 2020 as against a profit before tax (PBT) of Rs 73.49 crore registered in Q2 September 2019. The company received a tax rebate of Rs 95.14 crore in Q2 September 2020 as against tax expense of Rs 25.82 crore in Q2 September 2019.
Consolidated EBITDA loss for Q2 September 2020 was Rs 14 crores as against a positive EBITDA of Rs 324 crores in the same period last year.
PVR said the results for quarter ended 30 September 2020 are not comparable with results for quarter ended 30 September 2019 as temporary closures of cinemas and suspension of operations have impacted business operation. The financial performance of Q2 September 2020 was impacted by the continued lockdown announced due to COVID-19 outbreak, which disrupted company's operations. Consequently, PVR had almost 'nil' revenue during the quarter from core movie exhibition business with the exception of one property in Colombo. With 100% revenue decline, the company reported significant losses in Q2, driven by the continuing fixed costs.
PVR further strengthened cost control measures resulting in 71% savings year on year in total fixed costs excluding rent and common area maintenance charges (CAM). Monthly fixed cost excluding rent and CAM dropped to Rs 24 crore in Q2 September 2020 from Rs 86 crore in Q2 September 2019.
Commenting on the results and performance, Ajay Bijli, MD of PVR said, "I am extremely pleased to report that most of our cinemas, which had shut down due to the pandemic in March have been allowed to reopen. We are eagerly waiting for re- opening of other states, specifically Maharashtra and Telangana, so that business can gradually get back to normal. We are taking all possible precautions so that both our customers and employees feel safe while visiting their favourite cinema. We are celebrating the re-opening by offering festive promotions and discounts for our patrons. Many of our patrons have responded positively and we're fully prepared to give them the same immersive movie viewing experience the way we had done before. We are hopeful that once the new content is released the business will gradually recover. We are thankful to all our stakeholders including Developers, Producers, Investors, Bankers and most importantly employees who have stood with us during these unprecedented times."
Shares of PVR jumped 5.7% to Rs 1165.45 on BSE.
PVR is the market leader in terms of screen count in India. Currently, it operates 845 screens in 176 cinemas in 71 cities in India and Sri Lanka with an aggregate seating capacity of approximately 1.82 lakhs seats.
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