PVR INOX is actively looking to expand into Tier II and Tier III cities, particularly in South India, says company CFO Gaurav Sharma

Gaurav Sharma, CFO, PVR INOX, said, “The company believes that India remains significantly under-screened, offering vast growth potential. The trends of rapid urbanisation, a young workforce, and rising disposable incomes will drive demand across all regions of the country. That is why PVR INOX is actively expanding into Tier II and Tier III cities, particularly in South India, where the market is highly vibrant.”

Internationally, PVR INOX has a presence in Sri Lanka. However, at this point, the company doesn’t have immediate plans to expand into international markets.

Additionally, the company plans to invest in the renovation of key high-value properties to accelerate revenue growth from existing cinemas.

Gaurav Sharma, CFO, PVR INOX, said, “PVR INOX is primarily a multiplex operator, with only 10 of our 356 cinemas being single screens. Revamping or reinventing a single screen is a tactical decision that is taken on a case-by-case basis. Over the past 4 years, we have opened just 2 single-screen theatres, Paras in Delhi and Lido in Mumbai.”

Currently, 15% of our screen portfolio consists of premium or special format screens. This includes various high-end experience formats, such as Directors Cut, Luxe, Insignia, IMAX, and ICE; premium large formats such as Big Pix, PXL, and Screen X; 4D screens such as 4DX and MX4D; and screens for kids such as Playhouse and Kiddles. Typically, these screens are housed in cinemas, which offer curated dining options and menus designed by celebrity chefs for our discerning patrons.

Gaurav says that premiumization is a growing trend across all consumer segments in India, with customers willing to pay more for enhanced experiences and services. This is evident in the exhibition sector as well.

He said, “Since April 2023, we have added 196 new screens, of which 50 screens are either premium or special formats, representing about 26% of our new additions. We plan to continue expanding our premium screen portfolio to cater to the increasing demand for high-quality, differentiated experiences in cinema.”

Source: bt Business Today