PVR INOX (PVRINOX) Q4 07/08 earnings summary

Executive summary

• FY08 marked rapid expansion across cinema exhibition, film distribution and production, food retailing, and new entertainment formats; annual cinema footfall reached 17.97 million.

• The operating network reached 101 screens across 25 cinemas by March 2008, up from 84 screens and 22 cinemas a year earlier.

Financial highlights

• Standalone total income rose 42% to Rs 2,447 million; EBITDA increased 62% to Rs 538 million and PAT rose 99% to Rs 211 million.

• Standalone basic/diluted EPS was Rs 8.78/Rs 8.53, versus Rs 4.12/Rs 4.12 in FY07.

• Consolidated revenue was Rs 2,723 million versus Rs 1,831 million; EBITDA was Rs 552 million versus Rs 328 million and PAT was Rs 216 million versus Rs 102 million.

• FY07 benefited from a one-time tax credit; FY08 tax provision rose to Rs 1,081 lakh from Rs 469 lakh, with an effective tax rate of 33.9% versus 30.7%.

Outlook and guidance

• The FY08 outlook was positive, with planned capital investment to expand exhibition, distribution and production, and develop retail-entertainment concepts.

• Domestic box office was forecast to grow at a 13% CAGR, from Rs 96 billion in 2007 to Rs 176 billion by 2012.

• The new entertainment JV planned 150–200 bowling lanes over 3–4 years; the first project was a 24-lane alley at Ambience Mall, Gurgaon.