/ PVR to add 35 new screens to premium portfolio

Livemint : May 10, 2019, 11:15 AM

Multiplex chain operator PVR Cinemas plans to add 35 screens to its premium portfolio in the next 18-20 months, a top company official said.

PVR currently operates 771 screens at 165 properties in 67 cities, with premium screens comprising 10% of it.

In the past PVR has added 65-80 screens a year across all formats with the momentum expected to continue going forward.

It operates 77 premium screens - 4 of Director's Cut, 31 of Gold Class, 2 of LUXE, 8 of IMAX, 15 of 4DX, 6 of P[XL], 8 of Playhouse and 1 of PVR Onyx across the country.

"We should be able to add another 30-35 screens to our current 77 premium screens in another 18 to 20 months. Majorly metros and mini metros are currently looked at this," PVR Cinemas chief executive officer Gautam Dutta told PTI.

On the investment front, he said, "We normally spend ₹3 crore per screen but in a premium it will be 50-100 percent more capex on these screens."He added that the new formats like 4D has seen phenomenal response and there is higher occupancy, higher ticket prices, higher propensity for consumers to come back and watch more movies in those auditoriums.

"In every market premium formats and offerings is the order of the day, even in smaller markets," he said.

Dutta noted that the food and beverage contribution from the premium screens would be 50 percent more than the normal screens.

"For Gold Class Cinemas, the spend per head is about ₹260-270, whereas in a normal auditorium it will be ₹100," he noted.

The food and beverage contribution to the company's revenue is close to 30 percent.